By Dan Satherley
Mobile operator 2degrees announced this morning it now has over half a million customers, only a year-and-a-half after it launched.
CEO Eric Hertz made the announcement at the Auckland Town Hall this morning.
“The success we’ve had compared to a year ago is we have simple propositions and we listen to our customers,” he told gathered media.
A year ago 2degrees had 206,000 customers. Today it has 580,112.
“Since February last year we’ve opened 10 stores, launched a nationwide 3G service and provided monthly plans that don’t lock you into a long-term contract,” says Mr Hertz.
He says the company plans to open another 30 stores by the end of 2011, as well as a call centre in quake-stricken Christchurch.
“We’ve been delayed a little by the earthquake, but we still expect to create 60-80 new jobs in the Christchurch area – as soon as we find a new location.”
Mr Hertz says one reason 2degrees has had such rapid growth is because how easy it is now to port your old Telecom or Vodafone number to 2degrees.
“With a quarter of our customers bringing their pre-existing mobile number to our network, it proves just how easy it is to keep your number and get a better deal,” he says.
Demand on their fledgling 3G offering is doubling every two months, so the company plans to invest another $100 million into network capability.
Questions have been raised about 2degrees’ push for lowering of mobile termination rates, considering the current cost – which is passed onto customers – doesn’t appear to be putting people off joining a new network.
Mr Hertz says regulation is still required to ensure an “even playing field”, as Telecom and Vodafone are still very much a “duopoly”.
He declined to comment on how much each user generally spends per month, despite claiming it 2degrees offers users “more for their money”.
“Our competitors would love to know that! It is well above the average, and we wouldn’t continue to invest if we didn’t see that usage.”
2degrees’ latest offering is to let customers keep their unused monthly minutes for up to a year, an offer Mr Hertz claims is the first of its type in New Zealand.
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