Cell C changes tune and tries to swim with the sharks

Cellphone operator Cell C, which is investing R5-billion in infrastructure this year, will launch its first wireless broadband services this month.

Speaking at the unveiling of the company's new branding, chief executive Lars Reichelt said the Cell C network will offer "beyond 3G" services, with new technology allowing it to surpass speeds on offer from competitors MTN and Vodacom.

Switch-on in the first two cities, which Reichelt did not want to identify for competitive reasons, is expected in the next three weeks. Tests are under way in six cities in total, and the new network will cover more than 30% of SA's population by year-end. This is roughly similar to MTN's and Vodacom's 3G rollout, he said.

"Billions of rands more" will be spent on infrastructure in 2011.

Cell C is spending R150-million on a rebranding and marketing campaign with South African comedian Trevor Noah, and another R150-million on upgrading stores.

"We want to re-launch Cell C as a brand that is a consumer champion," Reichelt said. The aim of the collaboration with Noah, the company's "customer experience officer", is to get customers talking to Cell C about problems they may experience with billing systems, contracts and network quality.

Changing branding is not enough to win market share, but it "sends a strong signal that they don't want to be the same Cell C", World Wide Worx director Arthur Goldstuck said.