GST letter from Telecom :-)

Forums › Spark New Zealand (including Skinny and BigPipe) › GST letter from Telecom :-)

Lurch

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#67497 2-Sep-2010 19:16

Well got my letter stating that our internet will be increasing in price because of the GST increase. So will be paying an extra $3 a month. However it'll be done in two stages, to ease us into the idea I guess.

Anyway will be interesting to see if other ISP's have done the same with GST.

NonprayingMantis

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#375978 2-Sep-2010 20:58

I'd be very surprised if they don't. Most isps make so little profit (or none) that they will not be able to afford to simply absorb the gst increase.

raytaylor

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#375986 2-Sep-2010 21:31

Slingshot staff have said in their forums that there wont be any price changes for gst.
Hard to make rounded prices stay the same like the topup blocks $50 for 50gb change to $51.11

Ray Taylor

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mikerussellnz

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#376008 2-Sep-2010 22:14

Telstraclear Cable launching new plans October 1.

For me I get an extra 10gb for $14 LESS! Not something you see everyday :-)

http://www.telstraclear.co.nz/residential/inhome/internet/cable-broadband/plans.cfm

Lurch

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#376213 3-Sep-2010 12:10

$3 really, I'm sure they can asorb that. Anyway just waiting for the contract to run out. Another 3 months
:( So I can save myself $25 a month with another ISP.

Will be nice to be under the $100 a month again :)

NonprayingMantis

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#376229 3-Sep-2010 13:10

mikerussellnz: Telstraclear Cable launching new plans October 1.

For me I get an extra 10gb for $14 LESS! Not something you see everyday :-)

http://www.telstraclear.co.nz/residential/inhome/internet/cable-broadband/plans.cfm

what were the plans before?

steve98

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#376247 3-Sep-2010 13:56

My wife received a text from Telecom stating prepaid rates would not be going up, so it seems that Telecom are absorbing the increase on some products but not all. I don't expect any companies to carry the cost, why should they. I won't be impressed if any businesses use it to put their rates up further than the GST increases.

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bazzer

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#376304 3-Sep-2010 15:55

To be fair, companies put their prices up "all the time". It doesn't necessarily make sense to increase the price by 2.22%, so I'd expect some sensible rounding to be introduced which may or may not mean prices increase by more than the GST increase. Like raytaylor said, $50 -> $51.11 is a silly price point. I don't know if $51/$52 is much better, but $55 seems a bit steep. Maybe they've held off an increase for a while, so $55 might still be good value.

mikerussellnz

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#376311 3-Sep-2010 16:07

NonprayingMantis:
mikerussellnz: Telstraclear Cable launching new plans October 1.

For me I get an extra 10gb for $14 LESS! Not something you see everyday :-)

http://www.telstraclear.co.nz/residential/inhome/internet/cable-broadband/plans.cfm

what were the plans before?

The two I can remember were 50gb for $109.95 and 20gb for $79.95.

NonprayingMantis

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#376320 3-Sep-2010 16:24

bazzer: To be fair, companies put their prices up "all the time". It doesn't necessarily make sense to increase the price by 2.22%, so I'd expect some sensible rounding to be introduced which may or may not mean prices increase by more than the GST increase. Like raytaylor said, $50 -> $51.11 is a silly price point. I don't know if $51/$52 is much better, but $55 seems a bit steep. Maybe they've held off an increase for a while, so $55 might still be good value.

I imagine you’ll probably see a few changes designed to keep the plans at sensible price points and still pass through the GST.

e.g. if the price is currently $50 for 20GB, they might change it to $55 for 25GB or something like that.

rscole86

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#376323 3-Sep-2010 16:36

NonprayingMantis:
mikerussellnz: Telstraclear Cable launching new plans October 1.

For me I get an extra 10gb for $14 LESS! Not something you see everyday :-)

http://www.telstraclear.co.nz/residential/inhome/internet/cable-broadband/plans.cfm

what were the plans before?

Cached result.