Verizon is making a push to win over wireless customers with streamlined plans, a new rewards program, and the elimination of activation and upgrade fees, the company announced Tuesday.
The telecom giant is locked in fierce competition with AT&T and T-Mobile in a saturated U.S. market, where carriers have been offering device subsidies, plan discounts, and ramping up spending on network infrastructure.
Beginning in July, Verizon’s new loyalty program will give postpaid customers 3% back on their monthly bills. Those rewards can be applied toward the purchase of a new phone or used at consumer brands including Sephora, Hilton, Marriott, and Starbucks.
Alfonso Villanueva, interim CEO of Verizon Consumer Group and the company’s chief transformation officer, spoke with Reuters about the strategy, saying it’s designed to give customers more flexibility and simplicity.
“How do we create a value proposition that makes sense for every cohort?” Villanueva said, adding, “We are convinced that our retention will be even higher.”
All postpaid customers on phone and connected device plans will be eligible to opt into the loyalty program and avoid those fees. Additional perks include free Starbucks coffee, a Dunkin’ Donuts treat, or FIFA World Cup 2026 merchandise.
Among the new offerings is a “Simplicity” plan that eliminates network tiers, and another option that bundles Mobility and Home services onto a single bill with taxes and fees already included.
Under new CEO Dan Schulman, Verizon raised its annual profit forecast back in April. The company declined to disclose the cost of Tuesday’s announced changes but said they are expected to add to revenue. Verizon also confirmed the new program would not alter its 2026 financial guidance.
Similar to AT&T, Verizon has been leaning on discounted bundles that pair high-speed broadband with wireless service — a strategy intended to keep customers from switching carriers.
T-Mobile has found success with its own loyalty perks and aggressive marketing, offering plans that bundle Netflix, Apple TV, and Hulu along with five-year price guarantees.
Last month, Verizon cut several hundred positions, following an announcement in November that it would eliminate more than 13,000 jobs.
