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Prepaid phones gain traction among the budget-minded

December 11, 2008 at 8:43 AM by Esme Vos

Just after last week’s post on why Americans don’t use prepaid phones as much as people in Europe and Asia, here comes the Wall Street Journal with an article about how budget-minded Americans are switching to prepaid phones. As the WSJ piece points out, many prepaid plans in the US come with simple, older phones, but they’re great for people who don’t make a lot of phone calls. I have a T-Mobile prepaid plan which I use when I am in the US, but back in Amsterdam, I have a postpaid plan, also with T-Mobile.

Here’s my original article about prepaid plans, including the NMRC’s recent survey about why Americans don’t use prepaid phones and the Q&A on Linked In, which got very interested answers:

Why don’t more Americans have prepaid phone plans? Study shows people clueless about termination penalties

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One Comment on “Prepaid phones gain traction among the budget-minded”

  1. Evert Bopp Says:
    December 13th, 2008 at 5:03 am

    Esme, pre-paid makes sense as it allows you to manage your call expenditure better. Post-paid more often than not leads to a larger spend (which is why the telcos like it).
    With more and more people owning unlocked phones it has become easier to use a post-paid plan with a high spec phone.
    Combine pre-paid with low cost and you really got a winner. That’s why I’m on the verge of launching a low-cost, pre-paid, roaming, mobile phone service ;-)

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