T-Mobile US today announced Jump on Demand – lowering your initial acquisition cost of new smartphones and ensuring more transparency.
For instance, Apple iPhone 6 with 16 GB can be gabbed for a cost of $15 per month for 18 months with Jump on Demand when you trade-in your current smartphone.
This means you are paying $270 in 18 month plus your existing smartphone for purchasing the Apple iPhone 6 from T-Mobile. Usually, Apple iPhone prices crash ahead of the new product launches. You need not worry about those price corrections.
T-Mobile’s Jump on Demand is an enhanced frequent-upgrade program that builds upon its initial Jump offering to let customers upgrade their smartphones up to three times a year.
Unlike the original Jump program, Jump on Demand – launching on June 28 – does not require payment of a $10 monthly membership fee, and customers don’t have to pay off half a device’s cost prior to upgrading, but it also does not include device protection. Jump on Demand follows the leasing model to enable a customer to upgrade up to three times a year at no extra cost.
“While the carriers are breaking every promise they’ve ever made with their knock-off upgrade programs, we’re racing full speed ahead, making one of our most popular moves even better,” said John Legere, president and CEO of T-Mobile.
“Jump on Demand is T-Mobile’s way of getting into the device-leasing business while simultaneously satisfying customers who desire easier, more frequent smartphone upgrades. The timing is interesting given that Verizon Wireless recently tightened up its Edge device financing and upgrade program to make customers fully pay off an Edge device before they can upgrade,” said Tammy Parker, senior analyst at Current Analysis.
Tammy Parker said Jump on Demand will help T-Mobile differentiate itself from AT&T and Verizon, which don’t offer lease options for smartphones, and will put it in direct competition with Sprint in the leased devices segment.
What is T-Mobile saying
Get a new smartphone for zero out of pocket with qualifying credit, and zero sales tax due today, followed by one low monthly payment that includes the cost of that new smartphone and, for free, the freedom to upgrade whenever you want. Customers with Jump on Demand can upgrade anytime − tomorrow, next week or next month − up to three times a year.
You could get six brand new phones during the time it’d take to get one upgrade at Verizon.
The optional device insurance will cost $8 per month.
Over 10 million people signed for Jumb, upgrading their phones 30 percent faster than everyone else—every 14 months compared to the industry-average of nearly 20 months.
Earlier, Verizon Edge customers originally had to pay off 50 percent of their phone before they could upgrade. Then Verizon upped the payout to 75 percent. Now, they make you pay off 100 percent of your phone before you can upgrade—which can take 24 months.