Re: [WISPA] Make a profit with lower pricing? Was: how tocompete with $15 DSL
Exactly. Depends on the circumstances and your market. Since we have a retail store front, that's just bait to bring in customers. We pay almost zero for advertising other than the yellow pages so I do what I can to elevate the word of mouth traffic. Offering a cheapo dial-up service at a rate that makes people do a double take, that gets their attention and they have something to talk about. It's worked pretty well, but the draw is just to the retail store where we do lots and lots of repairs. That $5.99 customer may spend $300 or more per year on labor services just from our dial up relationship. Bob- -Original Message- From: wireless-boun...@wispa.org [mailto:wireless-boun...@wispa.org] On Behalf Of RickG Sent: Thursday, March 25, 2010 9:37 PM To: WISPA General List Subject: Re: [WISPA] Make a profit with lower pricing? Was: how tocompete with $15 DSL Bob, Not putting you down but it depends on your circumstances. If you want walk-in traffic and to spend time on a $5.99/month account then great. For me, I'd rather work on high dollar accounts. What works for some, may not work for others. Thats what makes the world go round! On Thu, Mar 25, 2010 at 1:51 PM, Patrick Leary ple...@apertonet.com wrote: Love it. Good stuff and very savvy. Patrick Leary Aperto Networks 813.426.4230 mobile -Original Message- From: wireless-boun...@wispa.org [mailto:wireless-boun...@wispa.org] On Behalf Of Robert West Sent: Thursday, March 25, 2010 10:20 AM To: 'WISPA General List' Subject: Re: [WISPA] Make a profit with lower pricing? Was: how tocompete with $15 DSL We've been selling a loss leader dial up service for $5.99 for 10 years now. We don't lose anything and only make a couple of bucks per user but we get the payback on the backend. The 5.99 service, they have to come into our retail store to sign up for it and to pay the bill. No online or phone payments. Made a lot of customers that way who give us cash for other services since they have to see us anyway. We still have over 200 dial up customers and every month those 200 have to come in and see our smiling faces. Bob- -Original Message- From: wireless-boun...@wispa.org [mailto:wireless-boun...@wispa.org] On Behalf Of RickG Sent: Thursday, March 25, 2010 12:51 PM To: WISPA General List Subject: Re: [WISPA] Make a profit with lower pricing? Was: how to compete with $15 DSL I'm sure they dont. For me, I dont pay attention to the cheap advertised prices. For others, I suspect that what they do is compare pricing and get a relative feeling for a benchmark. Of course, they also compare features benefits then choose the laptop that fits their needs and/or budget. With all due respect, I dont see much correlation between internet service (monthly service) and purchasing a laptop (one time purchase). I tried to offer a low, loss leader a while back as a test and the ones who took it never upgraded. I dont see any reason to offer it but then I'm fortunate not to have any competition. On Thu, Mar 25, 2010 at 11:06 AM, Robert West robert.w...@just-micro.com wrote: A very well known example.. Dell. Dell advertises $400.00 systems and laptops. Anyone here ever end up with one at the advertised price? Probably not many. Bob- -Original Message- From: wireless-boun...@wispa.org [mailto:wireless-boun...@wispa.org] On Behalf Of Robert West Sent: Thursday, March 25, 2010 10:55 AM To: 'WISPA General List' Subject: Re: [WISPA] Make a profit with lower pricing? Was: how to compete with $15 DSL We start at 29 bucks. The way I think, you always need the bait to bring them in, such as a low price. It's all sales after that. Bump up to a higher tier, equipment insurance, service call plan... etc. On the face of it, we look very inexpensive but the customer almost always elects to upgrade or add on something. My favorite is a customer who calls about the $29.00 plan but ends up asking Do you have anything faster? (Big Smile) Bob- -Original Message- From: wireless-boun...@wispa.org [mailto:wireless-boun...@wispa.org] On Behalf Of RickG Sent: Thursday, March 25, 2010 12:21 AM To: WISPA General List Subject: Re: [WISPA] Make a profit with lower pricing? Was: how to compete with $15 DSL But what is your ARPU? On Thu, Mar 25, 2010 at 12:02 AM, Travis Johnson t...@ida.net wrote: Hi, I have packages starting at $29.95/month and I'm quite profitable... have been for over 12 years now... :) Travis Microserv RickG wrote: Bob, We do the same here. Day one ROI upon installation. Not having any problems getting customers, In fact, we're growing faster than we ever have. Of course, there is a lot more to the cost of operating than just ROI upon install. Our lowest plan is $49.99/month. Which is the reason I responded to Jayson's post: Jayson Baker jay...@spectrasurf.com wrote: $24.95/mo gets you 12Mbps/6Mbps. $49.95/mo gets you 20Mbps/6Mbps. We
Re: [WISPA] Make a profit with lower pricing? Was: how tocompete with $15 DSL
Thanks. And let's face it, there are people out there who only want dial up for whatever reason. We still manage to pull money out of their pockets regardless. We also have a free wireless hotspot in the parking lot of the retail store. Usually being used by the local porn fans.. We have never advertised the dial up service or the hot spot. All word of mouth. Bob- -Original Message- From: wireless-boun...@wispa.org [mailto:wireless-boun...@wispa.org] On Behalf Of Jason Bailey Sent: Thursday, March 25, 2010 9:53 PM To: WISPA General List Subject: Re: [WISPA] Make a profit with lower pricing? Was: how tocompete with $15 DSL Bob,what a great tool!When grandma comes in and says..Facebook is running so slow???Well,for customers such as yourself,we offer this High-Speed option,let me tell you about it,and btwyou can set-up recurring payments to make your life easier!!!Were here to help you --- On Thu, 3/25/10, RickG rgunder...@gmail.com wrote: From: RickG rgunder...@gmail.com Subject: Re: [WISPA] Make a profit with lower pricing? Was: how tocompete with $15 DSL To: WISPA General List wireless@wispa.org Date: Thursday, March 25, 2010, 9:36 PM Bob, Not putting you down but it depends on your circumstances. If you want walk-in traffic and to spend time on a $5.99/month account then great. For me, I'd rather work on high dollar accounts. What works for some, may not work for others. Thats what makes the world go round! On Thu, Mar 25, 2010 at 1:51 PM, Patrick Leary ple...@apertonet.com wrote: Love it. Good stuff and very savvy. Patrick Leary Aperto Networks 813.426.4230 mobile -Original Message- From: wireless-boun...@wispa.org [mailto:wireless-boun...@wispa.org] On Behalf Of Robert West Sent: Thursday, March 25, 2010 10:20 AM To: 'WISPA General List' Subject: Re: [WISPA] Make a profit with lower pricing? Was: how tocompete with $15 DSL We've been selling a loss leader dial up service for $5.99 for 10 years now. We don't lose anything and only make a couple of bucks per user but we get the payback on the backend. The 5.99 service, they have to come into our retail store to sign up for it and to pay the bill. No online or phone payments. Made a lot of customers that way who give us cash for other services since they have to see us anyway. We still have over 200 dial up customers and every month those 200 have to come in and see our smiling faces. Bob- -Original Message- From: wireless-boun...@wispa.org [mailto:wireless-boun...@wispa.org] On Behalf Of RickG Sent: Thursday, March 25, 2010 12:51 PM To: WISPA General List Subject: Re: [WISPA] Make a profit with lower pricing? Was: how to compete with $15 DSL I'm sure they dont. For me, I dont pay attention to the cheap advertised prices. For others, I suspect that what they do is compare pricing and get a relative feeling for a benchmark. Of course, they also compare features benefits then choose the laptop that fits their needs and/or budget. With all due respect, I dont see much correlation between internet service (monthly service) and purchasing a laptop (one time purchase). I tried to offer a low, loss leader a while back as a test and the ones who took it never upgraded. I dont see any reason to offer it but then I'm fortunate not to have any competition. On Thu, Mar 25, 2010 at 11:06 AM, Robert West robert.w...@just-micro.com wrote: A very well known example.. Dell. Dell advertises $400.00 systems and laptops. Anyone here ever end up with one at the advertised price? Probably not many. Bob- -Original Message- From: wireless-boun...@wispa.org [mailto:wireless-boun...@wispa.org] On Behalf Of Robert West Sent: Thursday, March 25, 2010 10:55 AM To: 'WISPA General List' Subject: Re: [WISPA] Make a profit with lower pricing? Was: how to compete with $15 DSL We start at 29 bucks. The way I think, you always need the bait to bring them in, such as a low price. It's all sales after that. Bump up to a higher tier, equipment insurance, service call plan... etc. On the face of it, we look very inexpensive but the customer almost always elects to upgrade or add on something. My favorite is a customer who calls about the $29.00 plan but ends up asking Do you have anything faster? (Big Smile) Bob- -Original Message- From: wireless-boun...@wispa.org [mailto:wireless-boun...@wispa.org] On Behalf Of RickG Sent: Thursday, March 25, 2010 12:21 AM To: WISPA General List Subject: Re: [WISPA] Make a profit with lower pricing? Was: how to compete with $15 DSL But what is your ARPU? On Thu, Mar 25, 2010 at 12:02 AM, Travis Johnson t...@ida.net wrote: Hi, I have packages starting at $29.95/month and I'm quite profitable... have been for over 12 years now... :) Travis Microserv RickG wrote: Bob, We do the same here. Day one ROI upon installation. Not having any problems getting customers, In fact, we're
Re: [WISPA] Make a profit with lower pricing? Was: how tocompete with $15 DSL
We have plenty of competition but the hook in what we do with the dial up is, they have to come into the store. We arent faceless and almost every time when they come in we tell them we have wireless in their area if they are ever interested. So, with that we get there first! Especially when they come in to sign up, we give them the talk if their address is in our service area. Bob- -Original Message- From: wireless-boun...@wispa.org [mailto:wireless-boun...@wispa.org] On Behalf Of Jason Bailey Sent: Thursday, March 25, 2010 10:38 PM To: WISPA General List Subject: Re: [WISPA] Make a profit with lower pricing? Was: how tocompete with $15 DSL Hmmm,good point,I guess it works both ways,I think it is that way everywhere.Not sure what market Bob is working,I guess it depends if he has competition.Either way,well put Rick..One must remember to look at both sides! --- On Thu, 3/25/10, RickG rgunder...@gmail.com wrote: From: RickG rgunder...@gmail.com Subject: Re: [WISPA] Make a profit with lower pricing? Was: how tocompete with $15 DSL To: WISPA General List wireless@wispa.org Date: Thursday, March 25, 2010, 10:29 PM Around here they would call and say cancel my account, you're internet is slow and I switched to DSL or cable. And then I'd say but you can have faster if you buy our... click - lost connection. No second chances around here. Give them speed and reliability or they switch in a heartbeat. I just picked up a bunch of subs because Windstream DSL is slow and unreliaible. They need to replace the 100+ year old lines. Windstream even offered free months etc. Everyone that can get our service switched without hesitation even with a $200 install fee. On Thu, Mar 25, 2010 at 9:52 PM, Jason Bailey j284...@yahoo.com wrote: Bob,what a great tool!When grandma comes in and says..Facebook is running so slow???Well,for customers such as yourself,we offer this High-Speed option,let me tell you about it,and btwyou can set-up recurring payments to make your life easier!!!Were here to help you --- On Thu, 3/25/10, RickG rgunder...@gmail.com wrote: From: RickG rgunder...@gmail.com Subject: Re: [WISPA] Make a profit with lower pricing? Was: how tocompete with $15 DSL To: WISPA General List wireless@wispa.org Date: Thursday, March 25, 2010, 9:36 PM Bob, Not putting you down but it depends on your circumstances. If you want walk-in traffic and to spend time on a $5.99/month account then great. For me, I'd rather work on high dollar accounts. What works for some, may not work for others. Thats what makes the world go round! On Thu, Mar 25, 2010 at 1:51 PM, Patrick Leary ple...@apertonet.com wrote: Love it. Good stuff and very savvy. Patrick Leary Aperto Networks 813.426.4230 mobile -Original Message- From: wireless-boun...@wispa.org [mailto:wireless-boun...@wispa.org] On Behalf Of Robert West Sent: Thursday, March 25, 2010 10:20 AM To: 'WISPA General List' Subject: Re: [WISPA] Make a profit with lower pricing? Was: how tocompete with $15 DSL We've been selling a loss leader dial up service for $5.99 for 10 years now. We don't lose anything and only make a couple of bucks per user but we get the payback on the backend. The 5.99 service, they have to come into our retail store to sign up for it and to pay the bill. No online or phone payments. Made a lot of customers that way who give us cash for other services since they have to see us anyway. We still have over 200 dial up customers and every month those 200 have to come in and see our smiling faces. Bob- -Original Message- From: wireless-boun...@wispa.org [mailto:wireless-boun...@wispa.org] On Behalf Of RickG Sent: Thursday, March 25, 2010 12:51 PM To: WISPA General List Subject: Re: [WISPA] Make a profit with lower pricing? Was: how to compete with $15 DSL I'm sure they dont. For me, I dont pay attention to the cheap advertised prices. For others, I suspect that what they do is compare pricing and get a relative feeling for a benchmark. Of course, they also compare features benefits then choose the laptop that fits their needs and/or budget. With all due respect, I dont see much correlation between internet service (monthly service) and purchasing a laptop (one time purchase). I tried to offer a low, loss leader a while back as a test and the ones who took it never upgraded. I dont see any reason to offer it but then I'm fortunate not to have any competition. On Thu, Mar 25, 2010 at 11:06 AM, Robert West robert.w...@just-micro.com wrote: A very well known example.. Dell. Dell advertises $400.00 systems and laptops. Anyone here ever end up with one at the advertised price? Probably not many. Bob- -Original Message- From: wireless-boun...@wispa.org [mailto:wireless-boun...@wispa.org] On Behalf Of Robert West Sent: Thursday, March 25, 2010 10:55 AM To: 'WISPA General List' Subject: Re: [WISPA] Make a profit with lower pricing? Was: how to
Re: [WISPA] Make a profit with lower pricing? Was: how tocompete with $15 DSL
I've heard the You guys are great! You answer the phone, you're reliable, blah, blah, blah then two weeks later Well I got an offer I couldn't refuse and you look at the offer and they end up paying more over the lifetime of their contract. Richey -Original Message- From: wireless-boun...@wispa.org [mailto:wireless-boun...@wispa.org] On Behalf Of RickG Sent: Thursday, March 25, 2010 10:29 PM To: WISPA General List Subject: Re: [WISPA] Make a profit with lower pricing? Was: how tocompete with $15 DSL Around here they would call and say cancel my account, you're internet is slow and I switched to DSL or cable. And then I'd say but you can have faster if you buy our... click - lost connection. No second chances around here. Give them speed and reliability or they switch in a heartbeat. I just picked up a bunch of subs because Windstream DSL is slow and unreliaible. They need to replace the 100+ year old lines. Windstream even offered free months etc. Everyone that can get our service switched without hesitation even with a $200 install fee. On Thu, Mar 25, 2010 at 9:52 PM, Jason Bailey j284...@yahoo.com wrote: Bob,what a great tool!When grandma comes in and says..Facebook is running so slow???Well,for customers such as yourself,we offer this High-Speed option,let me tell you about it,and btwyou can set-up recurring payments to make your life easier!!!Were here to help you --- On Thu, 3/25/10, RickG rgunder...@gmail.com wrote: From: RickG rgunder...@gmail.com Subject: Re: [WISPA] Make a profit with lower pricing? Was: how tocompete with $15 DSL To: WISPA General List wireless@wispa.org Date: Thursday, March 25, 2010, 9:36 PM Bob, Not putting you down but it depends on your circumstances. If you want walk-in traffic and to spend time on a $5.99/month account then great. For me, I'd rather work on high dollar accounts. What works for some, may not work for others. Thats what makes the world go round! On Thu, Mar 25, 2010 at 1:51 PM, Patrick Leary ple...@apertonet.com wrote: Love it. Good stuff and very savvy. Patrick Leary Aperto Networks 813.426.4230 mobile -Original Message- From: wireless-boun...@wispa.org [mailto:wireless-boun...@wispa.org] On Behalf Of Robert West Sent: Thursday, March 25, 2010 10:20 AM To: 'WISPA General List' Subject: Re: [WISPA] Make a profit with lower pricing? Was: how tocompete with $15 DSL We've been selling a loss leader dial up service for $5.99 for 10 years now. We don't lose anything and only make a couple of bucks per user but we get the payback on the backend. The 5.99 service, they have to come into our retail store to sign up for it and to pay the bill. No online or phone payments. Made a lot of customers that way who give us cash for other services since they have to see us anyway. We still have over 200 dial up customers and every month those 200 have to come in and see our smiling faces. Bob- -Original Message- From: wireless-boun...@wispa.org [mailto:wireless-boun...@wispa.org] On Behalf Of RickG Sent: Thursday, March 25, 2010 12:51 PM To: WISPA General List Subject: Re: [WISPA] Make a profit with lower pricing? Was: how to compete with $15 DSL I'm sure they dont. For me, I dont pay attention to the cheap advertised prices. For others, I suspect that what they do is compare pricing and get a relative feeling for a benchmark. Of course, they also compare features benefits then choose the laptop that fits their needs and/or budget. With all due respect, I dont see much correlation between internet service (monthly service) and purchasing a laptop (one time purchase). I tried to offer a low, loss leader a while back as a test and the ones who took it never upgraded. I dont see any reason to offer it but then I'm fortunate not to have any competition. On Thu, Mar 25, 2010 at 11:06 AM, Robert West robert.w...@just-micro.com wrote: A very well known example.. Dell. Dell advertises $400.00 systems and laptops. Anyone here ever end up with one at the advertised price? Probably not many. Bob- -Original Message- From: wireless-boun...@wispa.org [mailto:wireless-boun...@wispa.org] On Behalf Of Robert West Sent: Thursday, March 25, 2010 10:55 AM To: 'WISPA General List' Subject: Re: [WISPA] Make a profit with lower pricing? Was: how to compete with $15 DSL We start at 29 bucks. The way I think, you always need the bait to bring them in, such as a low price. It's all sales after that. Bump up to a higher tier, equipment insurance, service call plan... etc. On the face of it, we look very inexpensive but the customer almost always elects to upgrade or add on something. My favorite is a customer who calls about the $29.00 plan but ends up asking Do you have anything faster? (Big Smile) Bob- -Original Message- From: wireless-boun...@wispa.org [mailto:wireless-boun...@wispa.org] On Behalf Of RickG Sent:
Re: [WISPA] Make a profit with lower pricing? Was: how tocompete with $15 DSL
Love it. Good stuff and very savvy. Patrick Leary Aperto Networks 813.426.4230 mobile -Original Message- From: wireless-boun...@wispa.org [mailto:wireless-boun...@wispa.org] On Behalf Of Robert West Sent: Thursday, March 25, 2010 10:20 AM To: 'WISPA General List' Subject: Re: [WISPA] Make a profit with lower pricing? Was: how tocompete with $15 DSL We've been selling a loss leader dial up service for $5.99 for 10 years now. We don't lose anything and only make a couple of bucks per user but we get the payback on the backend. The 5.99 service, they have to come into our retail store to sign up for it and to pay the bill. No online or phone payments. Made a lot of customers that way who give us cash for other services since they have to see us anyway. We still have over 200 dial up customers and every month those 200 have to come in and see our smiling faces. Bob- -Original Message- From: wireless-boun...@wispa.org [mailto:wireless-boun...@wispa.org] On Behalf Of RickG Sent: Thursday, March 25, 2010 12:51 PM To: WISPA General List Subject: Re: [WISPA] Make a profit with lower pricing? Was: how to compete with $15 DSL I'm sure they dont. For me, I dont pay attention to the cheap advertised prices. For others, I suspect that what they do is compare pricing and get a relative feeling for a benchmark. Of course, they also compare features benefits then choose the laptop that fits their needs and/or budget. With all due respect, I dont see much correlation between internet service (monthly service) and purchasing a laptop (one time purchase). I tried to offer a low, loss leader a while back as a test and the ones who took it never upgraded. I dont see any reason to offer it but then I'm fortunate not to have any competition. On Thu, Mar 25, 2010 at 11:06 AM, Robert West robert.w...@just-micro.com wrote: A very well known example.. Dell. Dell advertises $400.00 systems and laptops. Anyone here ever end up with one at the advertised price? Probably not many. Bob- -Original Message- From: wireless-boun...@wispa.org [mailto:wireless-boun...@wispa.org] On Behalf Of Robert West Sent: Thursday, March 25, 2010 10:55 AM To: 'WISPA General List' Subject: Re: [WISPA] Make a profit with lower pricing? Was: how to compete with $15 DSL We start at 29 bucks. The way I think, you always need the bait to bring them in, such as a low price. It's all sales after that. Bump up to a higher tier, equipment insurance, service call plan... etc. On the face of it, we look very inexpensive but the customer almost always elects to upgrade or add on something. My favorite is a customer who calls about the $29.00 plan but ends up asking Do you have anything faster? (Big Smile) Bob- -Original Message- From: wireless-boun...@wispa.org [mailto:wireless-boun...@wispa.org] On Behalf Of RickG Sent: Thursday, March 25, 2010 12:21 AM To: WISPA General List Subject: Re: [WISPA] Make a profit with lower pricing? Was: how to compete with $15 DSL But what is your ARPU? On Thu, Mar 25, 2010 at 12:02 AM, Travis Johnson t...@ida.net wrote: Hi, I have packages starting at $29.95/month and I'm quite profitable... have been for over 12 years now... :) Travis Microserv RickG wrote: Bob, We do the same here. Day one ROI upon installation. Not having any problems getting customers, In fact, we're growing faster than we ever have. Of course, there is a lot more to the cost of operating than just ROI upon install. Our lowest plan is $49.99/month. Which is the reason I responded to Jayson's post: Jayson Baker jay...@spectrasurf.com wrote: $24.95/mo gets you 12Mbps/6Mbps. $49.95/mo gets you 20Mbps/6Mbps. We guarantee minimums--not just an up to speed I'm always game to learn something. Every business model I've ever done only shows profit at $50/month ARPU. I'm just wondering if where I'm going wrong. -RickG On Wed, Mar 24, 2010 at 6:34 PM, Robert West robert.w...@just-micro.com wrote: Using UBNT, we have a zero day ROI. We pay the salesperson a commission and the installer is paid by the job. Thus, the install fee and first month service covers it all including the price of the radio/antenna. After that, the monthly charge comes with not much effort unless the customer turns out to be high maintenance and with that, we just start charging for service calls and computer repairs. Just because one charges a small monthly fee doesn't mean you can't have add on services, higher tiers or other profit areas. But even with that, we've had the cheap skate discussion before some people will go with the 15 buck slow service no matter what. Let em'. You deal with that type of offer with quality, service and educating your market. The worst thing you could do, in my opinion, is to try to join in their game. It only associates their low quality standards with you.
Re: [WISPA] Make a profit with lower pricing? Was: how tocompete with $15 DSL
Bob, Not putting you down but it depends on your circumstances. If you want walk-in traffic and to spend time on a $5.99/month account then great. For me, I'd rather work on high dollar accounts. What works for some, may not work for others. Thats what makes the world go round! On Thu, Mar 25, 2010 at 1:51 PM, Patrick Leary ple...@apertonet.com wrote: Love it. Good stuff and very savvy. Patrick Leary Aperto Networks 813.426.4230 mobile -Original Message- From: wireless-boun...@wispa.org [mailto:wireless-boun...@wispa.org] On Behalf Of Robert West Sent: Thursday, March 25, 2010 10:20 AM To: 'WISPA General List' Subject: Re: [WISPA] Make a profit with lower pricing? Was: how tocompete with $15 DSL We've been selling a loss leader dial up service for $5.99 for 10 years now. We don't lose anything and only make a couple of bucks per user but we get the payback on the backend. The 5.99 service, they have to come into our retail store to sign up for it and to pay the bill. No online or phone payments. Made a lot of customers that way who give us cash for other services since they have to see us anyway. We still have over 200 dial up customers and every month those 200 have to come in and see our smiling faces. Bob- -Original Message- From: wireless-boun...@wispa.org [mailto:wireless-boun...@wispa.org] On Behalf Of RickG Sent: Thursday, March 25, 2010 12:51 PM To: WISPA General List Subject: Re: [WISPA] Make a profit with lower pricing? Was: how to compete with $15 DSL I'm sure they dont. For me, I dont pay attention to the cheap advertised prices. For others, I suspect that what they do is compare pricing and get a relative feeling for a benchmark. Of course, they also compare features benefits then choose the laptop that fits their needs and/or budget. With all due respect, I dont see much correlation between internet service (monthly service) and purchasing a laptop (one time purchase). I tried to offer a low, loss leader a while back as a test and the ones who took it never upgraded. I dont see any reason to offer it but then I'm fortunate not to have any competition. On Thu, Mar 25, 2010 at 11:06 AM, Robert West robert.w...@just-micro.com wrote: A very well known example.. Dell. Dell advertises $400.00 systems and laptops. Anyone here ever end up with one at the advertised price? Probably not many. Bob- -Original Message- From: wireless-boun...@wispa.org [mailto:wireless-boun...@wispa.org] On Behalf Of Robert West Sent: Thursday, March 25, 2010 10:55 AM To: 'WISPA General List' Subject: Re: [WISPA] Make a profit with lower pricing? Was: how to compete with $15 DSL We start at 29 bucks. The way I think, you always need the bait to bring them in, such as a low price. It's all sales after that. Bump up to a higher tier, equipment insurance, service call plan... etc. On the face of it, we look very inexpensive but the customer almost always elects to upgrade or add on something. My favorite is a customer who calls about the $29.00 plan but ends up asking Do you have anything faster? (Big Smile) Bob- -Original Message- From: wireless-boun...@wispa.org [mailto:wireless-boun...@wispa.org] On Behalf Of RickG Sent: Thursday, March 25, 2010 12:21 AM To: WISPA General List Subject: Re: [WISPA] Make a profit with lower pricing? Was: how to compete with $15 DSL But what is your ARPU? On Thu, Mar 25, 2010 at 12:02 AM, Travis Johnson t...@ida.net wrote: Hi, I have packages starting at $29.95/month and I'm quite profitable... have been for over 12 years now... :) Travis Microserv RickG wrote: Bob, We do the same here. Day one ROI upon installation. Not having any problems getting customers, In fact, we're growing faster than we ever have. Of course, there is a lot more to the cost of operating than just ROI upon install. Our lowest plan is $49.99/month. Which is the reason I responded to Jayson's post: Jayson Baker jay...@spectrasurf.com wrote: $24.95/mo gets you 12Mbps/6Mbps. $49.95/mo gets you 20Mbps/6Mbps. We guarantee minimums--not just an up to speed I'm always game to learn something. Every business model I've ever done only shows profit at $50/month ARPU. I'm just wondering if where I'm going wrong. -RickG On Wed, Mar 24, 2010 at 6:34 PM, Robert West robert.w...@just-micro.com wrote: Using UBNT, we have a zero day ROI. We pay the salesperson a commission and the installer is paid by the job. Thus, the install fee and first month service covers it all including the price of the radio/antenna. After that, the monthly charge comes with not much effort unless the customer turns out to be high maintenance and with that, we just start charging for service calls and computer repairs. Just because one charges a small monthly fee doesn't mean you can't have add on services, higher tiers or other profit areas.
Re: [WISPA] Make a profit with lower pricing? Was: how tocompete with $15 DSL
Bob,what a great tool!When grandma comes in and says..Facebook is running so slow???Well,for customers such as yourself,we offer this High-Speed option,let me tell you about it,and btwyou can set-up recurring payments to make your life easier!!!Were here to help you --- On Thu, 3/25/10, RickG rgunder...@gmail.com wrote: From: RickG rgunder...@gmail.com Subject: Re: [WISPA] Make a profit with lower pricing? Was: how tocompete with $15 DSL To: WISPA General List wireless@wispa.org Date: Thursday, March 25, 2010, 9:36 PM Bob, Not putting you down but it depends on your circumstances. If you want walk-in traffic and to spend time on a $5.99/month account then great. For me, I'd rather work on high dollar accounts. What works for some, may not work for others. Thats what makes the world go round! On Thu, Mar 25, 2010 at 1:51 PM, Patrick Leary ple...@apertonet.com wrote: Love it. Good stuff and very savvy. Patrick Leary Aperto Networks 813.426.4230 mobile -Original Message- From: wireless-boun...@wispa.org [mailto:wireless-boun...@wispa.org] On Behalf Of Robert West Sent: Thursday, March 25, 2010 10:20 AM To: 'WISPA General List' Subject: Re: [WISPA] Make a profit with lower pricing? Was: how tocompete with $15 DSL We've been selling a loss leader dial up service for $5.99 for 10 years now. We don't lose anything and only make a couple of bucks per user but we get the payback on the backend. The 5.99 service, they have to come into our retail store to sign up for it and to pay the bill. No online or phone payments. Made a lot of customers that way who give us cash for other services since they have to see us anyway. We still have over 200 dial up customers and every month those 200 have to come in and see our smiling faces. Bob- -Original Message- From: wireless-boun...@wispa.org [mailto:wireless-boun...@wispa.org] On Behalf Of RickG Sent: Thursday, March 25, 2010 12:51 PM To: WISPA General List Subject: Re: [WISPA] Make a profit with lower pricing? Was: how to compete with $15 DSL I'm sure they dont. For me, I dont pay attention to the cheap advertised prices. For others, I suspect that what they do is compare pricing and get a relative feeling for a benchmark. Of course, they also compare features benefits then choose the laptop that fits their needs and/or budget. With all due respect, I dont see much correlation between internet service (monthly service) and purchasing a laptop (one time purchase). I tried to offer a low, loss leader a while back as a test and the ones who took it never upgraded. I dont see any reason to offer it but then I'm fortunate not to have any competition. On Thu, Mar 25, 2010 at 11:06 AM, Robert West robert.w...@just-micro.com wrote: A very well known example.. Dell. Dell advertises $400.00 systems and laptops. Anyone here ever end up with one at the advertised price? Probably not many. Bob- -Original Message- From: wireless-boun...@wispa.org [mailto:wireless-boun...@wispa.org] On Behalf Of Robert West Sent: Thursday, March 25, 2010 10:55 AM To: 'WISPA General List' Subject: Re: [WISPA] Make a profit with lower pricing? Was: how to compete with $15 DSL We start at 29 bucks. The way I think, you always need the bait to bring them in, such as a low price. It's all sales after that. Bump up to a higher tier, equipment insurance, service call plan... etc. On the face of it, we look very inexpensive but the customer almost always elects to upgrade or add on something. My favorite is a customer who calls about the $29.00 plan but ends up asking Do you have anything faster? (Big Smile) Bob- -Original Message- From: wireless-boun...@wispa.org [mailto:wireless-boun...@wispa.org] On Behalf Of RickG Sent: Thursday, March 25, 2010 12:21 AM To: WISPA General List Subject: Re: [WISPA] Make a profit with lower pricing? Was: how to compete with $15 DSL But what is your ARPU? On Thu, Mar 25, 2010 at 12:02 AM, Travis Johnson t...@ida.net wrote: Hi, I have packages starting at $29.95/month and I'm quite profitable... have been for over 12 years now... :) Travis Microserv RickG wrote: Bob, We do the same here. Day one ROI upon installation. Not having any problems getting customers, In fact, we're growing faster than we ever have. Of course, there is a lot more to the cost of operating than just ROI upon install. Our lowest plan is $49.99/month. Which is the reason I responded to Jayson's post: Jayson Baker jay...@spectrasurf.com wrote: $24.95/mo gets you 12Mbps/6Mbps. $49.95/mo gets you 20Mbps/6Mbps. We guarantee minimums--not just an up to speed I'm always game to learn something. Every business model I've ever done only shows profit at $50/month ARPU. I'm just wondering if where I'm going wrong. -RickG On Wed, Mar 24, 2010 at 6:34 PM, Robert West robert.w...@just-micro.com wrote: Using
Re: [WISPA] Make a profit with lower pricing? Was: how tocompete with $15 DSL
Around here they would call and say cancel my account, you're internet is slow and I switched to DSL or cable. And then I'd say but you can have faster if you buy our... click - lost connection. No second chances around here. Give them speed and reliability or they switch in a heartbeat. I just picked up a bunch of subs because Windstream DSL is slow and unreliaible. They need to replace the 100+ year old lines. Windstream even offered free months etc. Everyone that can get our service switched without hesitation even with a $200 install fee. On Thu, Mar 25, 2010 at 9:52 PM, Jason Bailey j284...@yahoo.com wrote: Bob,what a great tool!When grandma comes in and says..Facebook is running so slow???Well,for customers such as yourself,we offer this High-Speed option,let me tell you about it,and btwyou can set-up recurring payments to make your life easier!!!Were here to help you --- On Thu, 3/25/10, RickG rgunder...@gmail.com wrote: From: RickG rgunder...@gmail.com Subject: Re: [WISPA] Make a profit with lower pricing? Was: how tocompete with $15 DSL To: WISPA General List wireless@wispa.org Date: Thursday, March 25, 2010, 9:36 PM Bob, Not putting you down but it depends on your circumstances. If you want walk-in traffic and to spend time on a $5.99/month account then great. For me, I'd rather work on high dollar accounts. What works for some, may not work for others. Thats what makes the world go round! On Thu, Mar 25, 2010 at 1:51 PM, Patrick Leary ple...@apertonet.com wrote: Love it. Good stuff and very savvy. Patrick Leary Aperto Networks 813.426.4230 mobile -Original Message- From: wireless-boun...@wispa.org [mailto:wireless-boun...@wispa.org] On Behalf Of Robert West Sent: Thursday, March 25, 2010 10:20 AM To: 'WISPA General List' Subject: Re: [WISPA] Make a profit with lower pricing? Was: how tocompete with $15 DSL We've been selling a loss leader dial up service for $5.99 for 10 years now. We don't lose anything and only make a couple of bucks per user but we get the payback on the backend. The 5.99 service, they have to come into our retail store to sign up for it and to pay the bill. No online or phone payments. Made a lot of customers that way who give us cash for other services since they have to see us anyway. We still have over 200 dial up customers and every month those 200 have to come in and see our smiling faces. Bob- -Original Message- From: wireless-boun...@wispa.org [mailto:wireless-boun...@wispa.org] On Behalf Of RickG Sent: Thursday, March 25, 2010 12:51 PM To: WISPA General List Subject: Re: [WISPA] Make a profit with lower pricing? Was: how to compete with $15 DSL I'm sure they dont. For me, I dont pay attention to the cheap advertised prices. For others, I suspect that what they do is compare pricing and get a relative feeling for a benchmark. Of course, they also compare features benefits then choose the laptop that fits their needs and/or budget. With all due respect, I dont see much correlation between internet service (monthly service) and purchasing a laptop (one time purchase). I tried to offer a low, loss leader a while back as a test and the ones who took it never upgraded. I dont see any reason to offer it but then I'm fortunate not to have any competition. On Thu, Mar 25, 2010 at 11:06 AM, Robert West robert.w...@just-micro.com wrote: A very well known example.. Dell. Dell advertises $400.00 systems and laptops. Anyone here ever end up with one at the advertised price? Probably not many. Bob- -Original Message- From: wireless-boun...@wispa.org [mailto:wireless-boun...@wispa.org] On Behalf Of Robert West Sent: Thursday, March 25, 2010 10:55 AM To: 'WISPA General List' Subject: Re: [WISPA] Make a profit with lower pricing? Was: how to compete with $15 DSL We start at 29 bucks. The way I think, you always need the bait to bring them in, such as a low price. It's all sales after that. Bump up to a higher tier, equipment insurance, service call plan... etc. On the face of it, we look very inexpensive but the customer almost always elects to upgrade or add on something. My favorite is a customer who calls about the $29.00 plan but ends up asking Do you have anything faster? (Big Smile) Bob- -Original Message- From: wireless-boun...@wispa.org [mailto:wireless-boun...@wispa.org] On Behalf Of RickG Sent: Thursday, March 25, 2010 12:21 AM To: WISPA General List Subject: Re: [WISPA] Make a profit with lower pricing? Was: how to compete with $15 DSL But what is your ARPU? On Thu, Mar 25, 2010 at 12:02 AM, Travis Johnson t...@ida.net wrote: Hi, I have packages starting at $29.95/month and I'm quite profitable... have been for over 12 years now... :) Travis Microserv RickG wrote: Bob, We do the same here. Day one ROI upon installation. Not having any problems getting customers,
Re: [WISPA] Make a profit with lower pricing? Was: how tocompete with $15 DSL
Hmmm,good point,I guess it works both ways,I think it is that way everywhere.Not sure what market Bob is working,I guess it depends if he has competition.Either way,well put Rick..One must remember to look at both sides! --- On Thu, 3/25/10, RickG rgunder...@gmail.com wrote: From: RickG rgunder...@gmail.com Subject: Re: [WISPA] Make a profit with lower pricing? Was: how tocompete with $15 DSL To: WISPA General List wireless@wispa.org Date: Thursday, March 25, 2010, 10:29 PM Around here they would call and say cancel my account, you're internet is slow and I switched to DSL or cable. And then I'd say but you can have faster if you buy our... click - lost connection. No second chances around here. Give them speed and reliability or they switch in a heartbeat. I just picked up a bunch of subs because Windstream DSL is slow and unreliaible. They need to replace the 100+ year old lines. Windstream even offered free months etc. Everyone that can get our service switched without hesitation even with a $200 install fee. On Thu, Mar 25, 2010 at 9:52 PM, Jason Bailey j284...@yahoo.com wrote: Bob,what a great tool!When grandma comes in and says..Facebook is running so slow???Well,for customers such as yourself,we offer this High-Speed option,let me tell you about it,and btwyou can set-up recurring payments to make your life easier!!!Were here to help you --- On Thu, 3/25/10, RickG rgunder...@gmail.com wrote: From: RickG rgunder...@gmail.com Subject: Re: [WISPA] Make a profit with lower pricing? Was: how tocompete with $15 DSL To: WISPA General List wireless@wispa.org Date: Thursday, March 25, 2010, 9:36 PM Bob, Not putting you down but it depends on your circumstances. If you want walk-in traffic and to spend time on a $5.99/month account then great. For me, I'd rather work on high dollar accounts. What works for some, may not work for others. Thats what makes the world go round! On Thu, Mar 25, 2010 at 1:51 PM, Patrick Leary ple...@apertonet.com wrote: Love it. Good stuff and very savvy. Patrick Leary Aperto Networks 813.426.4230 mobile -Original Message- From: wireless-boun...@wispa.org [mailto:wireless-boun...@wispa.org] On Behalf Of Robert West Sent: Thursday, March 25, 2010 10:20 AM To: 'WISPA General List' Subject: Re: [WISPA] Make a profit with lower pricing? Was: how tocompete with $15 DSL We've been selling a loss leader dial up service for $5.99 for 10 years now. We don't lose anything and only make a couple of bucks per user but we get the payback on the backend. The 5.99 service, they have to come into our retail store to sign up for it and to pay the bill. No online or phone payments. Made a lot of customers that way who give us cash for other services since they have to see us anyway. We still have over 200 dial up customers and every month those 200 have to come in and see our smiling faces. Bob- -Original Message- From: wireless-boun...@wispa.org [mailto:wireless-boun...@wispa.org] On Behalf Of RickG Sent: Thursday, March 25, 2010 12:51 PM To: WISPA General List Subject: Re: [WISPA] Make a profit with lower pricing? Was: how to compete with $15 DSL I'm sure they dont. For me, I dont pay attention to the cheap advertised prices. For others, I suspect that what they do is compare pricing and get a relative feeling for a benchmark. Of course, they also compare features benefits then choose the laptop that fits their needs and/or budget. With all due respect, I dont see much correlation between internet service (monthly service) and purchasing a laptop (one time purchase). I tried to offer a low, loss leader a while back as a test and the ones who took it never upgraded. I dont see any reason to offer it but then I'm fortunate not to have any competition. On Thu, Mar 25, 2010 at 11:06 AM, Robert West robert.w...@just-micro.com wrote: A very well known example.. Dell. Dell advertises $400.00 systems and laptops. Anyone here ever end up with one at the advertised price? Probably not many. Bob- -Original Message- From: wireless-boun...@wispa.org [mailto:wireless-boun...@wispa.org] On Behalf Of Robert West Sent: Thursday, March 25, 2010 10:55 AM To: 'WISPA General List' Subject: Re: [WISPA] Make a profit with lower pricing? Was: how to compete with $15 DSL We start at 29 bucks. The way I think, you always need the bait to bring them in, such as a low price. It's all sales after that. Bump up to a higher tier, equipment insurance, service call plan... etc. On the face of it, we look very inexpensive but the customer almost always elects to upgrade or add on something. My favorite is a customer who calls about the $29.00 plan but ends up asking Do you have anything faster? (Big Smile) Bob- -Original Message- From: wireless-boun...@wispa.org [mailto:wireless-boun...@wispa.org] On Behalf Of RickG Sent:
