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Home - , , - Metro by T-Mobile Dealers Start Petition Against Major Changes T-Mobile is Planning

Metro by T-Mobile Dealers Start Petition Against Major Changes T-Mobile is Planning

Metro by T-Mobile dealers have written a petition to try and stop T-Mobile from making major changes to their program. This new moves follows after dealers have spoken up on Twitter to voice out their concerns against these changes. 

According to the dealers, the changes will have a negative impact on their cash flow and revenue. As such, they have decided to write a petition to the President, Department of Justice, and T-Mobile. 

The petition details how the changes that T-Mobile is planning will affect over 8000 stores and more than 20,000 employees. Although there is one upside from the changes, it still has several downsides that will negatively affect the upfront income and cash flow of the dealers. 

These are the changes enlisted on the petition:
  1. Currently we get paid X amount for activating a customer a new line service, effective 10-1 that amount will be decreased and we can possibly earn more if the customer stays active for 6 months, YES, 6 whole months! Keep in mind this is a Prepaid customer.
  2. Currently Dealers make a portion of the Payment fee on taking in-store cash payments. This helps off set bank deposit fees, credit card fees, employees time taking the payments. T-Mobile is Removing that Effective 10-1. Most carriers pay a monthly residual ex: Cricket
  3. Currently we may purchase and sell Cellphone accessories from any vendor to stay competitive with other outlets such as Boost Mobile, Cricket, Walmart, Target, Five Below, etc. effective 10-1 we must purchase from a single source vendor which is known for shortage of products and not proper product mix that our customers want. This is illegal as they are treating us as a franchise. Our cost will go up, which means our retail price will go up. This will make us less profitable and less competitive as we will have to sell at our old pricing.
  4. Customers can currently receive discounted upgrade pricing every 90 days. Effective 10-1 this will change to every 180 days. This will make it tougher on dealers to retain a customer for 6 months in order to earn that full potential commission. It’s a double negative situation. It works against the dealers and employees.

 

Apart from just turning to the petition to voice out their concerns, the dealers have shared some suggestions on how they can retain a viable and profitable business:

  1. Same amount in commission proposed spread over 3-4 months instead of 6 months
  2. Residuals on payment income with a minimum threshold (use 12 months of current fee come as a base starting point)
  3. Optional accessory vendors not limited to single source vendor
  4. Customer upgrade policy back to 90 days
  5. Stop T-Mobile from poaching Metro Customers
  6. Change dealer guidelines to work against stores from staying competitive in the prepaid space
  7. Stop T-Mobile reps from constantly harassing us to Slam customers with features and MRC
  8. Compensate dealers that were forced to close their Doors via a mass Nationwide termination. Dealers were given no reason or explanation. This hurt many businesses, families and employees.

The dealers also alleged that T-Mobile is treating them as a franchise, which is illegal. They also pointed out that T-Mobile has been sending out a message to Metro customers, enticing them to switch to T-Mobile with special financing and pricing. This practice, as pointed out by the dealers, is a conflict of interest and is illegal. 

The dealers have requested readers to sign the petition so that they can do their part in helping "make Metro great again!" 


You can read the petition here. 

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