Realistic prepay data pricing?

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#97215 27-Nov-2007 19:27

Remember that mobile data at the moment will naturally be more expensive than current fixed line options. Its more intended as data on the move, rather than a fixed line competitor (although prices are getting better and the 1GB plan compared to other operators overseas, is quite impressive).

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#97218 27-Nov-2007 19:31

But you cannot get reasonable rates on prepay unfortunately which is the crux of the matter.

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#97220 27-Nov-2007 19:44

cokemaster: Remember that mobile data at the moment will naturally be more expensive than current fixed line options. Its more intended as data on the move, rather than a fixed line competitor (although prices are getting better and the 1GB plan compared to other operators overseas, is quite impressive).

I believe our mobile data pricing is very reasonable, even by international standards, if you're looking at the 1GB+ plans.

The real issue is that there is a huge untapped market for prepaid casual use data that both operators haven't seemed interested in catering for. The great thing about mobile data is that you can be mobile - this means the market for people who may go away for a weekend every so often but want mobile data. Because of this erratic usage they don't want to commit to a monthly plan.

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#97264 27-Nov-2007 22:23

I'd love reasonable (read - cheap enough to use) prepay data. I've seen a few posts stating about how good the data rates are - $69.95 for 3Gig, $10 more and you get another 3 Gig (on a 24 month plan). I'll admit, that's pretty good, even by international standards.

This is why, it's so hard to understand how the same company that will give 6GB for $79.95, wants (assuming 1MB = $10, 1024MB = 1GB), $61,440.00 for the same amount of data on prepay as they will give someone on contract for $79.95.

Charging more than the average car for something that they can sell for under $80 does not come across as reasonable to me.

Anyone care to explain the huge difference in cost (or point out where my calculation is wrong, it seems it must be to me)?

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#97294 28-Nov-2007 08:06

dolsen: I'd love reasonable (read - cheap enough to use) prepay data. I've seen a few posts stating about how good the data rates are - $69.95 for 3Gig, $10 more and you get another 3 Gig (on a 24 month plan). I'll admit, that's pretty good, even by international standards.

This is why, it's so hard to understand how the same company that will give 6GB for $79.95, wants (assuming 1MB = $10, 1024MB = 1GB), $61,440.00 for the same amount of data on prepay as they will give someone on contract for $79.95.

Exactly. I'd love to be able to check my mail while on the go and perhaps google an idea or two as it hits me, but all of this is very light usage. Because by far my primary usage is going to be from a fixed line connection at home/work. So no matter how "reasonable" the 6gig might be, it doesn't really matter. Because almost all of that I wouldn't be using, and spending $80 a month on that would instead be a huge waste.

dolsen: Charging more than the average car for something that they can sell for under $80 does not come across as reasonable to me.

When you look at it that way it sounds like something the commerce commission should be involved with.... and the consumers institute etc...

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#97323 28-Nov-2007 12:01

Onebill for the phone, then one of the data plans on your mobile may be the way.

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#97328 28-Nov-2007 12:19

dman:
dolsen: I'd love reasonable (read - cheap enough to use) prepay data. I've seen a few posts stating about how good the data rates are - $69.95 for 3Gig, $10 more and you get another 3 Gig (on a 24 month plan). I'll admit, that's pretty good, even by international standards.

This is why, it's so hard to understand how the same company that will give 6GB for $79.95, wants (assuming 1MB = $10, 1024MB = 1GB), $61,440.00 for the same amount of data on prepay as they will give someone on contract for $79.95.
Exactly. I'd love to be able to check my mail while on the go and perhaps google an idea or two as it hits me, but all of this is very light usage. Because by far my primary usage is going to be from a fixed line connection at home/work. So no matter how "reasonable" the 6gig might be, it doesn't really matter. Because almost all of that I wouldn't be using, and spending $80 a month on that would instead be a huge waste.

dolsen: Charging more than the average car for something that they can sell for under $80 does not come across as reasonable to me.
When you look at it that way it sounds like something the commerce commission should be involved with.... and the consumers institute etc...

lol 64k.Thats probably most of people's income

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#97510 29-Nov-2007 12:27

They've put the prices up!

I thought I'd check out the prices on the new, redesigned Vodafone website. The only pricing I could see was at this address

http://www.vodafone.co.nz/mobile-data/mobile-internet.jsp

The casual data rate is now $11.25 per megabyte (inc GST).

There is a note at the bottom of the price table that states "All prices include GST and are subject to change at any time without notice."

It used to be 10c per 10KB, ie, 1c per KB.
1024x1c = $10.24 per MB.

Aparantly, the price they used to charge was not enough (for what exactly?)

Using the new pricing structure, the 6GB you can get for $79.95 will now cost you (6*1024*11.25) which is...
$69,120.00

OUCH!

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#97527 29-Nov-2007 14:00

Hey Dolsen - that $69,120 meal is 'To Go' - imagine what VFNZ would charge to 'eat in'

ouch!!

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#97528 29-Nov-2007 14:09

Yeah, while this http://tvnz.co.nz/view/page/497100/1465960 still happens, Its not such a big deal, but it shows how major the problem is with their charging.

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#97530 29-Nov-2007 14:22

dolsen: ...The casual data rate is now $11.25 per megabyte (inc GST).

The casual data plan was never include GST. the "new" price is merely the price that everyone is expecting to pay WHEN IT IS INCLUDED GST.

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#97538 29-Nov-2007 15:11

chiefie:
dolsen: ...The casual data rate is now $11.25 per megabyte (inc GST).

The casual data plan was never include GST. the "new" price is merely the price that everyone is expecting to pay WHEN IT IS INCLUDED GST.

You'd think that, given the previous cost being ~$10. 11.25 is, of course, $10 + the GST amount on $10, however, there was no mention of 10c/10KB + GST on their site. It was always 10c/10KB. Closest page I can find currently is http://www.vodafone.co.nz/personal/vodafone-live/mobile-fun-downloads/wap.jsp which is data over GPRS. This page still says 10c/10KB, and, there is no mention of GST.

They would have a issue with the commerce commision if they were charging GST on this, but, not disclosing it...
http://www.comcom.govt.nz/FairTrading/TradePracticesCoveredbytheFairTradingAct/falseormisleadingpricing.aspx

I had a quick look at the website terms and conditions, and, there is no "all prices on the website exclude gst" text, not that that would be acceptable judging by the rulings from the last site...

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#98023 3-Dec-2007 13:45

It's price gorging, I hit clients tricked by this all the time.

If you ate a apple from the store every day and paid $1, and then one day they decided to charge you $204.80c because you ate it before you paid at the till, you too would be up in arms.

This is exactly what Vodafone are doing.

It's $50/GB pre purchased, $10,240/GB post purchased (purchased after used)

The service doesn't cost more to deliver 'as you go' so the rest is just profit, and to have a mark up of this amount simply means they are price gorging.

That and Vodafone's Siebel's billing system is still having massive problems, every month for 4 months I have spend between 1 and 4 hours on the phone sorting out billing issues.

The latest is my $50/GB plan disapeared. I used ~200MB last month (but have a 1GB plan for fear of them price gorging me over my limit) and it simply disapeared off my account last month and my bill was $987 for under 200MB of traffic.

The month before that they charged me a extra $37 for staying under my limit but changing the name of my account someone meant I got a excess data bill. That took 3.5 hours to solve. They gave me a credit after talking to 3 reps and writing to them, but then screwed THAT up and credited me twice.

Not to matter because my next bill turned out to be massively wrong as well, and they put me on the wrong plan which means I have been paying over $1,000 in voice calls every month.

But thats a topic by itself, which I might document.

Sorry if this is a tad offtopic, but Vodafone are draining my soul, one incorrect bill and 4 hour conversation at a time.

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#98044 3-Dec-2007 15:35

If you ate a apple from the store every day and paid $1, and then one day they decided to charge you $204.80c because you ate it before you paid at the till, you too would be up in arms.

Taking that a step further, I seem to recall a photo from a store which stated that if condoms were used before purchase, they'd be considered as theft.

That aside, while I don't particularly agree with the extreme (what else can it be) difference in pricing between casual and postpaid options - there is a legitmate purpose when considering differences postpaid vs prepaid.

As you are probably aware - Postpaid customers have a tendecy of contributing money on a monthly basis and typically have a higher company loyality. Compared to many high-use prepaid users spend as little as possible on a irregular basis, or when they do - they have been known to only use it during peak time, making that 'call' recently more expensive resource wise (if extra capacity is required just for that period but sits idle/unused othertimes, draining resources that could be spent elsewhere) compared to someone who uses the service on a regular basis (who'd be contributing $ and using it more often).

Many postpaid users also have committed to term contracts as well, which is indicative of their committment to spend money with providers on a regular basis (providers often provide subsidies, discounted access or increased usage as well).

But again - it is an excessively high amount compared to the potential rates while on post paid.

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#98050 3-Dec-2007 16:16

cokemaster:
If you ate a apple from the store every day and paid $1, and then one day they decided to charge you $204.80c because you ate it before you paid at the till, you too would be up in arms.

Taking that a step further, I seem to recall a photo from a store which stated that if condoms were used before purchase, they'd be considered as theft.

Those are both the wrong way around.

Its as if you had to pay the store a huge amount upfront which would then allow you to take the apple anytime over the next year, vs them trusting you enough to pay for all the apples you ate in that month at the end of the month.

When you top up your prepay you dont even become an unsecured creditor, you are just giving them money in the hope that they are still there when it comes time to use the services. If anything prepay should get a better deal since its no risk to vodafone and all risk to the customer.

Richard rich.ms

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