LONG DISTANCE COMPANIES GO TO BATTLE
By Adnews Staff
A price war is heating up in the long-distance calling market. Both AT&T Canada and Sprint Canada announced additional savings plans this week. AT&T of Toronto has extended its 10 cents-a-minute plan to include weeknights from 7 p.m. to 7 a.m. Previously the plan was available only during the weekend. The plan will be promoted using TV, magazine and radio ads created by Young & Rubicam of Toronto. Promotional activities are also being used. The ad campaign will feature Mark McKinney of Kids in the Hall and Spice World fame. AT&T introduced its 10 cents a minute plan on weekends last fall. Sprint of Toronto has offered more savings under its free short calls and by-the-second billing plans. Under the free short calls plan, customers who reach an answering machine or a wrong number will not be charged for the call as long as the call is within 10 seconds long. Under the by-the-second billing plan, customers will pay by-the-second after the first minute of the telephone call, with no rounding up to the next minute. For example, if a call is three minutes and five seconds, that is the time the customer will be billed for. Most phone companies round up the call to four minutes and charge the customers that larger amount. In addition, Sprint has reduced its overseas rates. Advertising for Sprint is done by Grey Canada of Toronto. Bell Canada will announce its new long-distance calling plan today.