 JPCass join:2001-01-23 Denver, CO | reply to deltat2000
Re: To deakonblues2k........ROI in 3 months said by deltat2000: Gee didn't I hear somewhere that all you isp's were just losing tons of money to provision us......that you all didn't make a dime for at least 3 years?
I haven't seen an answer to that yet...I believe it's that the expensive and difficult part of the provisioning is already done in the case of the established customers they're buying. The customer line and router are in place, etc. It was providing the expensive install and router for free, or nearly free, that was pushing out returns on investment way into the future.
To hit a topic in a subsequent post...Does a company that builds a customer base like this really need to grow, other than by continuing to buy customers from other operations at an attractive price? Maybe one piece of that is that with the low-price players and market quickly evaporating, they can add new customers at a price that will allow them to recover their provisioning and install costs quickly enough for it to be viable, especially if they have a good reputation for which they can charge a premium. |