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Products: Verizon Communications Inc. (VZ)



What is being offered?

  1. Subscriber Voice & Data Plans

    • Subscribers typically have 1 or 2 year contracts and pay monthly for mobile services, though the industry has been moving away from the contract/subsidy model.

    • Mobile services, depending on the service plan tier, include fixed or unlimited anytime minutes, along with data features, such as text messaging, picture and video messaging, email, and web browsing.

  2. Prepaid Phone Plans

    • Verizon customers can pay for mobile service in advance of usage.

    • Customers add minutes to their usage plan by purchasing prepaid calling cards or electronically through the Verizon website.

  3. Mobile Phones

    • Verizon offers a variety of mobile phone options to attract customers.

    • Manufacturers of Verizon can select between phones made by Nokia, Research in Motion, Motorola, LG, and Samsung .

Who is buying?

Individuals are buying directly and/or indirectly through employer-provided mobile plans.


Verizon's competitors include AT&T, Sprint Nextel, T-Mobile

What Buyers Care About

  1. Wireless coverage area
  2. Signal strength, call quality, and call reliability
  3. Calling plan features, including free anytime minutes, web browsing, text messaging, picture and video messaging, email, and video
  4. Mobile phone selection
  5. Price of phones
  6. Price of service and bundling discounts
    • Bundling with Verizon residential phone, Internet, or FiOS TV services
    • Bundling of multiple voice plans (e.g. family plans)

Verizon's Top Selling Points

  1. Wireless coverage and reliability
  2. Customer service and satisfaction

Verizon Postpaid Retail Subs.

Verizon Postpaid Retail Subs. represents the number of postpaid subscribers on Verizon's network. It includes both postpaid phone and other postpaid subscribers.

Verizon's forecast has increased from levels of about 109 million in 2016 to about 113 million in 2018, driven partly by the expansion of Internet devices, including tablets and other connected devices on the company's network.

Chart: Verizon Postpaid Retail Subs.

Mobile Subscriber Plan Pricing

Mobile Subscriber Plan Pricing represents the monthly amount that Verizon’s contract postpaid wireless subscribers pay on average for wireless service (both voice and data service).

The average Mobile Subscriber Plan Pricing for Verizon has decreased from around $45 in 2017 to about $44 in 2018, likely due to the reintroduction of unlimited data plans, which reduce overage fees and limit the spending of high-value customers.

Chart: Mobile Subscriber Plan Pricing


What is being offered?

Verizon's Wireline segment provides communications products as well as enhanced services that include video and data services, corporate networking solutions, security and managed network services and local and long distance voice services. The business is organized into four segments namely Consumer Markets, Enterprise Solutions, Partner Solutions and Business Markets - based on the end customer group.

Who is buying?

The wireline business serves multiple customer groups.

Consumer Markets: Consumers, primarily in the United States.

Business Markets: U.S.-based small and medium businesses, state and local governments, and educational institutions.

Enterprise Solutions: Large corporations and government agencies.

Partner Solutions: Other local, long distance, and wireless carriers.


Verizon's competitors include AT&T, Sprint Nextel, T-Mobile

What Buyers Care About

  1. Reliability of fixed-line connectivity
  2. Pricing
  3. Bundled features
  4. Good customer service support

Verizon's Top Selling Points

  1. Coverage and reliability
  2. Customer service and satisfaction
  3. Ability to offer bundled service with wireless and broadband service

Consumer Markets Revenue

Verizon's Consumer Markets Revenue represents the revenues from the company's Consumer Markets operations, which provides broadband Internet and video services (Fios Internet, Fios Video and high-speed Internet services) as well as local and long distance voice services to residential subscribers.

Consumer Markets Revenue has remained almost flat, ranging from around $12.6 billion to $12.8 billion between 2016 and 2018. This was largely due to a decline in revenues from the Fios Video, voice, and high-speed Internet services although this was offset by increases in Fios Internet revenues, amid subscriber growth and higher value customer mix.

Chart: Consumer Markets Revenue

Enterprise Solutions Revenue

Verizon's Enterprise Solutions Revenue includes revenues from the company's Enterprise Solutions division, that provides traditional circuit-based network services as well as advanced services such as Private IP, Ethernet, and Software-Defined Wide Area Networks. Enterprise Solutions also offers security services to manage, monitor, and mitigate cyber-attacks.

The division primarily caters to large business customers, including multinational corporations, and federal government customers.

Enterprise Solutions Revenue declined from around $9.2 billion in 2016 to about $8.8 billion in 2018, driven largely by a drop in traditional data and voice communication services revenues amid competitive pressures. The metric to see a slight decline over the long-term.

Chart: Enterprise Solutions Revenue