| You are in: Business | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Wednesday, 2 October, 2002, 11:19 GMT 12:19 UK Rivals dismiss Branson claims ![]() Vodafone says it no longer simply counts customers Sir Richard Branson has said his Virgin Mobile company has proved better at attracting customers than rivals Orange and Vodafone.
"We're the fastest growing mobile phone company in the UK and we have got our 2 millionth customer twice as quick as Orange managed to get theirs," Sir Richard told BBC Radio 4's Today programme. But Orange and Vodafone dismissed his comments. False comparison Orange spokesman Ben Rosier said: "I don't want to get into a spat with Sir Richard Branson. What matters is our customers.
"We have got 12.8 million customers and our focus remains on our customers." Sir Richard said Virgin Mobile had managed to attract 2 million customers in just two years and 10 months, compared with 10 years for Vodafone. A strong brand But a Vodafone spokesman said the comparison was unworkable.
"The mobile phone market today is somewhat different to the 1980s - the projections then were that we might eventually get 1 million subscribers. "All credit to what Virgin Mobile have achieved," the spokesman said. But he emphasised that Vodafone, with its large number of external shareholders, was a very different beast. Vodafone had already moved away from simply counting numbers of customers, and was concentrating on providing people with more and better services. But it was a competitive market and Virgin Mobile was "a very strong brand", the spokesman admitted. Battered share prices Sir Richard predicted that by the end of the year his mobile business would have made a �15m profit.
But this figure does not take into account costs such as interest and tax. And because Virgin Mobile is a private business, it does not have to publish its figures to the same detail as do its publicly-quoted rivals. Listed mobile companies have seen their share prices battered as optimism over telecoms earnings has waned. Virtual operator Sir Richard's Virgin Group was floated on the London Stock Exchange in the 1980s. But Sir Richard took the company back into private hands after relations with the City soured. "Right now I think we are delighted to be away from the public arena," he said on Wednesday. "We can build companies for the long term in quite a lot of sectors rather than having to answer to shareholders." |
See also: 21 Sep 02 | Technology 13 Sep 02 | Business 09 Aug 02 | Business 24 Jul 02 | Business 25 Jun 02 | Business 09 May 02 | Business Internet links: The BBC is not responsible for the content of external internet sites Top Business stories now: Links to more Business stories are at the foot of the page. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Links to more Business stories |
![]() | ||
| ---------------------------------------------------------------------------------- To BBC Sport>> | To BBC Weather>> | To BBC World Service>> ---------------------------------------------------------------------------------- © MMIII | News Sources | Privacy |