Over the past decade, celebrity interest in investing in technology companies has increased significantly. But not all celebrity investments are created equal. Some investors, such as As5hton Kutcher, have prioritized venture capital activities. Others have invested casually without getting too involved. On the other hand, there are those who have used their considerable platforms to market their portfolio with varying degrees of success.
In the following Guinea Mobile article we will look at the case of the Mobile Virtual Network Operator “Mint Mobile” of a well-known Hollywood actor.
What is Mint Mobile?
Mint Mobile is an American telecommunications company that sells cell phone services and operates as an MVNO using T-Mobile’s cellular network in the United States.
The company was established in 2016 with the idea of offering an “affordable premium wireless” service direct to consumers. It has won numerous awards so far, including “Most Disruptive MVNO” in 2017 and 2018.
Ryan Reynolds buys an equity stake in Mint Mobile.
In late 2019, renowned actor Ryan Reynolds also partnered with Mint Mobile, acquiring an equity stake with the prepaid phone provider.
Reynolds soon got to work, pushing the service to his 38 million Instagram followers and 17.7 million Twitter followers. According to a source, the 44-year-old star had a solid source of motivation: his stake in Mint is estimated to be between 20 and 25 percent of the company, the source said.
The also entrepreneur, quite apart from communications and marketing, is also involved in “strategic decision making” at Mint.
It’s unclear how much Mint has expanded since Reynolds joined, but an earlier report suggests that between November 2017 and November 2020, the company grew revenue by 50 000%.However, wireless carrier D2C has seen its biggest growth days thanks to Reynolds’ marketing initiatives and announcements.
How is Mint Mobile different from other MVNOs?
Mint is a mobile virtual network operator (MVNO), which means the company relies on another network, in this case T-Mobile, to provide service to customers. And unlike other MVNOs, it uses a direct-to-consumer model, omitting any physical contact.
Mint Mobile really stands out from the crowd when it comes to value. That is, Mint Mobile’s plans offer a greater amount of data for its cost, much more than some pay-per-month competitors.
To give you an idea of what we’re talking about, Mint’s unlimited data plan costs $10 a month, cheaper than Visible Wireless ( its main competitor), and about half the cost of a postpaid plan on AT&T, T-Mobile, or Verizon.
Like most prepaid carriers, Mint Mobile has a fairly “what you see is what you get” way of operating.
Mint Mobile’s wireless offering
Under the “Buy More, Save More” philosophy the company introduced the concept of bulk purchases in the wireless space. Its plans come in 3-, 6- and 12-month allowances: the more months the user buys in advance, the more he or she saves.
Another point that sets Mint Mobile apart from its competitors is that they allow the user to choose the plan they want for a fair price, as well as inform them of their current data usage per month. This way, the user can stop overpaying for data they don’t use and save even more when it’s time to renew.
How did Mint Mobile reduce costs?
Unlike traditional carriers, Mint Mobile does not operate from any physical stores across the country, ensuring that they can keep operating costs to a minimum which ends up benefiting Mint users.
Mint also likely won’t have to pay for the physical maintenance of the network they use, as it is essentially a tenant to T-Mobile’s larger network. Previously, the company has also not paid much to run ads through traditional media, although we know that this is of course changing now, with several high-profile TV ads airing recently.
Mint Mobile’s pricing system is also likely to be a contributing factor to the overall price. Selling cell phone plans in three-, six- or 12-month increments likely keeps subscribers retained at a higher rate compared to the traditional prepaid monthly payment model and allows them to have a more consistent revenue stream. If that’s the case, then it could be time we see this type of pricing system implemented soon in other operators.
Guinea Mobile’s white label mobile offer
In Guinea Mobile we offer as a solution, the whitelabel mobile offer. In other words, we provide everything from connectivity, omnichannel support, etc. We provide all the technology for companies wishing to sell mobile services under the mobile virtual network operator modality.