 GrandMstrBud
join:2005-05-25 Davenport, IA
| [IA] Internet only gets penalized for not having TV service? WHY
I have had Mediacom for a good 8 years and I went to the online max and got my bill and it was around $75 bucks for just Internet service. When I called and asked they said it's because I don't have cable service so they charge me an extra $15 per month just because I don't want their cable TV service. Does anyone else think this is complete BS that they are basically penalizing you for not having more of their services? I can deal with $60 per month but $75 is pushing it. I would go with QWest but they don't have the higher speeds at my location yet. |
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  drslash Goya Asma Premium join:2002-02-18 Marion, IA | Re: [IA] Internet only gets penalized for not having TV service?
The bundled pricing has been in effect for several years. I, too, think it is BS. For the most part, it is standard practice industy/nation wide. -- Save water...drink beer! |
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 Iowa VIP
join:2006-11-17 Dubuque, IA
edit: May 1st, @02:15PM
| I can understand why you give a discount for having more then one product via the same cable line. It probably doesn't cost MediaCom much to add internet to the cable service.
You also get that discount if you just add basic cable. In some areas the basic rate is only like $18. So, with the discount you could basic for like $3. A friend of mine in central Iowa does this. He has direct-Tv but has basic cable for his three secondary TVs. He saves like $15 on his direct tv bill because he only needs one receiver. So, by adding basic cable, his direct-tv bill goes down $15 and his intenet mediacom bill goes up like $3. |
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 GrandMstrBud
join:2005-05-25 Davenport, IA
| reply to GrandMstrBud Yes it may be standard practice and it worked for me when I didn't have Directv but since Mediacom does not have NFL ticket, NFL network, or the BTN I have no use for them. If I could get online max and digital for 60 per month I'd get it just so I could get the cheaper rates. It does look like QWest is working on getting fiber to more areas here in the Quad Cities so hopefully it will be soon. I'm not concerned about the download speeds as 8 MB is plenty but now that I have a slingbox the 1 MB upload helps out a lot on that. |
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  marigolds Gainfully employed, finally Premium,MVM join:2002-05-13 Saint Louis, MO | reply to GrandMstrBud It's all because cable internet is such a poor money maker. Basically, VoIP has a huge margin, TV next, and cable internet generally loses money. The almost sole purpose of cable internet is to sell the other two services. |
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 wth Premium join:2002-02-20 Iowa City, IA
·Mediacom
| reply to GrandMstrBud said by GrandMstrBud :they said it's because I don't have cable service so they charge me an extra $15 per month just because I don't want their cable TV service. You don't get penalized, you just don't get the $15/month discount because you only carry the one service. |
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 openbox9
join:2004-01-26 Navarre, FL
·Mediacom
| said by wth :said by GrandMstrBud :they said it's because I don't have cable service so they charge me an extra $15 per month just because I don't want their cable TV service. You don't get penalized, you just don't get the $15/month discount because you only carry the one service. Bingo. Mediacom isn't penalizing, they're rewarding you for purchasing additional services. |
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 cfossy
join:2007-04-05 Ottumwa, IA
·Mediacom
·Qwest.net
| reply to GrandMstrBud This isn't just a cable thing, Qwest along with most DSL providers also do the same thing for not having other services with them. I had standalone Qwest DSL, and it was a $10 price difference, so even if you go with Qwest you will see this same things, that is, if you don't have phone with them... |
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  burner50 Pinlifter Premium,VIP join:2002-06-05 On the lead
·Mediacom
·FrontierNet Intern..
| reply to openbox9 said by openbox9 :said by wth :said by GrandMstrBud :they said it's because I don't have cable service so they charge me an extra $15 per month just because I don't want their cable TV service. You don't get penalized, you just don't get the $15/month discount because you only carry the one service. Bingo. Mediacom isn't penalizing, they're rewarding you for purchasing additional services. Not really, because there is an EXTRA charge on the bill... Last i knew there was. I'll have to see when I get my first bill in the mail... |
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 GrandMstrBud
join:2005-05-25 Davenport, IA | Yes there is an extra charge on the bill so if you just have Internet then you will see 2 charges for one service. |
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  burner50 Pinlifter Premium,VIP join:2002-06-05 On the lead | reply to GrandMstrBud so they're more like punishing you for only having internet...
If you only had tv this would not be the case. |
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 wardfan
join:2007-08-14 61245
·Mediacom
| reply to burner50 said by burner50 :Not really, because there is an EXTRA charge on the bill... Last i knew there was. I'll have to see when I get my first bill in the mail... I agree, if it shows up as an EXTRA fee then it is a PENALTY NOT a lack of reward. And it F-ing sucks. |
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 openbox9
join:2004-01-26 Navarre, FL | Ok, so it's a penalty. Subscribe to a second service if it "sucks" that badly. |
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 Iowa VIP
join:2006-11-17 Dubuque, IA
| reply to wardfan
There has to be some cost/expense advantages for MediaCom to have customers with multiple services. (one bill to mail out, only one house to service, etc...) I would also guess that a customer with multiple products is more likely to stick around longer the a customer with a single product. Since TV is MediaCom's primary business, it would makes sense to give the discount to the secondary service. It is the same reason why the 2nd phone on a cell phone plan is only a fraction of the cost of the first phone. |
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  Anonymous Premium join:2004-06-01 IA
| The extra item on the bill is "HSD BASIC" and it's a $15 fee. Some people may describe it as a penalty, others as a discount for having another service. Either way you get better rates with bundling.
It does not matter what they describe it.
Example - phone service only is $49.99, with one more service it's $39.99 and with two more services it's $29.99. They don't add additional fees they simply state the price on your bill.
I guess they should do this for HSD to so people would not complain? |
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 fiberguy My views are my own. Premium join:2005-05-20
| reply to marigolds said by marigolds :It's all because cable internet is such a poor money maker. Basically, VoIP has a huge margin, TV next, and cable internet generally loses money. The almost sole purpose of cable internet is to sell the other two services. I know this is a little late of a post to this, but have been gone for a month. However, the internet is a HUGE money maker, not a loss. It costs about $5 a month per provide the internet to the consumer in the long run. (It's why ATT Broadband wanted to get rid of @home years ago. This information was published in the news at the time)
The reason why they give you a "bundle discount" on internet when purchased with TV is because of Wall Street. There is money in numbers. Investors like to see "VIDEO" numbers, not necessarily broadband numbers. A video 1 basic customer is still a video customer to the investor. Video 1 customers count as video and compare to other competition such as DISH and DIRECT.
VoIP is about 2nd in line for profit. It's HSI, VoIP, then Video. In video, cable providers care about Basic 1, Pay Channels, Dish WinBacks, HSI and Basic phone service. When digital switched phone service was offered, it was all about the calling features too. |
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  drslash Goya Asma Premium join:2002-02-18 Marion, IA
| said by fiberguy :VoIP is about 2nd in line for profit. It's HSI, VoIP, then Video. In video, cable providers care about Basic 1, Pay Channels, Dish WinBacks, HSI and Basic phone service. When digital switched phone service was offered, it was all about the calling features too. Based on what I have read over the years in the news and financial statements, phone service has the highest profit margin, followed by TV service, followed by HSI. -- Save water...drink beer! |
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 pabster
join:2001-12-09 Waterloo, IA | reply to GrandMstrBud Either take basic cable service, or (better yet, IMHO) take the Phone deal for $19.95/12 months. You'll be paying only $5 difference but you'll get something for it instead of throwing away money NOT to use their television services. |
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 wardfan
join:2007-08-14 61245
·Mediacom
| said by pabster :Either take basic cable service, or (better yet, IMHO) take the Phone deal for $19.95/12 months. You'll be paying only $5 difference but you'll get something for it instead of throwing away money NOT to use their television services. The phone service if you only have one other service, ie. internet only, is $29.99. |
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  burner50 Pinlifter Premium,VIP join:2002-06-05 On the lead
·Mediacom
·FrontierNet Intern..
| said by wardfan :said by pabster :Either take basic cable service, or (better yet, IMHO) take the Phone deal for $19.95/12 months. You'll be paying only $5 difference but you'll get something for it instead of throwing away money NOT to use their television services. The phone service if you only have one other service, ie. internet only, is $29.99. Last I knew phone was 49.99, Bundle 1 it goes to 39.99, bundle 2 it drops to 29.99 |
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