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Standard User RobertoS
(sensei) Mon 07-Jan-13 09:43:59
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Re: Reasonable cost of Unlimited WBC?


[re: akawtu] [link to this post]
 
This thread wanders between the question in the Subject and the morality of BT Retail's charging policies. That in itself is confusing. Particularly when you use the (known to be) excessive charge you pay when examining that question.

I think it highly probably that the recently announced Plusnet prices are close to being the answer, whilst still allowing a reasonable profit margin.

I don't know where you read that EE have 30 million mobile customers, but given the population of the country that seems a little high. Even allowing for a fair number of people with more than one mobile. Many of whome may have an old Orange PAYG SIM lying around with a few quid in - as I do. I also have a Virgin one in the same state, that I was forced into to get the deal I wanted on a handset.

I think it highly improbable that EE are thinking of anything like "several million", given that after several years of decline from the Orange peak their latest published figure that I'm aware of for broadband connections was 714,000.

My broadband basic info/help site - www.robertos.me.uk | Domains,website and mail hosting - Tsohost.
Connection - Plusnet Extra Fibre (FTTC). Sync ~ 54.0/14.9Mbps @ 600m. - BQM

"Where talent is a dwarf, self-esteem is a giant." - Jean-Antoine Petit-Senn.
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
Allergy information: This post was manufactured in an environment where nuts are present. It may include traces of understatement, litotes and humour.
Administrator MrSaffron
(staff) Mon 07-Jan-13 10:26:13
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Re: Reasonable cost of Unlimited WBC?


[re: RobertoS] [link to this post]
 
Simple really:

In a shop the price on the price tag can be negotiated, but how many people bother? Most pay the price shown, is that immoral? BT and many other providers are doing the same.

With WBC the broadband component can be very cheap or very expensive depending on how much capacity a provider decides to buy and what other products are in the bundle to cross-subsidise it, e.g. BT Retail has land line calls, EE has mobile and landline.

EE is also in the situation where it is trying to acquire market share after a few years of poor performance, and the normal way to do this is a loss leader and then increase prices once you break the million customer barrier or keep seem price while enjoying economy of scale.

Andrew Ferguson, [email protected]
www.thinkbroadband.com - formerly known as ADSLguide.org.uk
The author of the above post is a thinkbroadband staff member. It may not constitute an official statement on behalf of thinkbroadband.
Standard User Bob_s2
(experienced) Mon 07-Jan-13 11:08:50
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Re: Reasonable cost of Unlimited WBC?


[re: akawtu] [link to this post]
 
Unlimited is difficult to cost as it depends on how much people actually use it. Different ISP's masy have different useage patterns which can effect costs


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Standard User Bob_s2
(experienced) Mon 07-Jan-13 11:11:49
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Re: Reasonable cost of Unlimited WBC?


[re: MrSaffron] [link to this post]
 
Selling Unlimited to cheaply though can lead to poor service. Cheap packages as well tend to attract the heaviest users another problem. Suport can also suffer
Standard User XRaySpeX
(eat-sleep-adslguide) Mon 07-Jan-13 13:04:42
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Re: Reasonable cost of Unlimited WBC?


[re: akawtu] [link to this post]
 
Yes, I'm certain!

That letter is solely offering the lowest, off-peak, package to
In reply to a post by akawtu:
as a T-Mobile customer
for £2.50 pm.

Non-customers pay £5 more for the same package = £7.50. Everyone new to EE BB gets the £30 welcome, which works out as 6 months free for existing customers or 3 months free for non-customers.

These figures are plastered all over the EE pages that you exhorted us to visit.

1999: Freeserve 48K Dial-Up => 2005: Wanadoo 1 Meg BB => 2007: Orange 2 Meg BB => 2008: Orange 8 Meg LLU => 2010: Orange 16 Meg LLU => 2011: Orange 19 Meg WBC
Standard User Chrysalis
(eat-sleep-adslguide) Mon 07-Jan-13 13:53:53
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Re: Reasonable cost of Unlimited WBC?


[re: akawtu] [link to this post]
 
its business, I dont proactively discount my existing customers because I have updated fee's for new ones.

BT Infinity 2 Since Dec 2012 - Estimate 65.9/20 - Attainable peak 110/36 - Current Sync 71/20
Standard User yarwell
(sensei) Mon 07-Jan-13 15:56:31
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Re: Reasonable cost of Unlimited WBC?


[re: akawtu] [link to this post]
 
Is it possible to know the reasonable cost of Unlimited WBC?
Yes, ` If it's possible to define "unlimited" wink

Pricing is all about fixed cost recovery, we can find the fixed monthly costs of various BT inputs then you have to decide how much capacity you need. Some will provide 100 kbits/s or less, feed it through traffic management kit and call it "unlimited". Others will provide less bandwidth, call it unlimited, let it get very congested, etc.

The standard end user rental is £5.88 per month for a WBC broadband service with a £39.79 new connection charge, £11 migration charge, or £39.79 migration from LLU charge.

Contracted bandwidth costs £40 per Mbit/s per month. So if your definition of unlimited requires 100k that's £4 per month or if it requires 1M it's £40 per month. See the problem ?

All above subject to VAT and possibly to bulk discounts. Other fixed charges are required for example a 1 GBit/s extension path connection to the ISP costs £17k pa.

--

Phil

MaxDSL - goes as fast as it can and doesn't read the line checker first.

MaxDSL diagnostics
Administrator MrSaffron
(staff) Mon 07-Jan-13 17:42:35
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Re: Reasonable cost of Unlimited WBC?


[re: yarwell] [link to this post]
 
A constant 1 Mbps equates to 300GB of data a month, some people can see it easier in that term.
UK average usage is around the 23GB mark when Ofcom last spoke.

Andrew Ferguson, [email protected]
www.thinkbroadband.com - formerly known as ADSLguide.org.uk
The author of the above post is a thinkbroadband staff member. It may not constitute an official statement on behalf of thinkbroadband.
Standard User XRaySpeX
(eat-sleep-adslguide) Tue 08-Jan-13 12:24:05
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Plusnet Undercuts EE for Unlimited WBC!


[re: akawtu] [link to this post]
 
Plusnet now sells Unlimited WBC for £4.99 pm, undercutting EE's non-customer price of £7.50 (which you misrepresented in your TT thread) and you don't need anybody's mobile contract to get this cheap deal.

EE's existing customer price of £2.50 pm is not comparable with this PN deal because you need to be already locked into a high-price EE mobile contract from which they can offset the loss on the BB.

What price a reasonable cost Unlimited WBC now?

1999: Freeserve 48K Dial-Up => 2005: Wanadoo 1 Meg BB => 2007: Orange 2 Meg BB => 2008: Orange 8 Meg LLU => 2010: Orange 16 Meg LLU => 2011: Orange 19 Meg WBC
Administrator MrSaffron
(staff) Tue 08-Jan-13 13:00:20
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Re: Plusnet Undercuts EE for Unlimited WBC!


[re: XRaySpeX] [link to this post]
 
http://www.thinkbroadband.com/isp/plusnet/package/12...
Plusnet reverts to £9.99 after the 12 month minimum term.

People need to check the calls packages though to really figure out which is cheaper, e.g. calls to mobiles can be very variable in price

Andrew Ferguson, [email protected]
www.thinkbroadband.com - formerly known as ADSLguide.org.uk
The author of the above post is a thinkbroadband staff member. It may not constitute an official statement on behalf of thinkbroadband.
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