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Back to basics: Orange’s iPhone 4 loyalty approach

Posted by: Bertrand Chovet on June 16, 2010

The new iPhone hits the French market on June 24 and Orange is completely reversing its launch strategy for the iconic device.

Until recently, Orange was mainly using the iPhone to capture new clients. Now it is shifting gears—the iPhone is being used as a loyalty tool to forge a stronger relationship between the provider brand and its users.

Orange plans to focus its commercial effort on its client base. Unlike new subscribers, loyal users will be able to purchase the iPhone at 15 percent off the sale price.

Orange was the first in Europe, Africa and the Middle East to capture the iPhone’s early adopters. This is a smart brand move to defend and reward those who are contributing to the business on a daily basis.

The shift shows that Orange prioritizes customer above its immediate business. By returning to the fundamentals of an engaging customer relationship, Orange understands that managing user loyalty creates more value in the long-term.

So what should Orange do next? Why not go even further and launch new offers that convert users within a family to switch to smartphones, if one of the members is already a subscriber...

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