Spark price increases, broadband unlimited price drops, traffic management clause removed

Forums › Spark New Zealand (including Skinny and BigPipe) › Spark price increases, broadband unlimited price drops, traffic management clause removed

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coffeebaron

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#1195207 10-Dec-2014 20:47

nigelj:
coffeebaron: My understanding was the actual overall price form Chorus has gone down?? So why the increase??

Because it seems everyone was running at a loss/absorbing extra costs thinking it'd go down more and be backdated is my take.

So they are giving Chorus a bad rap for their own miss-accounting?

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eth

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#1195209 10-Dec-2014 20:48

coffeebaron: My understanding was the actual overall price form Chorus has gone down?? So why the increase??

Some of the ISPs are saying that they had already been factoring the initial IPP $10/month drop into their pricing so with the draft FPP $5/month change they are saying that they have to recoup the $5 by increasing their prices.

Whether they are to be believed or not, I don't know. I get the feeling that they are just using this chance to increase their prices and blame another company for the increase.

It's also interesting to note Chorus said recently that based off the data they supplied to the Commerce Commission they think that the final FPP decision will result in prices moving back to around $45 which is what is was for it dropped last week. Will be interesting to see the final decision next year.

nigelj

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#1195213 10-Dec-2014 20:51

coffeebaron:
nigelj:
coffeebaron: My understanding was the actual overall price form Chorus has gone down?? So why the increase??

Because it seems everyone was running at a loss/absorbing extra costs thinking it'd go down more and be backdated is my take.

So they are giving Chorus a bad rap for their own miss-accounting?

I'm an equally confused as you, but yeah it seems like basically the Telcos are trying to finger Chorus for it because they were the ones that complained that the Comcom selected a price that was too low.

rugrat

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#1195253 10-Dec-2014 21:34

What's the planned charge for naked unlimited?

It's not in the table at the start. Thanks.

Talkiet

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#1195255 10-Dec-2014 21:38

rugrat: What's the planned charge for naked unlimited?

It's not in the table at the start. Thanks.

There's no planned change for Naked unlimited. Sorry.

Cheers - N

Please note all comments are from my own brain and don't necessarily represent the position or opinions of my employer, previous employers, colleagues, friends or pets.

Jase2985

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#1195256 10-Dec-2014 21:38

rugrat: What's the planned charge for naked unlimited?

It's not in the table at the start. Thanks.

look at the entire picture, above the table is a web address that provides info on the other plans etc

Jase2985

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#1195260 10-Dec-2014 21:39

Neil

What about those on a legacy 500GB plan with home phone?

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Talkiet

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#1195262 10-Dec-2014 21:41

Jase2985: Neil

What about those on a legacy 500GB plan with home phone?

They are basically grandfathered plans and from Feb I believe won't be available for purchase. As such they (and the 150G plans) don't get a price drop.

The only difference between the 500G plan and the Unlimited plan come Feb will be

500G can have a static - Unlimited can't
500G will be more expensive
500G plan has a data cap. Unlimited, well, I'm sure you can work that out :-)
(Both plans have the same traffic shaping. NONE)

Cheers - N

Please note all comments are from my own brain and don't necessarily represent the position or opinions of my employer, previous employers, colleagues, friends or pets.

GJones

41 posts

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#1195266 10-Dec-2014 21:47

If the government said to you, we'll give you a tax cut in two years time, would you spend (or set prices) as though you already had it... hhmmm don't think so

The ComCom decision was interim pricing, not confirmed. The draft FPP pricing estimates turned up right in the midrange of where the analysts predicted. So is this a surprise? Don't think so.
Best comment I've seen is that Spark should have got a new bunch of analysts...

macuser

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#1195335 10-Dec-2014 23:11

Looking at their Facebook post about this (which is tonally very funny, kind of like 'come on guys please don't leave us we had to!) and 'Sam' is being a true hero of replying to the countless people with genuine detail.

If it was up to me though I would have just raised the prices and said 'everyone gets XYZ for free! on all spark plans' With XYZ being something of little cost to spark but a fair value to the customer, like free access to the spark hotspots or something.

matisyahu

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#1195343 10-Dec-2014 23:36

nigelj:
coffeebaron: My understanding was the actual overall price form Chorus has gone down?? So why the increase??

Because it seems everyone was running at a loss/absorbing extra costs thinking it'd go down more and be backdated is my take.

I would have thought the best thing to do would be to base pricing on the worst case scenario and then when things work out to be better than expected to then offer something like a 'once off bonus' to customers if a reduction is back dated. Hope for the best, prepare for the worst.

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NonprayingMantis

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#1195351 10-Dec-2014 23:51

kawaii:
nigelj:
coffeebaron: My understanding was the actual overall price form Chorus has gone down?? So why the increase??

Because it seems everyone was running at a loss/absorbing extra costs thinking it'd go down more and be backdated is my take.

I would have thought the best thing to do would be to base pricing on the worst case scenario and then when things work out to be better than expected to then offer something like a 'once off bonus' to customers if a reduction is back dated. Hope for the best, prepare for the worst.

That sounds like the sensible thing to do, however it isnt if other ISPs have already dropped.

When other ISPs out there has dropped their price in anticipation of the reduction, if Spark keep theirs up on the chance it will go back up, then they lose many many customers in the meantime as they all flood to slingshot or flip or whoever.
Then when pricing is finally confirmed, the others put their prices back up, spark avoid a bit of bad PR by not having to put their pricing up, but they have still lost a load of customers during the 12-18 months of uncertainty where they maintained higher pricing and slingshot etc dropped theirs.

CutCutCut

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#1196247 12-Dec-2014 13:10

So does the price go up regardless of wether you are in contract or not?

Talkiet

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#1196249 12-Dec-2014 13:14

CutCutCut: So does the price go up regardless of wether you are in contract or not?

Yes, I believe this will be the case.

Cheers - N

Please note all comments are from my own brain and don't necessarily represent the position or opinions of my employer, previous employers, colleagues, friends or pets.

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