New v Existing customer deals

[#1]

Really disappointed to find new customers can save £4 per month while being offered DOUBLE the speed.
Very poor customer service and a good way to encourage supplier switching.

[#2]

Moderators Note

This topic has been moved from Broadband to My Account / Billing

[#3]

yep, offer on front screen for full fibre 145 for £25.99 per month, log into my account and it’s £29.99.
would someone like to explain why you charge existing customers more, not to mention the 12% price rise after 6 months. suggest everyone checks how much neighbours can get a plusnet line for before renewing . disgusting way to treat long standing customers don’t you think?

[#4]

The reason to charge new customers less is to encourage them to join.

The reason not to offer the same deal to exiting customers is that most of them won't notice, or if they do won't move ISP. The loss of income from the existing customers that do move ISP are more than made up for by the ones who stay and pay more.

I'm no longer a Plusnet customer, and never will be again as they can no longer offer any broadband service at all in my (ADSL2+ only) area - but when they could still offer ADSL2+, it cost more than the price charged to those in areas where FTTC was available. Pricing isn't intended to be fair - it is intended to be profitable.

[#5]

https://www.ofcom.org.uk/phones-and-broadband/service-quality/companies-must-tell-customers-about-th...

so shouldn’t plusnet be telling existing customers about new customer prices?

[#6]

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@csmith wrote:
https://www.ofcom.org.uk/phones-and-broadband/service-quality/companies-must-tell-customers-about-th...

so shouldn’t plusnet be telling existing customers about new customer prices?

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Plusnet do tell you when your contract is about to end, and they tell you what the best deal available to you is if you take out a new contract - that matches the Ofcom guidance.

Unfortunately, Ofcom don't require the best deal for an existing customer to be as good as the best deal for a new customer.

Ofcom do advise customers to check what the best deal from any ISP is, and to ask your ISP to match it - or move ISP if they won't. That's good advice, although I'd like it to become unnecessary.

[#7]

It seems to me Plusnet are missing the point here. If they allowed you to 'upgrade' mid contract to a faster speed, and potentially cheaper deal by a couple of quid, they would lock you in for a 24 month deal, and have a vary happy customer.

If they don't, the most likely outcome is that you resent Plusnet as a company, and will be unlikely to sign up with another contract with them, instead switching away as soon as you are out of contract, and only return years later if their deals are significantly cheaper than the competition.

Customer acquisition can be very expensive and theses days its all about subscriber numbers. Keeping your customer base happy should be a priority. 

[#8]

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@binky987 wrote:

Customer acquisition can be very expensive and theses days its all about subscriber numbers. Keeping your customer base happy should be a priority. 

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I agree with you 100%, and with Plusnet 0%.

I suspect the problem is that marketing bonuses are based on the number of new customers gained, not the number of existing customers kept happy.