In reply to a post by Oliver341:

In reply to a post by RobertoS:

I'm sure it is viable. Just less profitable than bundles, as it is for all ISPs.

It's so unprofitable they are hiding it from potential customers ....

An unwarranted conclusion, based on no evidence whatsoever unless you have access to their detailed product financial performance statistics.

As they have said, it is a split-test on the website of the effect of this hiding for some visitors. I accept that explanation. I do think it is very unwise and can only end at best in lost custom, and at worst in tears.

In reply to a post by RobertoS:

As they have said, it is a split-test on the website of the effect of this hiding for some visitors. I accept that explanation. I do think it is very unwise and can only end at best in lost custom, and at worst in tears.

They know that and are prepared to lose customers because of it. Why?

I don't know, any more than you do.

It depends on what their desired result is. Selling bundles only will clearly improve average revenue per customer, as I've stated several times. As an avid reader of several years-worth of O2 quarterly reports I'm sure you are aware of the importance attached to that figure.

It isn't however the only important figure. The number of customers is also high on the list - again see all the publicity every ISP gets when those come out, for better or worse.

There is the question of fixed overheads to be covered, plus several variable overheads. Some of which are fairly linear as numbers change, some of which involve more significant steps in costs.

All these have to be balanced to achieve optimum ROI, revenue and profit growth.

I think we can be absolutely certain of one thing, in direct contradiction of your assertion that the "broadband only" products are not viable. If they weren't, they would simply have withdrawn them from sale the other day, when the Home Phone prices changed and the split-test started.

Edited by RobertoS (Fri 10-May-13 21:28:29)

In reply to a post by RobertoS:

If they weren't, they would simply have withdrawn them from sale the other day, when the Home Phone prices changed and the split-test started.

As far as a large percentage of their potential customers are concerned, they actually have withdrawn it from sale. I've seen elsewhere people saying "it looks like Plusnet don't sell broadband only anymore". That thought will be lodged in their heads and they won't be returning to the Plusnet website any time soon to see if it magically returns.

In reply to a post by Oliver341:

In reply to a post by RobertoS:

As they have said, it is a split-test on the website of the effect of this hiding for some visitors. I accept that explanation. I do think it is very unwise and can only end at best in lost custom, and at worst in tears.

They know that and are prepared to lose customers because of it. Why?

Because it is a split-test to determine which path is the best.

By definition, a split-test has multiple variations, and some will perform worse (for the business) than others. The ones that perform worse must also, by definition, result in a loss of custom.

Until you run the test, you don't know which variant performs the worst, so you don't know which one loses more customers (or gains least). When you run the test, you are going to lose some customers, somewhere.

But once the test has been run, the business can switch to the variant that performed best overall, so that *all* customers will now follow that path.

The end-result is that more (future) customers are going to get a better experience. The (temporary) cost is the probability that a few customers in the middle were lost.

The saying "You can't make an omelette without breaking a few eggs" springs to mind...

In reply to a post by WWWombat:

The end-result is that more (future) customers are going to get a better experience.

They're trialling the effect of removing "broadband only" from the website. If they like the result, then bye-bye "broadband only". Probably a "better experience" for Plusnet's bank balance, but not for those customers who would like the choice.

And they have got free help in their marketing experiment.

This is another reason why I won't trust plusnet. I had thought rhey were making up for their earlier scurrilousness but the apple still isn't falling far from the tree.

I am confused too.

Plusnet unlimited is something they seem very keen to push rather than hide.

Which is a point at which the internet becomes real world rather than virtual world.

In reply to a post by MrSaffron:

I am confused too.

Plusnet unlimited is something they seem very keen to push rather than hide.

They still have two of the four unlimited packages always visible. The other two also at times, on some basis we don't know.