with margins as tight as they are in this industry, then PlusNet must be concerned with future churn if they are willing to pay

Hi

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Are you for real, every company uses marketing. It is up to the customer to decide what they want.

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Of course companies market, and some companies use marketing tactics that are extremely misleading and dishonest and they get into trouble for it, hence why we have the advertising standards authority and trading standards etc. Just because every company markets, it doesn't make every company honest in how they portray their latest offer, or that a customer is given enough information to make an informed decision.

I think PlusNet is being very devious with marketing this to existing customers. It's not a loyalty bonus, I think we all can see that. I wouldn't mind so much if they spelt out exactly what might happen if you cancelled your contract in the first 12 months with real examples of cost and it wouldn't surprise me if they asked for any discount back as well.

Looking at it another way, that having this loyalty discount offered to all customers regardless of length of stay essentially means all customers wishing to remain on their existing monthly contracts will pay

Edited by deleted (Wed 21-Nov-07 20:36:51)

All Plusnet are doing is managing risk. If someone is on a short term contract then they can leave at a months notice free of charge. If someone is on a long term contract they cannot leave without paying the exit fee until the 12 months are up. The difference in the cost to the customer is to cover the risk of the shorter term contract and also to incentivise the reduced risk longer term contract. (The risk from Plusnets point of view)

This is normal business behaviour. If you ran a business selling paper and I placed a regular order with you of a given monthly amount for a year I would expect better rates than a person who ordered the same monthly quantity but only for a single month. I would give you a guarenteed income stream for a year but they could place anything from 1 to 12 monthly orders per year with no guarentee how much they would order.

PlusNet have now introduced a

Hi

BT did a similar trick not so long ago by offering discounts to pay be direct debit, it's a common marketing trick.

The facts are:
For me to remain on a monthly contract will cost me

"Got to hand it to them, they've got most people convinced this is a special discount, and not an extra charge for monthly contracts. Someone in PlusNet's marketing dept will be on a good bonus this year"

And which part of cloud cuckoo land do you hail from? now its turned from a discount for committing to another 12 months into a punitive charge... amazing viewpoint!!!

If PN really wanted to thank their customers for being loyal, could give them a no strings discount.
This has nothing to do with loyalty, it's just a way of trying to get as many as poss on a 12 month contract.
It will suit some customers, and not others. There is nothing wrong with the offer.

But to dress it up an offer for loyal cumtomers leaves a sour taste in the mouth.

its amazing what a twist people are putting on this...

whats a cumtomer btw..... ;P - excessive porn downloader?

What a pair we make - me with my maths - "postings that dont add up" and you with your postings that dont make sense.... lol.....

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its amazing what a twist people are putting on this...

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My first reduced payment went out from my bank account this morning

One wonders whether calling it a retention offer might have been a lot simpler.

The twist I see is from PN.

As it looks like they are sending the offer to all customers (speel check on) how is that loyalty (can you be classed as loyal if you just finished a year (the min without having to pay extra costs?)).

Make the offer, but don't spin it as a loyalty one.