O2 splashes out on iPhone ad campaign

05/10/2007 by swordfish.

O2 UK, which is owned by Spanish telecommunications group Telefonica, declined to divulge the size of its marketing budget for the television and poster campaign, which kicks off two weeks before iPhones go on sale in Britain on 9 November.

Matthew Key, O2 UK’s chief executive, told a journalist on Tuesday that it would be the company’s “most significant campaign” in the run-up to the Christmas retail season — but that it would cost well short of $40m.

Key also said he believed 80 percent of O2’s high-value customers wanted an iPhone, while 40 percent of the higher-spending customers on rival networks would be prepared to switch operators to get the handset.

Apple, which broke into the mobile-phone market when it unveiled its iPhone in January, has flouted European telecommunication conventions by not allowing its handsets to be subsidised and by demanding a share of voice as well as data revenues.

The terms of the deal between the two companies have not been published for commercial reasons.

Source: ZDNET

Return to the main QBS site

Posted in Apple, Mobile, Technology News | Print | No Comments »