T-Mobile (TMUS) is boosting its efforts to win back customers, after a series of price increases prompted many to cut ties during the first few months of the year.
T-Mobile’s first-quarter earnings report for 2025 revealed that the company’s postpaid phone churn, the number of customers who cut their phone service, increased by 5 basis points year-over-year during the quarter.
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Also, while T-Mobile attracted 495,000 new postpaid phone customers during the quarter, that number is 6% lower than the amount it gained during the same time period in 2024.
Related: T-Mobile announces bold offer to win back frustrated customers
The loss of customers comes after T-Mobile increased prices for some of its older phone plans last year. In April, it once again hiked the monthly rate for select legacy phone plans by $5.
That same month, it also decided to increase its Regulatory Programs & Telco Recovery Fee from $3.49 to $3.99 for voice lines and $1.40 to $1.60 for data-only lines.
In response to these changes, some customers expressed outrage on social media, with some even threatening to switch phone providers.
During an earnings call in April, T-Mobile CEO Mike Sievert said that customers have “a lot of acceptance” of recent price increases and that the elevated loss of customers was due to “a number of dynamics,” such as concerns about the economy and increased competition.
“You know, I think there’s a certain element out there where people are in a time of uncertainty about the future, grabbing what they can afford now,” said Sievert during the call. “And so, you’re seeing kind of some amount of probably move forward of upgrades and switching.”
T-Mobile makes a major move to repair recent losses
Amid this startling trend, T-Mobile is offering a free new perk to attract and retain customers.
The phone carrier has announced that starting July 8, T-Mobile customers will get a free DoorDash subscription (DashPass), which offers free delivery, reduced service fees, exclusive offers on eligible orders and rideshare partner discounts.
A DashPass subscription usually costs $10 per month or $120 annually.
Related: Verizon pulls the plug on a convenient service for customers
Customers can claim this free perk in the T-Mobile Tuesdays section of the T-Life app through Aug. 4. The offer will return next year.
In addition to touting the free DashPass subscription, T-Mobile revealed that its highly anticipated T-Satellite service launches on July 23. It also unveiled a new Easy Upgrade offer to attract customers from rival companies.
“You can choose to get your phone paid off (up to $800) and get a new iPhone Pro on us without a trade OR bring the whole family and T-Mobile will help you pay off four phones and get four iPhone 16s on Us — all for $100/month,” said T-Mobile in a press release.
T-Mobile fights against major threats
These offers from T-Mobile follow its launch of three new low-priced prepaid plans on June 24, each with a five-year price lock guarantee.
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T-Mobile also reportedly partnered with Costco to offer the retailer’s members a deal (expected to launch in July) that gives them $450 if they switch to T-Mobile and purchase/activate a new phone on its Experience More or Experience Beyond plan.
T-Mobile’s increased efforts to win back customers come as it faces increased competition from Verizon and AT&T and, surprisingly, cable companies, which have also recently attracted price-conscious phone customers.
According to a recent report from MoffettNathanson, Spectrum, Comcast, and Altice USA have added 886,000 new phone customers during the first three months of 2025, which is up from the 804,000 they added during the same time period last year.
Related: Costco to make generous offer to frustrated phone customers
