Virgin Mobile Given VM's target market, VM should structure its pricing model based on option 3. Virgin Mobile should institute a completely new plan model based on the fact that it is a radical departure from the rest of the cell phone industry market. Refer to Virgin's brand values ​​to find that one of their core values ​​is to move into areas where customers have traditionally received a poor deal and offer something better, fresher and of more value. Virgin also prides itself on offering innovation and a sense of competitive challenge. Given Virgin's values, the radical new pricing strategy offered by Option 3 fits perfectly with Virgin's core values. However, the final pricing decision should be based on more than just fundamental values. Many other regional carriers and smaller national carriers account for the rest of the market share. While Virgin's Option 3 calculated LTV may not be as high as the industry, Virgin's approach to market entry may be worth accepting a lower LTV if the entry approach creates demand for its services. When choosing an option, fundamental values, target market and price scenarios should all be considered before making a decision. An important note about the target market is that consumers between the ages of 14 and 24 have little to no experience with contracts and typically have poor credit scores. Additionally, consumers between the ages of 14 and 18 must have a parent sign a legal contract. In light of these facts, it seems that a marketing campaign aimed at consumers aged 14-24 excludes those subjects, typically parents, who must accept the customer's contract... middle of paper... yes The main carriers are been slow to target this segment given the reasons listed above and others such as poor credit scores, inability to sign legal contracts, focus on working adults and business needs, and lack of information about this segment. Additionally, this segment has been slow to accept existing carriers' terms due to pricing complexity, long-term contract requirements, and distrust of carriers' advertising and marketing gimmicks. Carriers believe that long-term service contracts are a necessity of their business model and are unwilling to change this pricing method. Adolescents and young adults cannot or will not accept these terms, so the market segment remains unpenetrated.