iPhone Campaign- Orange (Partner), Cellcom and Pelephone Join Hands

September 7, 2009

post_iconCellcom, Partner (Orange brand) and Pelephone, will join efforts and resources in order to launch one single iPhone capaign for all Israeli operators bringing the iPhone.
Each operator has obliged to contribute 1.5 million ILS  in order to promote iPhone sales together with the exact same campaign. Yes you are reading correctly- the “fierce” competition will be forgotten through the campaign in order to creat a win-win situation for operators.

Actually this initiative kind of makes sense, because Apple doesn’t allow any of the operators to change the campaign creative- with the same (boring, techy) ads in every country regardless of culture, religion and weather 🙂 …

Apple is expected to contact the Commissioner of regulation Ronit Kann to ensure that the activity is conducted in accordance with the regulation – which according to Apple, could delay the launch…

The mobile blog of Israel is speculating that Apple may use this as an excuse to delay the launch and maybe just didn’t manufature enough iPhones to fulfil the demand … and not just in Israel.. (then again just a speculation).

Meanwhile The Mobile Blog of Israel is considering to buy a little Android baby for itself, but waiting for a true Hero..

Israel Debates Permitting MVNOs in the Market

July 3, 2009

post_iconIsrael’s Knesset, or Parliament is debating plans to permit the launch of MVNOs in the country. ­The Economic Arrangements Bill, being debated by the Knesset Economics Committee, accompanys the state budget and includes a clause to permit MVNOs in the country. The Ministry of Communications initially proposed plans for MVNOs earlier this year. The incumbent operators have until this week to lodge their opinions on the new legislation, and the Knesset is expected to vote on the bill around the middle of next month. If passed, then MVNOs could start applying for licenses within a couple of months. The legislation gives the network operators up to six months to come to a commercial agreement with any licensed MVNO – after which the government would step in to impose an agreement. The country has been debating the entry of MVNOs since at least 2007, when a report from National Economic Research Associates, commissioned by the regulator came down in favour of their services. The network operators in turn responded with their own study, carried out by LECG, which came to the opposite conclusion.

Source: Cellular News

Orange and cellcom launch partnerships- a few updates

June 27, 2009


Orange Partners with ‘Bug’

Orange has announced a partnership with ‘Bug‘, a chain of 50 computer stores across Israel. The partnership will allow Orange (Partner) to operate sales counters iwithin the stores in order to promote the sales of Orange’s  (Partner) broadband/ mobile broadband, netbooks, landlines and additional products. The strategic partnership comes a few months after Partner has waived on operating its points of sales in ‘Superpharm’ durgstore chain, who has been in a long partnership with Orange  which was established almost from Orange’s first day in Israel.

Pelephone has already replaced Orange in operating  ‘Superpharm’s points of sale and it seems that Orange needed to change location in order to change customers preception of it services range. In order to communicate to customers that the service range includes a strong link to internet thease day it was important to sell it alongside with computers. This step further emphsizes that Orange is a quad-player.

 Cellcom Partners with ‘Egged’

Cellcom has partnered with ‘Egged‘ transportation (bus company) and ‘Transpot’, in a project that will see that bus passengers will have the ability to track the driving path and know the approximate estimation of arriving to their final destination.

The information will be displayed to passengers on two screens: one near the entry door and the driver, and the other near the exit door.

Well, this sounds kind of cool! The mobile blog of Israel can’t wait to check that out..

What do you think?

Pelephone and Partner will bring the iPhone to Israel

June 15, 2009

post_iconAfter a very long wait, Pelephone and Partner announced today that they will bring the iPhone to their customers starting in October. Cellcom not expected to market the device.

The launch takes place late in relation to the rest to other countries. Over the years, the device has been brought independently by many people and there are currently an approximate number of 80 thousand iPhones in Israel.


According to to the financial newspaper “Calcalist” the iPhone will be sold in Israel for a subsidized price, estimated at 199$, similarly to its subsidized price in other countries.

That is due to both operator’s agreement conditions with Apple, forcing them to rise subsidies to 200 million ILS per year. According to Calcalist Orange’s (Partner Israel) expense on subsidies was 87,000 ILS on 2008 (Pelephone does not disclose those details).

Cellcom who has decided not to market the iPhone at this point continues to lower its subsidies on devices. A smart move on one hand, but on the other hand not as smart if Cellcom won’t start to heavily subsidize at least on real premium device to allow them to push content and app to customers.

The mobile blog of Israel is proud and happy to hear that the iPhone is finally coming to Israel at a reasonable price and congratulates Pelephone and Orange for their wise decision to give the iPhone “Alia”.



Pelephone releases a new ad for roaming

June 13, 2009


If you read our blog regularly you probably noticed that Pelephone is on a row  and since launching its new GSM network new campaigns just keeps coming..

So as you probably know already (since you read are recent posts 🙂 ) Pelephone has recently launched its new roaming offer Global Pass , allowing business customers make calls for 0.59 ILS after a 4 ILS set-up fee. when does it pay off for the customer? only if yourphone convesations are usually long. for more details see previous post: Here.

So after all the introduction, Pelephone has released a few days ago a new ad featuring Vodafone Netherlands as a strategic  roaming partner. The roaming agreement was signed on 2006 already but Pelephone ultimatly decided to advertise it only now, my assumption is that the agreement was signed over GSM networks Pelephone never had until now.. (not that it wasn’t in use since Pelephone provided GSM phones for travelers but it was less convenient for customers).

Pelephone has recently announced that during summer time travelers joining Global Pass will do it for free without subscription charges and with no commitment to a service period.

The ad doesn’t say how many roaming partners Pelephone has or how many countries around the world they cover but it does say that Pelephone customers can use their phone from the the largest number of countries around the world.

Here’s the ad,


Pelephone GSM. Campaign, Strategy, Pricing

March 8, 2009



Outdoor Ad

As I’ve promised, I continue to cover the launch of th the new HSPA network by Pelephone. In the previous post we’ve also witnessed an unexpected help from Stavik (she is helplessly busy with some unimportant things these days :-). As she has described and criticized the new advertising campaign very well, I’ll just say a few words about it and then will share a few observations, thoughts and of ciurse pics from the new campaign.

After the very very soft launch, on the last week the campaign finally started with a huge number of outdoor posters. I believe that every third billboard in the country is covered right now with Pelephone’s strange creatures. Yet, I must say that I prefer to see these creatures instead of the annoying faces of the politicians, left from the elections. After a few days A TV spot has also appeared.


Outdoor Ad


Outdoor Ad

Now, as I’ve mentioned before, I was very curious of the pricing strategy Pelephone would choose in order to attract customers to the new network. A visit to Pelephone‘s website has shown that the operator offers a few packages varying in number of the included minutes. All packages also include a handset and all come with 18-months contract. No evidence of any other option. Being suspicious and still curious (yes I know, this isn’t a good quality) I passed through their service center and talked to a salesperson. She offered me exactly the same packages plus an option to take a similar plan without a long term commitment. In both cases the prices were above average on the market. And still no option to get a SIM-only deal. She just said that I don’t have to take the phone – the price wouldn’t differ.

So, what do we have?



Printed ad in the service center

It seems that the operator has chosen the differentiating strategy. It’s message tries to convince that Pelephone offers something the competitors’ don’t. The logo “High speed GSM” is chosen due to the fact that the average consumer the the technology used by Partner and Cellcom called GSM. Hence, Pelephone is saying – our GSM is better, completely ignoring the the fact that both Cellcom and Partner have been offering this “high speed” technology (HSPA) for a few years.

The second leg of the campaign is standing on the devices offer, presenting a new range of Nokia and Sony Ericsson handsets as an inevitable part of the proposition. Indeed, they have a few nice gadgets, but being honest, I doubt this will attract the mass market consumer.



Printed ad in the service center

As I’ve said, the price level is above average on the market except for the unlimited data package that is a little cheaper. Generally, as Pelephone executives had promised before the launch, Pelephone tries to attract by the extra value rather than buy price cut. It doesn’t take the risk of price war and market break.


Printed ad in the service center

However, I’ve a guess that after an initial period, when the early adopters and impulsive buyers potential is exhausted, Pelephone will have a little choice and will probably slash the prices for very simple reasons. Today Pelephone has to run both CDMA and GSM networks with doubled operational costs. Naturally, their higher interest must be switching the old network off. So I expect a very aggressive marketing effort targeted at the existing customers. In addition’ the operator has an almost totally unutilized network, meaning that the marginal cost of every new subscriber is close to ZERO. I believe it may be wise for Pelephone to transfer aprt of that zero to the customers (in some kind of discount). Though I must admit that I don’t familiar with the figures of the elasticity of demand in Israeli mobile market. So, maybe Pelephone will manage o keep the prices high without a decrease in sales.

The absence of the SOM-only deals is not quiet clear to me. Today, in the economic turmoil. the leading carriers in the world are trying to minimize handset subsidizing and on the other hand to match people’s demand to minimize their expenses. I don’t sure how much people who are afraid to loose their job desire to buy the latest Nokia smartphone. Surprisingly, Pelephone is pushing heavily subsidized phones without any other alternative for the consumer.

I suggest that the only reason is the commitment period. While according to the new regulation rules the maximal contact period is limited to 18 months, the payments for the device may last as long as 36 months, creating some kind of longer commitment.


Cellcom's offer for Pelephone customers

Yesterday I saw the first results assessments released by of one of Pelephone’s bosses. He talked about thousands of customers who had joined the new network even before the main advertising effort started. Maybe after all the offer is seen as attractive and beneficial enough! CONGRATULATIONS TO PELEPHONE!


In the last few days is seems that the operators didn’t succeed in avoiding a price war. For now, the battle is between Pelephone and Cellcom only. Cellcom offers a special price for Pelephone customers (30 agorot/min) and so does Pelepfone for Cellcom customers (34 agorot/min). Let the action begin!

Pelephone GSM. The first pictures

February 10, 2009


As I’ve promised I continue to inform about Pelephone’s new network campaign enrollment. Yesterday I’ve passed again near Pelephone point of sale in the central bus station in Jerusalem. This time it looked better. New posters with “High speed GSM” logo had already been placed. It seems also that the staff has been reinforced (3 sales persons instead of the usual 1 or 2). Here are a few pictures I’ve taken. Btw pictures were shut by my brand new Nokia N79.

Pelephone poin of sale

Pelephone point of sale

Pelephone GSM poster

Pelephone GSM poster