Sure seems like it.
T-Mobile has made massive changes in the compensation structure to Metro by T-Mobile dealers. Despite vocal opposition, directly to senior management, no real changes have been made.
Now, word on the street is certain dealers are being told to prepare to close. Permanently. Through various sources, we’re hearing it could be up to 1500 or 2000 more store closures.
Let’s look at what we know:
• Before the merger, Metro had about 9500 retail locations.
• In April, T-Mobile eliminated non-exclusive Metro stores, which removed about 750 or so stores.
• In September, T-Mobile started to “poach” (as the dealers called it) Metro customers who paid 12 months or more, “inviting” them to become T-Mobile direct customers.
• Now, factor in the compensation changes, where stores actually can lose money on every sale.
• With the COVID-19 pandemic, corporations learned they don’t need as many brick and mortar locations – people WILL buy on-line.
So, does it all add up to “8000+ locations are too many”? It certainly looks like it.
We would like to ask the FTC and FCC, does this violate the promises John Legere made during the merger negotiations? In fact, we will ask them just that,
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