Verizon, though a massive telecom company in the U.S., saw very limited growth last year compared to rivals T-Mobile and AT&T. This may be attributed to a multitude of factors but the consequences for this stagnation are now becoming apparent as Verizon shares continue to fall.
Shares fell by an additional 1.5 percent after a whopping eight percent fall last month. In both cases the reason behind the fall was attributed to weakening investor confidence due to drastically reduced wireless subscriber growth. As the carrier fails to attract new subscribers its shares also continue to take a hit. Verizon is currently between a rock and a hard place.
The carrier is far from the only U.S. company seeing its shares fall. Uncertainty across various industries due to President Donald Trump’s volatile tariff policies has led to many companies seeing historic levels of decline in stock prices. However Verizon’s falling shares can be directly attributed to the company itself and not to external factors.
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Verizon has lots of users across the U.S. | Image credit — PhoneArena
Despite T-Mobile’s recent price hikes its users continue to sing praises for its service. Verizon customers, on the other hand, are often spotted lamenting the fact that they’re stuck with the network due to a lack of options in their area. People say that they are tired of continuous price increases and poor service quality.
Verizon understands that its policies are driving away users and is trying to take measures against it in the form of random discounts every now and then. However these measures are being carried out in a very confusing way as some users get hit with further price hikes while others enjoy massive reductions in the form of new promotions. In short, Verizon is having a pricing crisis.
That’s not to say that every Verizon customer hates being tied to the network. I’ve often seen users saying that they’re going to remain with Verizon due to the discounts that they are getting. These deals and promotions often make Verizon the most economical choice for some customers even if its service might leave a lot to be desired.
If Verizon is to recover its falling shares I would highly recommend not just sorting out its pricing but also improving the customer service experience. The latter is another source of complaints by Verizon’s customers and the company would benefit greatly from attending to it.
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Abdullah loves smartphones, Virtual Reality, and audio gear. Though he covers a wide range of news his favorite is always when he gets to talk about the newest VR venture or when Apple sets the industry ablaze with another phenomenal release.
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