fiberguy
My views are my own.
Premium
join:2005-05-20
| reply to dr3yec
Cable isn't a right.. Yea yea.. its been said before.
What do you do? As they raise rates, drop your service levels, or drop them all together. This goes to everything that one can't afford.
Everyone is raising their rates, not just cable.
I'm saying this from a different standpoint this time. Your message, as written, makes it out that you're looking out for them. ie: "this doesn't help their bottom line".. actually, why would you care? Cable isn't going anywhere, first off, and second, consumers WILL make choices and some will drop OR some won't buy that aren't customers.
However, my opinion is simple. Is cable stupid about this? or smart? ... I say smart. Where as people think rate increases are stupid, they're actually a smart move.
The company WILL lose customers and they will likely stop growth in the customer base. BUT, the remaining customers paying more will outweigh the losses in subscriber numbers. Further, a smaller, leaner company is more profitable anyway.
Those who, quite honestly, don't know much about business will always play the doom card.. sorry to say, doom isn't in play here.
They are going to weather an economic down turn more than most. Items like comfort/junk foo, cable TV/satellite, bars and nightclubs, and other comfort items always do well in an economic downturn.
People have to make choices.. if they can't afford something, they have to leave. The problem with some people's predictions about things is simple.. people do NOT vote with their wallet - they never do. All the ranting and raving does nothing in the end.. it's the 'offer-of-the-time' that always wins over the wallet. |
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