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Inssomniak
The Glitch
Premium
join:2005-04-06
Cayuga, ON
kudos:2
reply to jcremin

Re: Different speeds for different technologies

I think you are have some trouble with that for sure, customers will be confused. I cant even comment well because my market would never bear those prices

Id figure out a way to bring everything in line, instead of 2 tiers of pricing plans, You are gonna get calls from 900mhz customers (who often dont know or care how the internet gets to their house) why they cant get 3 meg for the same price they are paying for 1.5 meg. Or they wont understand why you cant change their antenna, etc.

But thats my .01 .. Different market, different customers
--
OptionsDSL Wireless Internet
»www.optionsdsl.ca

jcremin

join:2009-12-22
Siren, WI
kudos:3
said by Inssomniak:

Id figure out a way to bring everything in line, instead of 2 tiers of pricing plans

That has been my goal for the last 5 years. I've kept things very simple and only had one set of speeds regardless of technology. Occasionally I've had to deny someone the faster plans because the capacity wasn't there, but at least the base speeds were the same. Ever since I was able to subsidize part of the equipment, I've picked a price right in the middle. I make a little money on the installation for some, lose money on the installation for others, but it was one price and easy to market.

I know you mentioned that your market wouldn't even consider my plans, but that's part of my problem too. With my bandwidth costs starting to drop, the "upgraded" speeds are probably only an incremental stepping stone and I'll most likely be bumping them up again within a year or less. I just don't want to make any moves too big before my network and backhaul is ready for it.

I'm starting to have a really hard time being competitive by limiting myself to only what my 900mhz network can handle. I need to offer faster speeds, but the 900mhz network simply can't handle much more load than it already has. I'm already having issues, and don't have much room to grow on 900mhz. I don't want to invest in or expand my 900mhz network anymore because it just isn't worth it, but as a 900mhz customer leaves, that opens the door for a new one, so I don't want to abandon it either.

So basically this is a matter of making myself competitive where I can be competitive. The faster speeds are a lot more competitive in town where I can service with 2.4 and 5.8. Even the old slower speeds are fairly decent in many of the markets where I only have 900mhz service. So I'm really selling two products to two different customer bases, but all under the same company, and the only difference in the product is the speeds.

Rock and a hard place