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April 20, 2006
Amazon: More Cell Power
Amazon.com has just made another step toward becoming the world's larest seller of cell phone devices and plans. On April 20, the company announced an agreement to market offerings from InPhonic, the No. 1 online seller of cell phone plans, on its site.
The significance: With InPhonic's help, Amazon will start selling popular family plans. Up till now, Amazon, which has sold wireless plans since November of 2000, has not offered these. InPhonic should also broaden Amazon's selection of pre-paid plans and accessories. With this announcement, Amazon will, in effect, have everything and more than what other online wireless retailers offer.
InPhonic will also integrate a bunch of its tools, allowing shoppers to compare various carriers' cellular plans, into Amazon's Web site. The Amazon-InPhonic partnership, in the works for two years, will debut in the fall. And I believe it could go a long way in boosting Amazon's wireless sales.
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While I think this is a decent move for InPhonic, Amazon has an uphill battle against InPhonic's horrendous customer service record. Below quoted from: http://www.dc.bbb.org/report.html?national=Y&compid=23004111
BBB Membership Issues
In November, 2005 this company's membership in the BBB was revoked by the Board of Directors of the Better Business Bureau due to failure to maintain the principles and standards required for membership.
Based on BBB files, this company has an unsatisfactory record with the Bureau due to unanswered complaint(s).
Customer Complaint Data
Number of complaints processed by the BBB over the last 36 months: 1920
Number of complaints processed by the BBB in the last 12 months: 939
Posted by: Jake at April 20, 2006 09:29 AM
Nah, I disagree with Jake. I think Amazon has a ton to gain. Even though Amazon is a better known name than InPhonic, the fact is that InPhonic is a far, far bigger wireless retailer than Amazon. The number of complaints are proportionate with how much bigger InPhonic is than Amazon; Amazon has it's share of complaints in the wireless phones vertical -- The increase in selection, as well as the family plans thing, together with automatic activations is going to be a huge boon for Amazon's cell phone volume.
Posted by: Joan at April 25, 2006 04:25 PM