"From our vantage point, being third in the marketplace is not a bad thing," explained MiPhone chief operating officer Colin Webster.  "We have five per cent of the market share and we like to think they spend disproportionally to their actual numbers."

MiPhone has built a business model based on monthly subscriptions.  "Calling plans are the main driver of our business," Webster explained.  "In that plan we will drive the most value.  Many Jamaicans think that they are poor but spend a lot of incremental amounts on buying minutes.  The 'please call me' concept is driven by the fact that there are customers with no credit.  Our customers don't have that problem."  MiPhone sells its individual and corporate customers packages that require monthly payments based on the number of members in the plan.  In return, subscribers have unlimited access to the voice or data network during the month.

"The per minute calling plan is a concept that we are moving away from," said Webster.  MiPhone does offer per minute calling plan so that its customers can call other networks.  These prices are not discounted but in return MiPhone gives $1 per minute to its customers who receive calls from other networks.

And while MiPhone continues to promote the subscription-based packages to its clients, especially retail clients, other mobile carriers are now doing the same.  This month Cable & Wireless Jamaica launched its TeamMember calling plan.  The C&WJ plan carries a monthly fee of $400 (plus tax) per person for up to four team members.  MiPhone has a similar plan that starts at $300 (plus tax) for each of two members in the MiCircle plan.

As the number of groups in the MiPhone calling circle increases so does the monthly subscription, however, the circle can include up to 100 persons.

"With the use of calling plans, our revenue per person goes up.  We focus on giving value to our customers so that they will spend more," Webster stated.

This focus on driving the per customer spending pattern has resulted in MiPhone hitting an important financial milestone.  "We are pre-tax profitable but not after-tax profitable," Webster explained.  "This business has a long- term horizon and we are ahead of our original projections."  This pre-tax profit milestone is as a result of the complete reorganisation of MiPhone under new ownership.

"When Centennial Jamaica owned MiPhone it wasn't growing so they sold it to Oceanic Digital Jamaica.  The objective, under Oceanic, was to turn the company around.  And January of this year we achieved the pre-tax profit objective," said Webster, adding that once the financial framework was set, the company began to look at other areas in the business.

"First, we cleaned up the financial position and now we are looking at our marketing strategy.  We have begun to revisit what we want to achieve," he said.  MiPhone has also embarked on several initiatives to take its market share were it can.

"The mobile market in Jamaica is very segmented.  People want more access to technology," Webster explained.  "Five years ago when MiPhone opened its doors, mobile meant voice.  There was an euphoric feeling of 'free at last' because mobile phones were seen as elitist."

Now, the focus, according to Webster, is on capturing segments of the market, whether it is voice, text, video or Internet.  "We are pushing Internet access in the immediate future," he said.  "There is an appetite and hunger for Internet connection driven by the educational sector.  Broadband is the order of the day and dial up has been rejected."

And once again, MiPhone is approaching the Internet market with subscription packages.  However, the landline market is still an active one in Jamaica and MiPhone has recognised this.  Two months ago, MiPhone teamed up with Michael Lee Chin's Flow telecommunications company to offer free calls between MiPhone and Flow customers.

"It is an association," Webster explained.  "Flow and MiPhone share a preference for subscriptions versus per minute fees.  So, we opened our network to each and this has been very well received by our clients."

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