T-Mobile – History, Brand Value, and Strategies

T-Mobile is a subsidiary brand name for a German-based company headquartered in Bonn, Germany, specializing in telecommunications for mobile communications, and the main company is Deutsche Telekom AG. 

T-Mobile International AG was the subsidiary company, and Deutsche Telekom had most of the shares since 1999. Later everything was merged into the main company for the local business growth by integrating all the subsidiary companies together.

T-Mobile – History

The company is given the credits to start the first ever communication service provider for the mobile network. The systems used were the radiotelephones, which were only used by the postal service providers named Deutsche Bundespost.

  • T-Mobile US came into existence under its current name after German company Deutsche Telekom bought it in 2001. Previously, the company was called VoiceStream Wireless PCS, and was a part of Western Wireless.

The initial days

In 1985, they came up with the first-ever mobile network in Germany called C-Netz. Further, it took four years for the recognition, and the company later came to be known as Deutsche Bundespost Telekom in 1989. 

The rise

Then after 3 years, in 1992, they came up with the first Global System for Mobile Communications and referred to it as D-Netz with 900 MHz frequency band and named it D1, and later D2 was released with the license. 

The company’s name was changed in the year 1995 on the 1st of January to Deutsche Telekom AG. The international part came up in the year 1999. 

T- Mobile Brand value

T-Mobile is an active brand in countries like the U.S.A, Czech Republic, Poland, and the Netherlands and is named T-Mobile US, T-Mobile Czech Republic, T-Mobile Polska, and T-Mobile Netherlands, respectively. There are so many countries where the brand was being used, like Hungary, North Macedonia, etc. 

They had around 230 million registered users under the T-Mobile International subsidiary and other subsidiaries. In Germany alone, it has more than 35 million users. 

It is the 13th largest service provider for mobile communication and 4th in terms of MNC. It has gained positions in many countries’ top 3 companies providing mobile communication. 

It was given the tag of the most innovative company in 2014. The revenue generated was $ 44.9 billion in 2019. It has around 50,000 employees. 

T- Mobile Brand strategies

Expansion in the foreign market

Whether it is shared or is working on its own in many countries, the company has been one of the best and most trusted companies. It is functional in countries like the U.S.A, Germany, Hungary, Austria, Czech Republic, etc. 

For example, in Austria, it was the 100% shareholder of a company that was an Austrian mobile network service provider named Magenta Telekom and has gained a position in the top 3 trusted companies. And it is functional in many other countries. 

It has gained the trust of the U.K market.  

Marketing

In 1999, for marketing, the audio logo was designed and made by Lance Massey to promote the company in France.

For marketing purposes, the parent company sponsors football associations and sports-related clubs and games like German Bundesliga. Further, it sponsors other football associations and teams and league competitions in other companies, like the Scottish Premier League. 

They sponsored league competitions in Austria too. It promoted its own cycling team also. It was the global phone carrier in the FIFA World Cup in 2006 in Germany officially. 

It also invests in banner ads in many countries during games and league competitions. It has also entered the world of baseball by sponsoring baseball competitions. 

  • On September 2, 2001, VoiceStream Wireless Inc. adopted the name, T-Mobile USA, Inc. and began rolling out the T-Mobile brand, starting with locations in California and Nevada.

Collaboration with Sprint and other business companies

In the year 2018, the company merged with a company named Sprint which was a 26-billion-dollar deal. The T-Mobile company became the owner in 2020 with around 43% of stocks.

Likewise, it collaborated with other companies. 

A good listener and a doer

The company came up with a solution to tackle the problems that it was facing because of the user dissatisfaction. 

The company jumped into wireless carriers with the help of Prophet’s research under the “Un-carrier strategy.” With the help of Prophet’s extensive research on the markets. Also, they had designed technology for the customer to mark its performance based on fairness, value, simplicity, etc. This helped the company to gain around 1 million users, which was the by far the largest user growth compared to other companies. 

It also purchases surveys to understand the users’ opinions and suggestions. It provides roaming facilities throughout the world. It also provides internet packages with mobile communication facilities. 

Products range

The company’s product ranges from cellular telephones, wireless personal digital assistants, tablets, personal computers, etc. So, with all these products, the company is expanding and growing. All the products are of high-end quality. 

They also have kits, which increase the integrity more than any other providers in the market. 

Sustainability 

T-Mobile is thinking about ways that are sustainable as well as cost-effective. They have cut down plastic in their packaging and in this the plastic is cut down by more than 40%, and thus there is a decrease by 40% of the total product transport as plastic takes up a lot of space. 

Intermediaries

Through a distribution channel, the company has distributed its product; thus, they get more mouths to deal with users’ concerns. 

This also helps to keep a check on the product’s quality reaching the consumer’s hands. A single direct distribution chain can be seen in supermarkets, stores, etc. 

Future strategies

T-Mobile works on setting targets and completing them. They want to continue this tradition by focusing on a small part instead of expanding rapidly and hitting success but missing it because of the poor quality of service. 

They are working on a full customer support system so that the solutions provided are not short-term but are long-term approaches. They want to work on generalizing and equaling the quality of products in all the markets.

They want to expand in their own market by approaching potential buyers and increasing the brand’s alertness.

T-Mobile wants to increase revenue generation and profits. They are working on users’ participation through several new strategies like changing their plans, going to wireless carriers, etc. 

The complaints are seen as ticking bombs and thus are addressed as soon as possible, thus saving the user from opting for any other service provider. 

  • T‑Mobile Brings 5G Home Internet to Nearly Five Million More Homes Across Colorado, Iowa, Kansas, Missouri and Oklahoma.

Conclusion

T-Mobile is of the companies known for its quality and thus doesn’t want to give space to the users to doubt them in any way. 

The approach to decrease the footprints to work better might have both positive and negative impacts on the company. But the strategy to keep an eye on and regularly check the quality from the user’s perspective is a technique one should learn from T-Mobile. 

Their work approach is based on stability and integrity. But they should focus more on the current market and think about expansion. 

Also, they have to rethink the packages being designed for the users so that all can use them, as because of high pricing, a chunk of people can’t afford or don’t want to take them. 

In the end, wireless technology has won over the hearts of millions of users and thus is considered the best by far to approach users and resolve issues in the shortest time possible. 

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