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One Third of UK Broadband Customers Refuse to Buy Into Telecom Bundles: Caps, Lousy Service & Contracts Blamed

Phillip Dampier July 9, 2009 Internet Overcharging No Comments

Nearly a third of all UK customers are losing money by not bundling their web access with their home phone or TV packages, says Broadband Choices.

According to the broadband comparison Web site, opting for a bundle could save web users up to £230 per year. The research also revealed that 12 per cent of web users don’t believe bundles offer savings, while 29 per cent are unsure whether a bundle is cost-effective or not.

That was the lead from a report in today’s MacWorld UK, quoting from puzzled Broadband Choices representatives pondering why more people aren’t willing to switch to save.
UK’s leading Ofcom accredited broadband comparison calculator, Broadband Choices publishes pricing for various telecommunications packages, earning affiliate revenue when a potential customer signs up for service through a link on their website.

broadbandchoices“The price of bundled packages has been steadily driven downwards as the major providers battle it out for market share and households subscribing separately for their three services could save £230 or more per year through taking out a bundled package,” said Michael Phillips, product director, BroadbandChoices.co.uk.

Broadband Choices also said that over half of those with a bundle had not shopped around for a better deal in the last four year.

“We would encourage these consumers to get online and compare providers to see what bundled packages are available to them – they will almost certainly find they can enjoy superior services for much less than they are currently paying, with the added benefit of only having one monthly bill to keep track of.”

Besides the fact Broadband Choices stands to earn plenty from consumers who do take Phillips’ advice and sign up for new packages on his website, neither he nor the MacWorld UK piece addressed why UK consumers were reluctant to bring all of their telecommunications business to one provider.

For that, one has to scroll down to the bottom of the MacWorld UK piece where reader comments tell the story:

“Heaven forbid Quality of Service being an issue. Why pay less for rubbish customer service when it goes wrong, if you can get through, on a [toll-charge customer support] 0845/0870 line? Seriously, there’s something to be said for paying a quid or two more for just better service and better reliability.”

“None of these providers/companies are in it for the customer’s benefit, they’re in it for profit. Customer service can be atrocious, especially if a problem turns out to be slightly more than requiring a routine solution. And with their 0845 type numbers it rapidly becomes costly trying to sort out something that is their responsibility (yet we pay for simply trying to tell them). By keeping services separate at least when one goes wrong/has a problem the others aren’t affected.”

“Sky are putting every one up from 8Mb to 10Mb for free! And then also capping them at 10Gb instead of 40Gb with less than a months notice to get out of your contract for free. This is only one reason why a 3rd of the country would rather pay more for good service and support.”

“Agree with what everyone just said.. Plus, they’ll ask you to sign up to a minimum contract, usually 12 months. If you’re already past your minimum term on an existing contract it’s a risk you may not want to take – tying yourself into worse service for a fixed term?”

“As all the other posters have noted, ALL the companies doing bundled phone, broadband and TV are terrible ISPs with crippling usage caps and horrible customer support. I’m amazed only a third of customers are avoiding them.”

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  • Rasputin1357: Why can't we bring back tar and feathering? This jackass looks to be the perfect candidate for that treatment!...
  • Terry: This makes it look as if you don't understand business. The content producer sets their asking price. The delivery provider negotiates the price to wh...
  • Dave Hancock: Phillip, one thing that you said peaked my interest: "Subscribers on Time Warner Cable’s blog keep coming up with an innovative idea to solve thes...
  • Jason!: Am I surprised? No, I am not surprised....
  • jr: CEOs need to make 8 figures...
  • DM: I hate hearing statements like this because this has been the cable industry’s exact attitude for the past five years. Regarding internet services,...
  • Jeremy: That's their whole plan so they can justify ripping off consumers with lousy bandwidth and caps....
  • Uncle Ken: Just great/ If what Kent says is true we will drop to the bottom of the rest of the earth and be back on dial up all in the name of stock holders. M...
  • Earl Cooley III: They should pay the various channels whatever fees they want, and finance it by dramatically slashing executive compensation, using the extra money le...
  • Phillip Dampier: In other words, some automated test procedure is being run on a periodic basis that resets your line speeds lower (how many have ever gotten faster sp...
  • Zaii: I've been having this issue for months now. I had 1792 d/l for years rock solid connection then I got "optimized" to 1504. Contacted Verizon direc...
  • Phillip Dampier: In Australia or New Zealand, where flat rate broadband was around only very briefly back when "online streaming" meant a low bitrate Real Audio stream...

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