George Rogato wrote:

The very next day a sub called and complained that he was having issues downloading his news groups and was considering changing over to DSL. I've had this sub for 5 years and the original reason he bought broadband from me was because he came to his retirement home here on the coast on some weekends and wanted to be able to download some movies from newsgroups he subscribed to.

5 years = 60 months = $42 per month ($41.66 using the $2500)

Does that include the 2 CPE and 2 installs?

IN this past month he grabbed 40GB.  How much do you pay for 40GB?
At even Cogent's rate of $15 per MB + tower rental + overhead, what is the net profit?
Does he pay by credit card? So lose 4% or $1.40).
(I don't need to know, but you do.)

My best advice is to find ways to increase ARPU from these customers.
Whether that be affiliate income from shopping; partner income from other services sold that are outsourced; PC maintenece; virus insurance; back-up; etc.

Just my 2 cents worth.

Peter Radizeski
RAD-INFO, Inc.
www.marketingideaguy.com


I've always tried to engineer my systems to be able to have the capacity to service this type of customer. I buy extra bandwidth, more than I need. and I try not to load up my ap's and make sure they have nice big fat feeds.

We ended up swapping out his cpe and pointing him at a diferent ap.
This was the day after Marlons thread. which was about feb 1st.

here is his usage up till now:
TX Data:  1,556,767,671  RX Data: 39,673,651,793 BYTES

or 36.95 gigs to data downloaded and it's only day 17 out of 30.

His usagge has not impacted my system and his usage is like once or twice a week. When I look at this guy, I see dollar signs. $2,500 for the money he has given me and I think even more he will give me in the future.

I realize not everyone has this business plan, or can even afford the bandwidth, so I'm not implying anyone is doing it wrong, just that we can handle these types of subs and make a profit from it if we engineer our network to accomadate this type of user.

George

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