Reviews:
 ·Verizon Online DSL
 ·Optimum Online
·EarthLink
| Cablevision is for the rich Some cable operators have lower-priced tiers, but the cheapest tier Cablevision has is $45 per month. They have higher tiers at $60 and $99 per month, but no lower-priced tier. Cablevision keeps adding higher-priced tiers, but they don't care about people who can't afford to shell-out $540 per year.
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It's nice to be important, but it's more important to be nice. |
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 jmn1207Premium
join:2000-07-19
Ashburn, VA
1 edit | I agree. The problem is that it doesn't cost Verizon any more to provide 50/50 service than it does to offer 10/10 service. It does cost Verizon money to install and maintain the service for each customer, so there is a price point that they want to stay above for each household. I still think they could generate a much bigger user base and make more money offering a cheaper 10/10 or 15/15 service for $24.99 or less.
This isn't a pricing war, it's a performance war. I think both Cablevision and Verizon are making a mistake, but obviously I don't have access to the same information that they do. It seems to me that with the quarterly financial statements that were posted, there is some room to offer lower priced tiers and still make a profit. |
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patcat88
join:2002-04-05
Jamaica, NY
kudos:1 | reply to Bobcat
said by Bobcat:Some cable operators have lower-priced tiers, but the cheapest tier Cablevision has is $45 per month. They have higher tiers at $60 and $99 per month, but no lower-priced tier. Cablevision keeps adding higher-priced tiers, but they don't care about people who can't afford to shell-out $540 per year. This is the new recession growth formula. You don't make products cheaper, thats financial suicide, you make better products, or products with more value, for more money. 2 things for the price of 1.5 things. get it? |
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Reviews:
·Verizon Online DSL
·Optimum Online
·EarthLink
| So if you don't need and can't afford a BMW, you shouldn't be able to buy a Chevy? Make those senior citizens and lower-income people walk! Serves them right for not being rich!!
Only a moron would advocate that strategy.
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It's nice to be important, but it's more important to be nice. |
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patcat88
join:2002-04-05
Jamaica, NY
kudos:1 | said by Bobcat:So if you don't need and can't afford a BMW, you shouldn't be able to buy a Chevy? Make those senior citizens and lower-income people walk! Serves them right for not being rich!! Only a moron would advocate that strategy. Not exactly. "Chevy has been discontinued, but we have lowered the price on all Buicks by 30%". Verizon has NEVER price decreased FIOS, only made new plans which are better by the numbers, with higher prices. The idea is to increase ARPU, which means getting each customer off the lower/cheaper plan, or not having lower/cheaper plans at all. Each customer on a cheap plan is a potential expensive plan customer, since people are generally cheap on things without impressive social status marking brand names. Verizon has a fixed cost infrastructure, cheaper users are less profitable then luxury users. VZ doesn't operate on volume, it operates on a revenue per customer basis.
Triple play is another of the "increase revenue per customer" strategies, since all your costs are fixed except for video programing. Cable companies never went around trying to sell phone service by itself to people with satellite TV. Verizon stopped trying to sell internet by itself a long time ago (no video franchise, we won't move a foot of dirt).
This concept of add features and value to justify the high price, without going into pure brand name luxury profit can be applied to other things, your cellphone is now a GPS navigator. Your car now comes with GPS navigation. Your phone is now an mp3 player. I'm sure others can think of other examples in retail of hybrid products that cost less than their 2 things added. |
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Reviews:
·Verizon Online DSL
·Optimum Online
·EarthLink
| Circa 2004, CV raised the price of OOL from $30 to $45. Verizon lowered the price of DSL to $30. I switched to DSL. So in Cablevision's attempt to get an extra $15/mo out of me, they lost $30/mo. That lost $30/mo has added up to $1800 since then.
So is CV's lack of a lower-priced tier really a good move? In my case, they lost $1800.
CV is doing the same thing to my video service. They've raised the price to $53/month, while reducing service dramatically. They refuse to adjust the price. So I'll be canceling my cable service soon. They'll be getting $0 from me.
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It's nice to be important, but it's more important to be nice. |
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 lyokian159Did you try turning it off and back on?
join:2009-01-30
Garden City, NY | You make my head hurt. We get it, you hate cablevision, blah blah blah. |
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| reply to Bobcat
said by Bobcat:So if you don't need and can't afford a BMW, you shouldn't be able to buy a Chevy? Make those senior citizens and lower-income people walk! Serves them right for not being rich!! Only a moron would advocate that strategy. If broadband is so expensive, why don't you go back to dialup? |
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jmn1207Premium
join:2000-07-19
Ashburn, VA | said by fifty nine:said by Bobcat:So if you don't need and can't afford a BMW, you shouldn't be able to buy a Chevy? Make those senior citizens and lower-income people walk! Serves them right for not being rich!! Only a moron would advocate that strategy. If broadband is so expensive, why don't you go back to dialup? Have you seen the cost of POTS phone service? |
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Reviews:
·Verizon Online DSL
·Optimum Online
·EarthLink
| said by jmn1207:said by fifty nine:said by Bobcat:So if you don't need and can't afford a BMW, you shouldn't be able to buy a Chevy? Make those senior citizens and lower-income people walk! Serves them right for not being rich!! Only a moron would advocate that strategy. If broadband is so expensive, why don't you go back to dialup? Have you seen the cost of POTS phone service? My POTS phone service is $21 per month.
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It's nice to be important, but it's more important to be nice. |
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jmn1207Premium
join:2000-07-19
Ashburn, VA | With $30 fees tacked on? 
That's a real good price. |
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