Amid iPhone Hype, Verizon Quietly Ending 'New Every Two' Program

Verizon WirelessAmid all the hype around the Verizon iPhone, you may have missed one important change: Verizon (VZ) is ending its popular "New Every Two" upgrade program.

The program offers Verizon subscribers a credit of as much as $100 toward a new phone every two years, SmartMoney reported. As of Jan. 16, the company will no longer offer the credit to new customers and won't re-enroll current customers after their next Every Two upgrade.

Verizon is also toughening up its early upgrade policy.

The changes mean that customers drawn to Verizon by the lure of the Apple (AAPL) iPhone 4 will be locked out of the easy upgrade policies, making each customer more profitable for Verizon.

"The longer you can get customers to go between upgrading their phones, the stronger the profitability for the carrier," said Michael Hodel, an equity analyst covering Verizon for Morningstar.

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quiquetx8n

i been with verizon since 2002 i think its time i left it behind

January 18 2011 at 7:26 PM Report abuse rate up rate down Reply
mayberry1946

count me among the many soon-to-be former Verizon cell subscribers once my contract expires later on this year.this latest fiasco regarding the phone upgrades is the latest in a long list of marketing gaffes that will cost Verizon dearly in the coming months.one such personal experience certainly brings into question the credibility and ethical nature of some of their business practices.their failure to notify me of an impending charge to my account in any manner before referring said item to a collection agency was reprehensible and borderline obscene.having been a longtime Verizon customer and very well satisfied with their service,i found this to be most distressing behavior on their part and going forward have no desire to do business with a company that operates in such an unethical manner.as of october 21,2011,it's BYE-BYE VERIZON!!!!!!!!

January 14 2011 at 5:13 PM Report abuse +2 rate up rate down Reply
trackstar1682

My carrier doesn't force you to do this, but if you choose to, you get lower monthly rates. T-mobile has two sets of rate plans. One for people who like to do the 2 year contract thing and get cheap phones, and another where you buy your phone outright or have it paid for as part of your monthly bill. If you choose the latter, you actually spend less. Verizon would be wise to do it like this instead of prohibiting two year upgrades altogether. However, knowing that my phone was something I wanted enough to actually pay full price, I'm more apt to treat it better.

January 14 2011 at 12:51 PM Report abuse +3 rate up rate down Reply
nyjetsnmets

Just remember folks.. you can carry your phone number to any other carrier... GOOD BYE VERIZON!!

January 14 2011 at 8:31 AM Report abuse +4 rate up rate down Reply
carrie

... also, in our area ... most people were Verizon peeps. Due to the free verizon to verizon feature with talk & text. My friends having Verizon swayed me to sign a contract with them - 6 yrs ago!. And with a change like this ... they will lose a lot of customers. Whoever is making changes like this .... is running the company into the ground. Heads got too big!

January 14 2011 at 8:14 AM Report abuse +3 rate up rate down Reply
carrie

I have 5 phones on one Verizon account! They are making a huge mistake.... Everytime I turn around one of us is taking advantage of the 'new for 2' program they offer. Constantly signing on with a new two year contract. I felt stuck, and thought it would be forever. But loved the idea that i'd have back up from Verizon with always having a new phone. Verizon will lose me, if this is true. I've been frustrated with them teasing ya with their nice phones but only if you purchase a data package anyway! Im looking at the pay as you go phones next! They are just as good! And NO CONTRACTS! Good bye Verizon!

January 14 2011 at 7:38 AM Report abuse +4 rate up rate down Reply
Janet

Well, that stinks! How can keeping customers from upgrading increase their profit? It seems to me, that the "New Every Two" program assured that they would have customers bound by contract each time they upgraded. So, I will keep my current phone until my contract is up, and venture elsewhere for service. I think this is a big mistake for Verizon.

January 14 2011 at 6:04 AM Report abuse +2 rate up rate down Reply
paintppa1

just sucked in for another two years. this will be he end of that. my next move will be to wallyworld. say what you will about how they kill smaller businesses off, they do sell cheap and they do listen to customers...sometimes.

January 14 2011 at 5:54 AM Report abuse +1 rate up rate down Reply
staceyk

Gosh- I thought that was in place because their phones only LASTED about 2 years. In order to get a newer, working phone, and still feel inclined to stay with Verizon after the initial contract was up, it was a good way to sucker people to stay with Verizon. A $50-$100 rebate towards a new phone was not a bad deal (for them) since they are forcing you in essence to commit to an additional 2 years at higher monthly rates. That new phone service offered thru Walmart for a flat month to month fee is looking REALLY good right about now!

January 14 2011 at 5:23 AM Report abuse +4 rate up rate down Reply
Katlin

I thought AT&T was the most unethical company I would ever have the misfortune to deal with -- until I tried Verizon. They make AT&T seem eligible for sainthood. I have been yelled at, lied to, deceived, and grossly overcharged by them. Yes, I was able to get the charges straightened out and removed, but it took a week of dealing with them, and I still haven't received the rebates I sent in for TWO MONTHS ago. They sold me a very expensive air card that was not compatible with Windows XP, then groused about returning it, and when the second air card, which was compatible, malfunctioned, the local store manager was so unpleasant about it that I called the national customer service number and requested that I be able to return it by mail rather than return to the store. They did oblige me on this but I am still awaiting my bill, which I feel certain will be thoroughly messed up. Stay away from both the cell phones and the air cards and go with ANY other company -- even AT&T.

January 14 2011 at 4:38 AM Report abuse +7 rate up rate down Reply