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Getting wireless providers to compete for your business

While consumers remain anonymous, dealers can see the other offers on the table and are driven to sweeten their deal not only in terms of cost, but also with added features, promotions, accessories or insurance. In February, when it came time to set up his wife with a phone, Seraji again turned to MCMT and landed a $22 talk and text deal that included an LG phone and a free watch.

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The online portal offers a one-stop shop for not only cell-phone plans, but also devices such as the iPhone, BlackBerry and Palm Pre.

The target market is wide; if you're not happy with your current plan or fee, says Peic, it's worth putting feelers out to see if potential savings might compensate for the dreaded cancellation fee or if a dealer is offering a conversion credit -- sometimes $50 to $200 -- to cover costs and entice you to end your contract. He cites one customer, a real estate agent, who went from paying $300 to $100 a month.

The service is free for consumers, but MCMT makes its money by charging dealers a nominal fee -- the average is $25 but varies according the value of the business -- for matching them with a customer. Dealers get on board because it's a cost-effective tool for winning new business with no overhead costs or staff expenses.

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Dealers who want in register on the company's website, and MCMT vets all applicants and trains them to use the system. At the moment there are close to 100 dealers, mostly in Ontario, Alberta and BC. The plan is to be in Quebec next month. "We are growing the dealer network and looking to be across Canada as soon as possible," says Peic, adding that consumers living in any part of the country can already use the service, the caveat being the dealer might have to arrange shipping if there's a new phone involved.

The site, which launched last year, is fully operational but still in the beta-testing stages as the company's owners perfect the system. "The response so far is amazing -- we have thousands of customers that come on the site," says Peic.

It is little wonder consumers are taking notice. Canadians have long bemoaned the wireless industry and its carriers, complaining about high prices, sketchy service and limited competition, which leads to lack of choice. With a slew of new carriers set to enter the wireless market, the industry is on the verge of major change as competition heats up and disenfranchised consumers relish in their new-found power.

But it's a complicated industry, and MCMT is positioned to help people navigate the system and customize their cellular wish lists. "It makes sense on so many levels," says Seraji. "The prices we pay for wireless are too much, so anything that helps is welcome."

Michelle Warren is a freelance writer living in Toronto.

-- Posted Apr. 2, 2010
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