Is this how Dan Schulman plans to lock more subscribers in at Verizon?
A Verizon subscriber was offered a free Pixel 10 Pro (well, he had to pay $60 for the tax) locking him in for 3 more years.
Verizon needs to get aggressive to take on T-Mobile. | Image by Image by PhoneArena
When new Verizon CEO Dan Schulman took over from Hans Vestberglate last October, he said that he wanted to make a change in the culture of the carrier by putting customers first instead of profits. He wants to employ AI to help simplify plans and make interactions between Verizon and its subscribers more personalized. The problem that Verizon has been facing over the last few years can be summed up quite simply by comparing Verizon's postpaid phone churn rate during different time periods.
Verizon's postpaid phone churn has been rising (not good)
The churn rate is the percentage of paying subscribers who left Verizon for another carrier. We like to look at that figure as it applies to postpaid phone subscribers since these are the most stable customers of all and aren't looking to switch with every small change in pricing. During the fourth quarter of 2020, Verizon's postpaid phone subscribers had a record-low churn rate of .76%. The figure showed how Verizon had locked in its most valuable customers at that time. During Q4 of 2025, Verizon's postpaid phone churn rate was a much higher .95%.
After twenty years with Verizon, this is the reward I'm offered. | Image by PhoneArena
A Verizon subscriber today went on Reddit to reveal that he was surprised to receive a great offer from Verizon. For only the cost of the sales tax on the price of the phone ($60), he would be sent a new Pixel 10 Pro. He would not have to trade in an older phone, nor would he have to subscribe to an additional line. Had Verizon come to me with this opportunity (and mind you, I've been a subscriber for 20 years) I would have agreed to it so fast.
If Verizon offers you a free phone, should you take it?
This is the kind of deal that Schulman should be doing more of, and I'll tell you why. The lucky subscriber who also gets to keep his current plan, will be locking himself into Verizon for three more years. But the customer won't think about that. What he will remember is that Verizon gave him a free phone and all he had to do was pay the sales tax.
Would you take the free Pixel even if it means 3 more years at Verizon?
If you are a Verizon subscriber and receive this offer, should you take it? Well, if you're planning on staying with Verizon for at least three more years, that's one point in favor of taking the deal. Also, if you are a Pixel fan, well that is obviously another good reason for taking Verizon up on the deal. Some Reddit subscribers pointed out that Verizon probably has no issue handing out the Pixel 10 Pro since most customers favor Apple iPhone and Samsung Galaxy handsets leaving them with a huge inventory of phones they need to get rid of.
As a long-term Verizon subscriber, I can tell you that if Schulman thinks that Verizon is going to reduce its postpaid phone churn, it needs to come up with a rewards program that rivals T-Mobile Tuesdays. He should not underestimate how T-Mobile Tuesdays can draw in new subscribers and keep them. All Verizon perks for entertainment, such as Netflix and HBO Max; Disney, Hulu, and ESPN+; and Apple Music are $10 per month for each one. T-Mobile offers free Netflix, Hulu, and the MLB app.
For what I pay for my three phone lines and a tablet on Verizon, I could get free Netflix, Hulu, and the MLB app on T-Mobile. Like T-Mobile's infamous commercial starring Billy Bob Thornton, I started with Verizon 20 years ago because it had the best service back then. That is not the case anymore. Why should I continue to pay for perks that I can get for free from T-T-Mobile? This is the kind of thinking that Dan Schulman is going to have to deal with.
Here is a short list of things to do that Verizon's CEO should consider:
- Improve the rewards program and include perks that are free, not $10 per month.
- Offer more free phones to lock in subscribers.
- Have some sort of forum or newsletter where new and upcoming phones and other mobile devices can be introduced to subscribers to get them excited about upcoming devices.
With AT&T still looking for its identity, and T-Mobile's digital transition getting panned by subscribers, Verizon has an opportunity to make some noise here.
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