Do NOT let him out of the contract. Its inforceable. There was a cost to
install his service, and you gave him the service two months earlier which
he needed. I have clients taht have paid $1000 expedite charges so they
wouldn't have to go a month without service waiting for DSL or cable. He
coundn't wait, so he had no choice but agree to the contract. There is no
reason to let him out of the contract after you delivered the good which was
excelerated time to market.
If you value the customer, but more importantly if the client values you,
and there is a chance you would keep him after the contract term, because of
your good personal service or uptime guarantees, etc, then you may want to
give him some extra bandwidth now if he upgrades to a two year contract.
For example, give him a meg now. Tell him what does he need more than a meg
for anyway? Its more than fast enough. Tell him, cable can give him more
bandwidth (3 mb), but he doesn't need more than 1 mb, so it has no value,
what cable can't give him is good service, that is something that he can use
and needs. If he won't play ball, offer him a chance to buy out of his
contract at a $79 per month discount for the year upfront. (example, $159 -
$79 = $80. $80 * remaining 10 months = $800. He can pay $800 upfront, and
you'll let him out of the contract, or he can pay you the full amount and
get broadband for the year. The arguement being the $79 discount is what
he'd be paying cable. But the customer needs to be responsible for $159 per
month, regarless of who it goes to. If you set the presence that you let
people out of their contracts, it will be a chain effect.
UNder no circustances would I relive the $159 a month commitment. If you
want to through bandwidth at him, so what, he'll never use it anyway, it
might be worth it just to avoid the hassle. The point is don't devaluate
the value of service. You can't be every thing to every body. MAke him see
your value instead. If he doesn't see it after the first year, he'll switch
providers. Thats the time to offer him a low ball competitor price, if you
have to.
Tom DeReggi
RapidDSL & Wireless, Inc
IntAirNet- Fixed Wireless Broadband
----- Original Message -----
From: "Todd Lancaster" <[EMAIL PROTECTED]>
To: "WISPA General List" <[email protected]>
Sent: Thursday, August 25, 2005 10:05 PM
Subject: Re: [WISPA] Here's a question for the group.....
Well first off if my customers did a speed test and saw 256k My phones
would be
ringing off the hook. 159.00?? Thats insane too, but if your getting more
power to you. On the other hand if i was you I would search for more
bandwidth
and a cost that doesnt bring your overhead up much. Then I would open
customers up to more bandwidth and for alot less price. My customers are
paying
40.00 a month and seeing 3-4meg down and 1meg up or more. Yeah seems cheap
but
i have 100meg of internet bandwidth at a very affordable price and With
that
price customers are signing up left and right. Anyways should you let him
out
of the contract? I wouldnt thats what the contract is for, however i would
find
a way to bump him up alot more in bandwidth and drop the price and then
say ill
do this if you will renew with me plus with me your not a number your a
customer and if need be explain how with you if theres a issue you will
resolve
it quickly. Also mention when he calls you he talks with the owner not
some
highschool dipshit techie that doesnt know how to hardly turn on a
machine. =)
Just put it in nicer words but thats the point you want to make to him.
Your
not just supplying him bandwidth your supplying him support that he can
depend
on also. Best of luck with that situation.
--
Thanks,
Todd Lancaster
Network Administrator
AlwaysOn-Line LLC.
Quoting Bob Moldashel <[EMAIL PROTECTED]>:
OK...You have a customer that is paying $159 month for 256K service. No
other service providers are available in the area except a full T1 for
$599+ per month. 8 Months later cable modem shows up and offers
$79/month for the first year for new sign ups with 3-4 Mb downloads.
Your customer paying $159/month still has 10 months left on his contract
and is looking to cancel saying the service is slow.
What do you do?
Do you let the customer out of his contract?? Do you enforce the
contract and possibly loose the customer at the end of the contract? Do
you match cable's price and speed? Do you try to give him a better
package and risk him "jumping ship" anyways?
I would love to hear everyone's ideas and input.
-B-
--
Bob Moldashel
Lakeland Communications, Inc.
Broadband Deployment Group
1350 Lincoln Avenue
Holbrook, New York 11741 USA
800-479-9195 Toll Free US & Canada
631-585-5558 Fax
516-551-1131 Cell
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