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post #9 of (permalink) Old 2008-01-27, 09:44 PM
southwestm81
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Join Date: Jan 2008
Posts: 1
Shawguy:

I work at one of the MTS Connect stores for a major authorized dealer, so your complaint is one I have heard before. I look at it two ways (additionally, I have 3 cells with MTS, so keeping costs trim is a definite priority too):

1) A less expensive plan comes out that still meets your needs......no kidding you want to switch to it! I don't blame you, save some $$ whenever you can. I wish MTS let you change promotional plans once or twice a year during your term, since plans change and needs change too. You can change between regular rate plans all you want, but they have this catch 22 about the really good plans. I think even letting people change their promo plan to another one once a year would be nice. I don't think at all it would hurt renewal prospects, since people always want new phones and updates to their rate plans. I also think that the renewal program should be based on revenue generated per customer. It's fair isn't it? If you spend $70 a month and someone else spends $40, should you become eligible for an upgrade sooner than the other person? It rewards customers with higher spending habits.

2) On the flip side, if they let everyone switch to the 9.99 plan that asked, it would hurt their revenue growth in mobility for the quarter. Also, when you sign a contract it gurantees that the plan you sign up for won't change (up or down). They only ever want you to really change your plan if the non-price related features no longer work you (ie overages is a big one). So they try to play the neutral card by not changing your price if the rate plan goes up or down. I think that's their strategy. That and they want to give people incentive to renew. But as I said, just implement a tiered upgrade program based on revenue and problem solved.

A good analogy is that rate plans in the cellular contract world are like computers. If you buy a new computer, then 5 months later it drops $300 or a better model at the same price comes out, do you go to the store and ask them to give you a straight exchange for the new computer? Technology changes computers, calling patterns change rate plans. At some point you gotta just jump on a plan that you like and go with it, much like when buying a computer. Computer or contract rate plan, it's a multi year investment you've made.

The System Access Fee (which I both hate paying and selling) is NOT part of the rate plan, along with features and most other things. The contract only protects the actual plan cost (eg $9.99). It is same crap with all the carriers.

Rogers does have the best retentions dept I think right now. Telus and Bell are hit and miss. MTS needs to loosen up and fall somewhere between the two.

Personally, I think this $10 plan thing that everyone is doing is garbage. I say this because it price conditions people to think that paying more than $25-$30 for a service is outrageous. Look at the customers that have SuperTalk 15 from Telus a ways back? Telus hates the fact they still have people on that plan because it doesn't generate very much revenue. It's simply a way for carriers to boost their subs for the quarter and brag "hey look at how many people we got to sign up"....ok, but how much revenue are they generating? What is your ROI? You know? It's like always having cereal on sale, then one time it's not on special and people freak out!

That LG 150 phone has been as much trouble as the Samsung m500, one of which I see come into the store with issues on a semi frequent basis. Anytime the LG gets sent out for service it ALWAYS comes back with the motherboard replaced. People were attracted to it because it was free and had no camera. The would have been better off with the a640 (which was kind of junky, but has proven to be a lot better than the LG 150).

Last edited by southwestm81; 2008-01-27 at 09:58 PM.
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