Verizon Wireless, through a selectively distributed discount, is allowing some of its smartphone customers to use an unlimited plan that is similarly priced to Sprint Nextel Corp.‘s marquee offer.

Verizon Wireless is offering a $20 credit to certain customers who are already signed up for a $59.99 plan that includes unlimited text messages, mobile-to-mobile calls, and 450 minutes, as well as a $29.99 plan for unlimited data. The promotion brings the monthly bill closer to Sprint’s $69.99 Any Mobile, Any Time plan.

Verizon Wireless said the credit doesn’t constitute a new pricing plan, but it is intended to be a retention tool aimed at some of its customers. The carrier has already sent out emails and mail in a direct marketing campaign to customers eligible for the promotion, according to a spokeswoman.

Still, the carrier could be testing the validity of a $70 plan. The promotion underscores the competitive environment, particularly in winning over and keeping the most affluent of customers.

It marks the second recent step Verizon Wireless, a joint venture of Verizon Communications Inc. and Vodafone Group PLC, has taken to attract more users to its core service. Last month, it began offering an entry-level $15 monthly data plan.

The Verizon spokeswoman declined to comment on how many people were offered the discount, whether the promotion would be applied more broadly, or how long it would last.

Customers cannot call in and request the discount, even if they have the right plan. Details of the $69.99 price point were earlier reported by website Boy Genius Report.

Sprint has had success with its $69.99 plan, with Chief Executive Dan Hesse regularly touting it as a catalyst for stemming customer defections.

But Sprint’s plan allows customers to make calls to any cellphone regardless of the carrier; Verizon Wireless allows unlimited calls only within its own network.
“We believe Sprint’s plans offer the greatest value for customers,” said a Sprint spokeswoman. “Any Mobile, Anytime continues to be a differentiator for us.”
Verizon Wireless also Monday disclosed its coming Droid Pro smartphone will cost $179.99 with a two-year contract and a $100 mail-in rebate. The Motorola Inc. phone, which targets business users, goes on sale on Verizon’s website Tuesday.

(Source: Wall Street Journal)