Vonage VoIP Expands Number Of Countries In New Unlimited Plan
Vonage VoIP has rolled out a World Premium Unlimited calling plan, that is predicated on the idea that customers who want to call family members living abroad, should not be limited by expensive fees or worried by time spent on the phone.
The new World Premium Unlimited plan builds on its existing World plan by expanding the number of countries eligible for unlimited calling from 60 to 80, including unlimited mobile phones in 42 countries.
Vonage subscribers are increasingly calling family on their mobile phones, however when calling mobiles in countries such as the UK, Mexico, Dominican Republic and Columbia, subscribers pay a very high cost.
The World Premium plan which is currently only available in to Vonage customers in the US, offers unlimited calling to either landline or mobile callers in 42 countries including Brazil, Costa Rica, Japan, Australia, France, Spain and the UK for one flat price of US$54.99 a month.
Mike Tempora, senior vice president of product management for Vonage, said : “The great learning for us has been that more and more of the outbound calling volume is going to mobile phones in these destinations, which I think that’s a reality for most people. When they make a phone call they want to and reach a person so World Premium gives people the ability to call friends and family wherever they are at home or on their mobile, particularly in these key Hispanic markets including Mexico, Dominican Republic, Colombia and Brazil.”
What Vonage is banking on with the new offering is driving flexibility. “It appeals to people’s needs to have the freedom and ability to contact those individuals they want to talk to without having to schedule appointments,” Tempora said, adding that their international customers “can call them any time of day” on their mobile phone.
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Vonage Reports Record First Quarter Results
Vonage Holdings reported record first quarter profits after adding 3,345 subscriber lines to its estimated 2.4 million existing customers.
The company delivered net income of $21 million during the quarter, after having reported a $42 million loss during the previous quarter, and exceeding the $14 million the company earned during the same time frame in the previous year.
The additions to its subscriber base represents the second consecutive quarter of growth for a company that previously was struggling and now appears to be rebounding.
Marc Lefar, the company’s chief executive, says that over one million Vonage VoIP subscribers, or 43 percent of the company’s customer base, subscribe to Vonage World the plan that offers unlimited calling in the United States and Puerto Rico and across roughly 60 countries.
The company has undertaken a growth strategy designed to raise its market share of the international long distance market. The company is also seeking to increase its customer base outside of the US, and offer mobile products.
The strong quarter and the cash flow that was generated enabled the company to prepay roughly $20 million in debt. The company expects to prepay another $30 million by the end of the year, reducing annual interest expense by nearly $5 million
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