Why does Vodafone write-off carry over minutes and data when you switch to a better plan?

Forums › One New Zealand (including Vodafone, WxC, Farmside) › Why does Vodafone write-off carry over minutes and data when you switch to a better plan?

1 | 2 | 3 | 4 | 5

3885 posts

Uber Geek

#1931657 7-Jan-2018 10:54

In my case the fixed term still had more than a year to run. If I had changed plans, I would have been paying more money. As well as still stuck with the fixed term.

Also "better" is a subjective term. If someone was on the old plan solely for the free weekend calling. They won't like getting advertising or spam for something that to them is a worse plan.

My understanding is that Vodafone maintains a list of customers who have opted out of marketing messages. Simple way would be to only send the new plan offers to those who haven't opted out. Then if someone complains about receiving or not receiving the offer. Vodafone can then say -You are / are not on the list to receive marketing offers and new plan offers. Do you want me to add / remove you from the list?

frednz

1467 posts

Uber Geek
Inactive user

#1931818 7-Jan-2018 20:00

After reading through this thread, it seems advisable to use up all your allocated data and minutes each month.

This is because the whole “carry-over” system seems to be heavily weighted in favour of the Telcos who, in many circumstances, seem to be very willing to write off your unused carry over data and minutes. For example:

If a new “improved” plan is offered to customers, the Telco can make it a condition of moving to the new plan that all unused data and minutes accumulated under the old plan are written off (as Vodafone has done as discussed in this thread).

If you don’t have enough credit, your plan will go on hold until you top up and any unused minutes and data will be lost. This applies even if your top up was made just 1 day late.

If you haven’t used the carry over data and minutes that were accumulated more than 360 days ago, they are written off because they only last for up to 360 days.

If you switch your account from one Telco to another, your carry over data and minutes will be written off.

So, from the perspective of the Telcos, the “carry-over” system seems to be designed mainly as a means of encouraging users to top-up regularly and promptly and to discourage them from shifting to another Telco!

RunningMan

8954 posts

Uber Geek

#1931821 7-Jan-2018 20:10

frednz: [snip]So, from the perspective of the Telcos, the “carry-over” system seems to be designed mainly as a means of encouraging users to top-up regularly and promptly and to discourage them from shifting to another Telco!

Ahh, yep. That's pretty much a fundamental thing about running any business - keeping your customers, and getting them to buy from you as often as possible. It's nothing new or untoward.

frednz

1467 posts

Uber Geek
Inactive user

#1931955 8-Jan-2018 09:27

RunningMan:

frednz: [snip]So, from the perspective of the Telcos, the “carry-over” system seems to be designed mainly as a means of encouraging users to top-up regularly and promptly and to discourage them from shifting to another Telco!

Ahh, yep. That's pretty much a fundamental thing about running any business - keeping your customers, and getting them to buy from you as often as possible. It's nothing new or untoward.

It may not be a new business practice, but it’s the way in which it’s done by the Telcos. The carry-overs seem to be used as a marketing tool instead of providing customers with a reliable base of emergency minutes and data that can’t be written off at a moment’s notice!

For example, every month people receive a text that says something like:

“Your plan is due to renew tomorrow for $19 so top up now so you have credit to renew your plan and you don’t lose your carry over”.

So, even people who can’t afford to immediately pay the $19 are pressured into paying with the statement that, if you don’t renew your plan immediately, you’ll lose your carry over. Is this really ethical business practice on the part of the Telcos?

Linux

11413 posts

Uber Geek

Trusted

Lifetime subscriber

#1931959 8-Jan-2018 09:37

@frednz Cry me a river now you are asking if it's ethical to send a reminder SMS to customers that if they don't have enough credit for the plan to renew they will lose the carryover! This is covered in the terms and conditions of the Prepay plan

Remember the share holders of the business I spoke about a few posts back they would like you to top-up as often as possible or move to on account for them would be even better

Linux

Edit: Further to this the customer knows the plan renews every 28 / 30 days so they have plenty of time to plan to have the $19 credit

Rickles

2933 posts

Uber Geek

Trusted

#1932001 8-Jan-2018 09:46

My last thoughts on this matter: If you have paid for something/service and not used that service, good business practice/ethical behaviour in my mind means you should still receive that service even if/when the customer takes up another form of agreement for supply from that same provider.

If the customer wants to "break" an existing contract that has terms for an inducement beyond normal services, then it could be argued that they lose those inducements, BUT I'd again expect a fair and reasonable supplier to want to satisfy/retain that customer and thus 'do the right thing'.

To be fair to Vodafone, I have been a customer of theirs ever since they took over Clear, and have renewed my contract for land line, mobile, and internet a few times now, and in all instances when I petitioned them to retain the discounts and add-ons that were originally inducements for new customers, they willingly came to the party, and I'm still a satisfied customer.

I guess a polite approach to the service supplier may get you want you want, regardless of the 'advertised conditions'?

RunningMan

8954 posts

Uber Geek

#1932002 8-Jan-2018 09:53

frednz:[snip]

So, even people who can’t afford to immediately pay the $19 are pressured into paying with the statement that, if you don’t renew your plan immediately, you’ll lose your carry over. Is this really ethical business practice on the part of the Telcos?

Well, if you can't afford the $19/ timeframe, then you are simply on the wrong plan. A bill payer (or whoever) should only ever commit to a plan / service / purchase that they can afford. There's a myriad of post pay, pre pay and pay as you go plans to choose from, depending on your requirements. The great majority are far better value than say a year ago, but there's going to be pros and cons with each plan. The likes of Flex prepay from Vodafone are very customisable though, and you can change it every period - I think it goes as low as $9/28 days. If a regular reoccurring payment doesn't fit the needs of the buyer, then there's pay as you go type plans also.

As for is it ethical, why not? It's just an incentive to spend more money with them by offering a discount or extras (in this case, accumulated unused minutes & data). Pretty much every retailer offers some sort of discount or loyalty scheme, from fuel discounts to Boxing Day sales, all with one purpose in mind - getting the customer to spend more.

Ultimately, you, the customer, have the power to choose. Firstly you can choose whether you want to use this particular plan that has essentially a loyalty reward attached to it, you can choose whether to use the plan, but not participate in the loyalty scheme by when you pay, and you can choose to take your custom elsewhere - there's so many choices for mobile providers, each with many options for services and payment, there's got to be one that is a good overall fit for just about anyone.

Samsung

Shop now on Samsung phones, tablets, TVs and more (affiliate link).

MrCritical

19 posts

Geek

#1968911 6-Mar-2018 14:11

Another point to consider is

1. The old plan is for 30 days, or actually 12 payments per year.

2. The new plan is for 28 days, or 13 payments per year.

Classic Vodafone - very sneaky

Linux

11413 posts

Uber Geek

Trusted

Lifetime subscriber

#1968915 6-Mar-2018 14:13

MrCritical:

Another point to consider is

1. The old plan is for 30 days, or actually 12 payments per year.

2. The new plan is for 28 days, or 13 payments per year.

Classic Vodafone - very sneaky

Actually most providers are moving to 28 days not just Vodafone

Linux

MrCritical

19 posts

Geek

#1970334 7-Mar-2018 08:15

Checked out Spark and 2 Degrees. Their new plans are still monthly. Why make such a statement, when it's patently untrue. (maybe you have some allegiance to Vodafone)

Linux

11413 posts

Uber Geek

Trusted

Lifetime subscriber

#1970351 7-Mar-2018 08:50

MrCritical:

Checked out Spark and 2 Degrees. Their new plans are still monthly. Why make such a statement, when it's patently untrue. (maybe you have some allegiance to Vodafone)

@MrCritical I am actually a 2Degrees customer and I suggest you actually get your facts correct before quoting myself

From the Spark NZ site

" Our Data Lovers Rollover Packs renew every 4 weeks (28 days) "

https://www.spark.co.nz/shop/mobile-plans/prepaid.html

Click on " Things you should know - How prepaid works "

Linux

MrCritical

19 posts

Geek

#1970361 7-Mar-2018 09:12

Try their updated T & C's - https://www.spark.co.nz/help/other/terms/personal-terms/updated-consumer-mobile-terms-and-conditions/

Linux

11413 posts

Uber Geek

Trusted

Lifetime subscriber

#1970363 7-Mar-2018 09:25

@MrCritical you linked off to the On account plans terms and conditions (Roll my eyeballs)

It's 28 days for Prepaid same as VodafoneNZ

On account is calendar month for all carriers so I suggest you do better research, Some older prepaid plans are calendar month some are 30 days but not the newer rollover plans they are 28 days, I don't know how I can make this any clearer you to

Linux

Yabanize

2350 posts

Uber Geek

#1970364 7-Mar-2018 09:25

So it basically comes down to, comparing carryover plans between providers isn't an apples to apples comparison, and it seems Vodafones implementation is the raw deal.

MikeHales

615 posts

Ultimate Geek

Trusted

#1970366 7-Mar-2018 09:30

Don't always lose when changing plans i.e. current auto upgrade from older 19 and 29 plans includes a bundle matching carry over.

1 | 2 | 3 | 4 | 5