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1Mb Fees

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1Mb Fees

Does anyone else think it is disappointing that PlusNet charge £58.75 regrade fee, the same as new ADSL customers, despite the fact that the BT Wholesale price for regrades is £35?

See ZD Net for more details: http://news.zdnet.co.uk/communications/broadband/0,39020342,39117299,00.htm

[Moderators note (by Thomas): Bold tags sorted for you.]
53 REPLIES
Couger
Grafter
Posts: 181
Registered: 31-07-2007

1Mb Fees

Hi rustmacca

Do you even realise that all ISP's running this 1 MB trial are having to place orders with BT manually,
There is more cost involved and that it has been said that once the trial is over and the service is running wide spread then the cost of regrading will come down in price read the forum this topic has been discussed before

Regards Sven Cheesy
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1Mb Fees

As noted above, this is explained by Ian Wild HERE
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Why

Thanks for taking the time to reply. I do appreciate that ISP's are involved in manual processes with BT. However quite frankly if PlusNet is prepared to not include an administration charge on the £58.75 for new ADSL customers, then why is it not possible to reward existing customers with the same courtesy?

Surely it is easier from PlusNet's and BT's perspective to regrade an account than installing equipment and setting up accounts for new customers.

The whole point of this poll is to gauge opinion on this matter and to drive home the general views of those customers who are subject to additional admin. fees despite commitments to remain customers of PlusNet.

In addition, I understand the BT Wholesale have no plans to lower the regrade fees in the future.

Let us see what the final results of the poll are and continue with the debate!
Couger
Grafter
Posts: 181
Registered: 31-07-2007

1Mb Fees

Hi

Did you not read the post acarr gave you the link for if you read the post it does state on more than one occasion why the regrade is £50 + vat at the moment

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In addition, I understand the BT Wholesale have no plans to lower the regrade fees in the future.


Well your wrong there have a little read of this your very very wrong

BT confirms 1Mbps launch
By Tim Richardson
Posted: 22/10/2003 at 15:55 GMT


BT today confirmed the wholesale pricing for its new 1Mbps ADSL service, which becomes commercially available from November 20.

The wholesale connection charge for this self-install product has been set at £50 - although existing BT ADSL punters should be able to upgrade for £35.

The wholesale fee for the BT IPStream Home 1000 product has been set at £23. Don't forget that ISPs have to add their retail margins for these products.

To date than 50 ISPs have taken part in the trials and more than 4,000 punters have signed up to the broadband service.

BT reckons this take-up is "well ahead of expectations" and has helped it move "swiftly to a full launch". ®

you cna view that here http://www.theregister.co.uk/content/22/33537.html

Thanks Sven :lol:
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1Mb Fees

Many thanks for your update. I did infact read the details of the article that appeared on The Register.com site prior to my last response. I would also like to refer you to the following output from VNUNET.com:

"BT claimed that it had taken 4,000 orders from 50 service providers since it began trials of the service just under three weeks ago.

The wholesaler is charging ISPs a £50 connection fee, or a £35 upgrade fee for existing subscribers, although it is unclear whether these charges will be passed on to users."

Read more @: http://www.vnunet.com/News/1145260

The £23 plus VAT that you mention refers to BT Wholesale monthly charge for the1Mbps IPStream broadband wholesale product that goes on sale on 20th November and not the regrade fee that this poll relates to.

I think you may have misunderstood the nature of this forum which focuses on the regrade fee not the monthly subscription charge. ISP's are a business and rightly entitled to increase the subscription to the level appropriate for the marketplace.

The central question of this debate is about the regrade fee compared with the that levied on new customers for ADSL activation.

PlusNet has already stated that they add approximately £15 to the regrade fee to cover administration costs associated with the manual process of upgrading existing customer accounts to the 1mb service. However compare this with the activation charge for new customer charge which does not include an administration charges by PlusNet.

We have now come full circle back to my original point which suggested that PlusNet should offer the same courtesy it does to new customers, by not adding admin. charges, to existing customers.
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1Mb Fees

New orders (those without ADSL going straight onto 1mb) are placed through normal channels, and do not require simalar amounts of work as to that of a regrade.

When BT perform trials, they do not upgrade all the there own ordering systems, of which there are at least 3 different one. If an ISP doesn't have access to one of the ordering systems through which it is available, they have to use the manual process.

Trials are for the purpose on getting rid of the bugs within the process of changing, and in many cases, they use this as a time to make sure other, possibly more complex ordering system are available correctly.

Where one ISP may have access to a ordering system that is automated on the trial, PlusNet may not.
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Regrade Fee

I would also like to restate that BT Wholesale to the best of my knowledge have no intention of lowering the regrade fee in the future. Both articles that appear in The Register.com and VNUNET.com state the pricing structures that have been announced. Also PlusNet's moderator ACARR has also stated that PlusNet add an administration charge to the current £35 levied by BT Wholesale for each customer regrade.

PlusNet have set the regrade fee at £50 + VAT (or £58.75) and NOT BT Wholesale who take £35 from this final total. In addition, BT's charge is reasonable considering the work involved compared with PlusNet's responsibility.
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1Mb Fees

Yes, that has been acknowledged, however, prior to yoru thread, several clear explanations have been given, on here and another on ADSL Guide, as to why the regrade fee is higher than what BT set and what will happen in the future.

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Manual orders don't just involve submitting a paper order, but are much more labour intensive when it comes to following up and activating orders. Given the demand BT have warned us about in relation to Regrades, we are expecting this to be a painful process unless we are in a position to assign significant resources to dealing with the orders. We have already stated that we will review our Regrade pricing as and when BT provide an automated process for us to use in relation to this. I understand this could be as early as the 6th October, although experience tells us that we need to see this process in action before we are in a position to make any further decisions


I have highlighted the two sections provided, that point out why this is in place, and what PlusNet plan to do about this in the future.
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1Mb Fees

Many thanks for providing background information on the ordering process.

My point is that overall there is more work involved in setting up a new customer than regrading existing ones. This is reflected by BT Wholesales charges of £50 and £35 respectively.

The fact that PlusNet may or may not have access to the various ordering channels at the moment is less important ,especially as PlusNet can use discretion with regard to charges until a less manual process is in place.

ACARR can you confirm whether PlusNet's ordering systems in place for ADSL customers now is identical to that available when the IPStream 500 product was first launched? Can you also confirm whether PlusNet will be lowering the regrade fee in the future once they integrate the ordering process and move away from manual processes?
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1Mb Fees

ACARR your last response answers one of the questions that I have just put to you. Thanks!
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1Mb Fees

I am afraid I can't say what changes, if any, have taken place to the ordering process within PlusNet.

I am only a moderator of the forums, and have no knowledge of the internal processes that go on at PlusNet. What I do know has come from the various small bits of info placed by PlusNet and the generic information on how BT run the platform, manag the ordering process and other bits.

As for lowering the regrade fee, that isn't something that I could answer, and I would imagine that PlusNet couldn't state just yet, until some form of decision has been made higher up the managment food chain.
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1Mb Fees

Given that BT and PlusNet expect the 1mb service to be in demand why can't PlusNet absorb the admin. charge especially since there is likely to be increased revenues from regraded customers?
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1Mb Fees

ACARR, Many thanks for your input. I hope that discussions like this provide PlusNet with food for thought on future decisions around charges for ADSL.
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1Mb Fees

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Hi rustmacca

Do you even realise that all ISP's running this 1 MB trial are having to place orders with BT manually,
There is more cost involved and that it has been said that once the trial is over and the service is running wide spread then the cost of regrading will come down in price read the forum this topic has been discussed before

Regards Sven Cheesy


The initial comments from this statement are inaccurate. New PlusNet customers wanting the 1mb service go through the normal ordering process. Regrade customers follow a more manually intensive process as suggested by ACARR.