BT targets families in return to mobile arena

BT is putting families at the heart of its re-entry into the mobile phone market, with an aggressive pricing strategy that will offer family members incentives to sign up at preferential rates.

It will aim to entice relatives of customers who sign up to its mobile service with cheaper handsets and tariffs as low as £5 a month.

In a decision likely to spark a fierce price war, it is pinning its strategy on the fact that a significant volume of mobile voice and data calls are between spouses or parents and their children.

BT is expected to reveal full details of its mobile proposition by early next week. It will support the launch with a £30m advertising campaign by Abbott Mead Vickers BBDO in the autumn.

The telecoms company left the mobile telephony arena two years ago with the disposal of BT Cellnet, now branded O2.

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