Black Friday Weeks: Galaxus Mobile plans now at an all-time low price
Oh, did you click on this because you were looking for a discount on your mobile plan? Well, you’re not going to get one. Sorry. That headline was clickbait. But it demonstrates how hard mobile phone providers are willing to fight for new customers.
In November, bargain hunters’ brains go into overdrive. Yallo, Salt, Wingo and the like reel in new customers with tantalising-sounding discounts. A 71-per-cent discount here, a 55-per-cent price cut and a waived installation fee there – and even a «spooky deal» offering 65 per cent off.
There’s nothing random about these spookily large numbers. They’re exploiting a mechanism that behavioural scientists are more than familiar with. When something seems like a bargain, it can activate our brain’s reward system, part of which is the nucleus accumbens. This region of the brain is activated when something desirable is within our reach. The bigger a discount looks, the stronger the urge to make an on-the-spot purchase.
That’s not to say that we lose our reason. Our prefrontal cortex still steps in and weighs up whether a special offer is all it’s cracked up to be. But that takes time and attention. In other words, the very commodities that countdowns and «ends today» banners are trying to take away from you.
As a consumer, you’re squarely in the crosshairs of various marketing departments. They don’t want you to realise that old, crossed-out prices tend to be totally made-up or that countdowns ticking towards the end of a sale are a sneaky ploy. Let’s face it, rational thinking is usually bad for sales. The mobile service providers who’ve made the most brazen attempts to dupe customers have already received a slap on the wrist by the State Secretariat for Economic Affairs (SECO) (article in German). On top of this, you need to read the small print. Bargain-priced plans are sometimes only valid for 12 or 24 months. Once that time is up, things get seriously expensive. This is when the overinflated «standard» price kicks in, after all.
Impulse trumps reason – most of the time
For several years now, discounts have been the ultimate weapon in the armoury of mobile phone company marketers. With special offers seemingly ever-present, it’s little wonder that fewer and fewer people are signing up for mobile plans at standard price. A study commissioned by Galaxus for internal purposes recently found that more than 70 per cent of plans on the market are sold as part of a promotional offer. For some providers, the figure actually rises to over 80 per cent.
The consequences of a «no discounts» strategy
This brings us on to the subject of advertising. Galaxus sells mobile, internet and TV plans too, in case that fact had slipped your attention. Of course, as a long-time subscriber, I don’t need to get worked up about the ways in which other providers ensnare new customers.
At Galaxus Mobile, we refuse to get involved in industry price-slashing contests. It’s a markedly different approach to the one we took during our digitec connect days, when we fully embraced Black Friday. OG readers will remember that. But hey, we live and we learn. Which is why we now offer consistently low, fair prices all year round. Comparison website Moneyland says we’re part of a very small group of providers who do this. The site also notes that our standard-price plans are «often even cheaper than many promotional offers».
This decision to go against the industry grain was made in 2022. But as Thomas Peter, Head of Development at Galaxus Mobile, explains, this decision has come at a price: «We register the lowest number of new customers in November and December. In both of those months, the service’s growth rate is five times lower than at any other time of the year.» Considering that the internet is flooded with banners touting bargain-priced plans in November and December, this is hardly surprising. Once that period’s over, the market is as good as dead.
By December, people have got their fill.
Thomas, however, is pleased about something else. His figures show that churn rate – i.e. the rate at which existing customers jump ship – has been steadily decreasing. To put it another way, our customer base is becoming increasingly loyal. «The bargain hunters have gradually left us and moved on,» Thomas says.
Does this mean Galaxus Mobile customers simply have better control over their primal instincts? Perhaps. Or maybe they just like Galaxus Mobile. If customer satisfaction surveys are anything to go by, that could well be the case.
Either way, they’re certainly people who breeze through November without the pressure of having to scout for discounts. They can make calls and access the internet at low rates without the legwork – even when they’re on holiday, thanks to our new Travel eSIM.
Comparison websites such as Comparis, Moneyland and Dschungelkompass don’t necessarily give Galaxus Mobile top ratings for every possible use case. When it comes to value for money, however, Galaxus Mobile’s standard plans are on a par with heavily advertised ones.
Will you be scouting for your next mobile plan this November? Or are you taking a breather from the bargain-hunting frenzy? Let me know in the comments. If you want, you’re even welcome to tell me about how lame you think Sunrise – the network that powers Galaxus Mobile – is. I especially love anecdotes about how dire the reception is in the back end of Nowheresville.
Journalist since 1997. Stopovers in Franconia (or the Franken region), Lake Constance, Obwalden, Nidwalden and Zurich. Father since 2014. Expert in editorial organisation and motivation. Focus on sustainability, home office tools, beautiful things for the home, creative toys and sports equipment.
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