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loyalty

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Seasoned Hero
Posts: 6,973
Thanks: 1,538
Fixes: 12
Registered: ‎01-12-2010

loyalty

according to Citizen advice ISP,s Loyal ISP members are penalized 

http://www.bbc.co.uk/news/technology-39555140

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Community Veteran
Posts: 5,658
Thanks: 652
Fixes: 1
Registered: ‎21-03-2011

Re: loyalty

It's stretching the truth a bit to say low introductory rates which revert at the end of a year are punishing loyal customers. For sure, ISPs would be sensible to charge long term customer less, say 10% after three years to improve retention, but it is made pretty clear prior to signing up that introductory rates will end after a time. 

Now Zen, but a +Net residue.
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Superuser
Superuser
Posts: 3,245
Thanks: 949
Fixes: 8
Registered: ‎06-04-2007

Re: loyalty

I think the story says more about the general public than the ISP, with people not reading beyond the headline price.  The same could probably be said for the energy industry. If you go for the fixed term deals, at the end when you go on to the standard variable rates prices usually shoot up to massive amounts.

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Pro
Posts: 1,097
Thanks: 131
Fixes: 5
Registered: ‎30-10-2011

Re: loyalty

ISP's use the same business model as many other service and insurance providers - cheap initial deals lure in customers in the hope that inertia and/or ignorance will enable them to cash in when the deal ends.

Most of us realise that 'loyal customer = potential sucker' if you don't do anything about it, which is aggravating but can be overcome - the main losers are no doubt those least able to afford it (the elderly, poor, or relatively uneducated.) Sad

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Pro
Posts: 474
Thanks: 123
Fixes: 1
Registered: ‎11-04-2017

Re: loyalty

I would love a loyalty discount Smiley as it makes me very annoyed that customers are not rewarded and valued for their continued commitment to a service provider.

This issue is not limited to an ISP as its insurance, council tax, tv licence, and every membership service provider.

It would be great if PlusNet was to break the mold and innovate the ISP market sector as the payback, would be ground braking and set PlusNet apart from all other ISPs in the market.

Maybe PlusNet's Marketing section should explore the cost benefit of loosing and replacing customers vs on-going income? Wink as it must be much more economic and profitable to keeps taking money from existing customers than searching and setting up new customers for  less money (with special discounts) or is  the current system  the economics of the moon-catchers?