VAT Increase & Price Changes - January 2011

[#1]

Quote from: glloyd

Yes and totaly wrong. When has it been right to punish the inocent for others crimes

The situation with insurance has nothing to do with punishment of innocents for others' crimes. Only the judiciary can punish for crimes,
What it has to do with is commercial reality. The insurers have to meet claims for which no one has paid a premium and (how dreadful ::)) make a profit for the shareholders who shoulder the risk. Imagine, assuming you are capable :-\, that they do not recoup those claims costs from somewhere they can; you have an accident; they cannot pay out because the till is empty.
I have a gut feeling you would be the first to rant.

[#2]

You are also missing the point though.  ALL customers across the board pay for increases such as insurance premium increases.  PN are not doing that, they are only selecting certain customers to pay extra for their own  increased costs.

[#3]

Car insurers load the premium for groups who on average cost them more money - so what is the difference

[#4]

Why is it so difficult to understand that PRICE doesn't have a DIRECT relationship to cost.
Successful companies use Pricing to:

• Alter the behaviour of the customer


• Promote products and services thar they want to grow


• Discourage options that cause manual intervention in what are otherwise automated processes


• Offer a wide range of products which attract customers to come through the door .... but buy the preferred product


• Maximise Profit

Now, I'm not suggesting that PlusNet's Marketing brains are clever at doing this. Indeed, I have been critical of PlusNets inconsistency and inability to spot the market directions and needs. For example, the erratic switchinh in and out of offering "Unlimited" products.

[#5]

Just to turn this on its head, why should I pay more as a DD customer to cover the extra costs associated with CC payments?

[#6]

I've trawled this thread and cannot, at a reasonable glance, see an answer to my question here - or in the FAQs.
I'm an Unlimited subscriber - and it doesn't seem I go much above 30gb - so Extra would work.
However.
Arguments about disproportionate price rises aside, I have racked up the best part of a year of free broadband via your "3 months free Broadband when you recommend scheme"...
This is applied to my account as a referral discount, yet the FAQ suggests that that discount values will remain the same. Does this apply here? (Bearing in mind if the additional £5 was not discounted, my broadband would no longer be free...)
Clearly if my broadband is free - I'm unlikely to shift product. Yet.

[#7]

Quote from: Spider

Just to turn this on its head, why should I pay more as a DD customer to cover the extra costs associated with CC payments?

I think you mean some CC payments

[#8]

No I mean all CC payments..... as far as I'm aware it costs more to process CC payments then DDs. The difference with one-off payments CC payments is that they are 'absorbing' that fee through the profit they make on that sale as well as other sales.

[#9]

Actually, it doesn't "cost" anything to take peoples money.
The Accounts department has certain overheads and you can apportion these as you please over a variety of activities.
Why not include the cost of various non-internet activities carried out by Plusnet?
e.g. £15 per customer should cover the cost of the recent advertising splash.

[#10]

Quote from: Alastair

I've just been on the phone to get my MAC code and they want to charge me £65 - for the setup and router. I've offered to return the router unused but they say they won't accept it as I've had it more than seven days. Do me a favour. What is wrong with you guys? The guy on the phone clearly couldn't care less. PN have altered my view of their company at a stroke I signed up for a deal which PN walked away from. Now PN want to charge me to decline their new version of the deal which I don't want. I don't think there's a court in the land which will go along with that and I look forward to the challenge. Unfair contract terms and all that. If anyone does manage to get any sense out of PN regarding cancellations, please let me know.

Hi there,
Deferred costs are separate from your contract, and do need to be paid if you choose to leave for any reason before they're written off. These are costs we have already incurred on your behalf, and our T+C's state that these will be payable should you cancel within 12 months.
Can I ask which of the changes you're particularly unhappy with?

[#11]

Quote from: Chrism2

Clearly if my broadband is free - I'm unlikely to shift product. Yet.

Chris,
Give me a shout in the new year and I'll reapply your discounts so that you're still receiving the free service you've earned.

[#12]

Quote from: Chrism2

This is applied to my account as a referral discount, yet the FAQ suggests that that discount values will remain the same. Does this apply here? (Bearing in mind if the additional £5 was not discounted, my broadband would no longer be free...) Clearly if my broadband is free - I'm unlikely to shift product. Yet.

Discount values remain the same, but yours are for free months, so you won't be charged for broadband until they're all used.

[#13]

Quote from: A

Actually, it doesn't "cost" anything to take peoples money. The Accounts department has certain overheads and you can apportion these as you please over a variety of activities. Why not include the cost of various non-internet activities carried out by Plusnet? e.g. £15 per customer should cover the cost of the recent advertising splash.

Yes, and those overheads are 'costs' to the business. Also I think you will find we are already contributing to the advertising campaign. Plusnet is a business so they need to generate income to cover all their operational costs whilst still making a profit to reinvest in the business and keep the shareholders happy.
With regard to freezing the VAT inc price I think this is more to do with maintaining a favourable price point that saving customers money. I'm always amazed how many prices end with 9p, both VAT inclusive and VAT exclusive..... although in Plusnet's case for business products they have rounded off the nett costs to whole pounds.

[#14]

I will lose my international minutes, which is one of the main reasons I chose plus. Please advise whether this is a detrimental change of service, which I believe it is. I am on a one year minimum broadband and telephone contract. Thanks.

[#15]

@lschlagel
Your telephone contract is rolling monthly.
The annual side refers to the "deferred contracts" for your broadband of costs that we have incurred as a result of your signing up.
You can move your phone away free of charge, but if you were to additionally move your broadband, you would need to pay for your setup/router.