| Lazy consumers. Customers will moan and complain but when it comes down to it they don't do a damn thing about it. IF consumers really wanted to show Sprint their dislike for this they would move to other carriers, but they will not do it.
Companies the size of Sprint and larger look at hard facts such as subscriber numbers and revenue. IF they add a cap or add a fee and their bottom line or subcriber numbers barely change they assume things are good and they continue on.
If there was a mass exodus of let's say 20-30% after such a policy change Dan would notice and would make a change. If 2-3% leaves his underlings will mark it up as churn and it will not be noticed. |
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 jmn1207Premium
join:2000-07-19
Ashburn, VA
kudos:1 | If my phone loses the ability to get unlimited data, I'll be switching to Verizon's 10GB 4G plan right away.
Looks like it's time to start researching Verizon's best 4G phone options now. |
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| One here and one there won't do it. It has to be a mass exodus. |
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| reply to battleop
said by battleop:Customers will moan and complain but when it comes down to it they don't do a damn thing about it. IF consumers really wanted to show Sprint their dislike for this they would move to other carriers, but they will not do it.
Companies the size of Sprint and larger look at hard facts such as subscriber numbers and revenue. IF they add a cap or add a fee and their bottom line or subcriber numbers barely change they assume things are good and they continue on.
If there was a mass exodus of let's say 20-30% after such a policy change Dan would notice and would make a change. If 2-3% leaves his underlings will mark it up as churn and it will not be noticed.
There was a time when there was massive backlash with consumers cancelling cable-tv subscriptions with a higher (than expected rate increase).. I can't remember exactly which year... but it's safe to say it was somewhere between 1997-2003. Since then, they've only bumped service price increases in the 1-4% range, but jacked up rental and surcharge fees & increased cost for unbundled service (which made satellite cable-tv competitive, until recently).
The wireless carriers will reach a tipping point with wireless data that will trim the earnings. Maybe $10-$20 per GB isn't there yet.. but watch AT&T / Verizon duopoly go to work on raising prices when sprint caves to usage based billing & see what happens. What's left? Metro PCS, Tmobile? For 35% of the country they don't have adequate infrastructure... Same can be said about Sprint. These companies have long neglected to build a true NATIONAL footprint outside major metro areas due to cost issues. Essentially, most of the towers are there and NOT owned by the major carriers, they just have to "RENT" space on them.. This is a crossroads for these carriers to go "BIG" or go bankrupt. Higher prices put major risk in smaller capitalized companies such as Tmobile, and Metro PCS. The problem with sprint is they WASTED so much money on Nextel, MVNOs and WIMAX that they have very little money left to build a network (some of the top level management should've been FIRED for rubber stamping these UNWISE SPENDING decisions). |
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