Line Rental Saver - Renewal problem

[#1]

@shutter if you're going to sum it up at least try to accurately sum up what I'm saying, I never once said that we lose money every time someone phones to renew LRS, you did.

I was the manager of the team that listens to a random sample of calls across the business ensuring the agent's call was up to standard and identifying any process that could be introduced to save time/money and improve the customer service.

Not once have I or any of my team heard a call where the sole reason for it was the purchasing LRS specifically because they can't do it via direct debit. I've never heard any other customer say that they're not happy to pay via either of our current payment methods. As such I dispute your numbers in their entirety.

Plusnet is a commercial organisation, as such, it's perfectly reasonable for it to continuously asses it's product offerings and pricing points. Not all companies who offer line rental offer a discount for paying 12 months in advance, nor are they compelled to.

As well as the financial aspect of offering the product there are other considerations, such as, but not limited to the below

• It's a huge driver of complaints, you wouldn't believe the number of complaints we get for not offering a refund (outside of the clearly defined circumstances), or because the customer didn't read their renewal email and now they're paying the normal monthly price for line rental.
• Research suggests customers on longer-term (18-month) contracts are less likely to leave at the end of their contracted period compared to customers on 12-month contract's. These products don't match well and leave the customer feeling like they're compelled to either a) buy LRS and pay full price for broadband for the last 6 months, B) pay full price for line rental for 6 months or C) purchase LRS again and feel like you've less negotiating power when your contract comes up for renewal in 6 months time.  

[#2]

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@JonoH wrote:

• Research suggests customers on longer-term (18-month) contracts are less likely to leave at the end of their contracted period compared to customers on 12-month contract's. These products don't match well and leave the customer feeling like they're compelled to either a) buy LRS and pay full price for broadband for the last 6 months, B) pay full price for line rental for 6 months or C) purchase LRS again and feel like you've less negotiating power when your contract comes up for renewal in 6 months time.  

This is absolutely bang on. I am just starting my 6 month period of having to pay my Line Rental monthly. However I accept that it is my decision to pay an extra £15 over the next 6 months rather than renew now. I will do this in order to put myself in a better negotiating position in 6 months time. This is something that all customers caught in this trap need to consider, and decide which way to go, when negotiating a new 18 month contract.

In terms of this topic my conclusions are:

1. There are systems in place to enable those who unfortunately are hard of hearing to communicate with Plusnet agents.

2. Plusnet cannot be held responsible for customers being disadvantaged through not being able to either remember passwords or store a written record securely.

3. Whilst it would be convenient to be able to use Direct Debit the current system works. With Plusnet's current problems with its billing system etc. I suggest that it's better for us all if this procedure is left alone.

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[#3]

@Baldrick1 My understanding is that you can take out a new contract any time in the three months prior to the end of your current contract. I'm pretty sure that I did that once.

Also, my present and previous contracts are for two years so that the LRS sync is not a problem.

[#4]

That's a good point. The potential snag is that if the new contract is more than £5 per month more than my current one then I would be better off sticking with it a bit until at least the time when Black Friday deals start appearing. I shall try for two years next time but I have found that to get the best price out of Plusnet it is necessary to quote competitors deals, which does not work unless there are competitive two years offerings from the competition.

Thanks though for reminding me that I do have this 3 month leeway.