Wireless Plans & Pricing

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I'm a Senior Advisor
Posts: 1,998

Re: Wireless Plans & Pricing

Actually, I have found that in our obtaining data recently for one phone, that we received many a warning about taking care on our use of data and turning it off, and some of them were also encouraging us to seriously consider higher data plans (at least 2 GB), and asking if we really understood how much a smart phone could be data heavy.

 

Fortunately, for us, we understand all of these issues, and really appreciated the warnings (although at times it also felt like upselling as we made it very clear that we knew how to manage data on a smart phone).

 

We have had the plan at 500 MB for two months now, and first month rolled in at mid 40's - we were careful that month because we couldn't see data usage due to mid month change in plan - , and second months at around 85, so I think we have a pretty good handle at it (or actually my wife does, I don't have data, period).  

 

But there is definitely a lot of study on the internet and care that is needed in getting all the settings on your device and being concious turning off. We also use the warning features and cut off features on the phone settings as we don't have data management online with a non-share plan.

 

But it is definitely a good warning you have provided to us all  @foodtech46

 

Thanks, Bruce

I'm a Trusted Contributor
Posts: 389

Re: Wireless Plans & Pricing

@BS  The part that I found astounding was the $1.50/GB overage penalty for Internet data compared to the $15.00/GB overage penalty for the wireless data.  That's a 10:1 ratio of costs.  Plus they give me a buffer of 600MB when I go over my 25GB internet data limit.  No such luck with the wireless data. It looks like 1MB over my 2GB and it's zap! $15.00!  

Any insights on why the difference in penalties, beside the obvious greed factor?

 

I'm a Senior Advisor
Posts: 1,998

Re: Wireless Plans & Pricing

Only explanation to me is "greed factor", or possibly to encourage us to more expensive plans that in the long run we will pay more for our plan per month than the occasional overage.  Don't know what the difference in the provisional costs of a GB data on Internet at home, versus wireless may be. Some would suggest that the cost of tower installation and maintenance is large - I don't have the information or data to figure it out, but I have absolutely know doubt with the knowledge I obtained from being trained in statistics, economics, business management, accounting and actuarial math, that somebody is sitting at a computer terminal on a regular basis, looking at our usage patterns for all of our service usage patterns, the costs for providing them, the risks of losing customers, or offending some so much that they decide to take it to a public forum for change, and I am sure they way in the number of complaints (as these cost money in time and lost customers too), and at the end of the day, they set prices to return a consistent return to investors and maximize bonuses for senior corporate staff.

 

And when the numbers show they have pushed it too far, they make adjustments.

 

Plus there is the reality that they will tell their shareholders that they have encouraged us to move to high level share everything plans, their sales are falling on new top end phones, as it is occurring in the whole industry, that alternatives are slowing coming into place, demands for more over the top solutions outside of tv provider companies, the huge hit they must have taken first on Navigatr rollout, continued loss of Cable customers and home phone users, and next was the failure to roll out IPTV on the Nextbox platform, the continued upgrades necessary across the network for beta after beta on modems to prepare for a stable GB network and Comcast IPTV, whining about CRTC saying that all companies could not gouge the wholesale providers of services by charging more than they do their own customers, increasing wholesale providers, and CRTC capping data overage costs on wireless.  

 

My Internet overage on my new plan is $3/GB, max $200.00, so do that a couple of times, you could be easily convinced that ,"hey, you can avoid the risk of those overages, by upgrading say from my 75GB plan with 500 overage (used to be 200max on 60), for 15.00 more I can move to 150 down - don't know what I would do with it, I average about 40 per month, but with my genealogy work, I sometimes about twice per year approach the limit of 200 and the speed is not going to reduce the time because 75% of the time is processing, decompressing data bundles, validating, and it is all in background, so doesn't matter), and 15 up (that would be somewhat helpful because I do upload data often, but again, it is processing time on the server database end, and my end that leads to length of time, not the actual data quantity).

 

So say I go over once or twice per year, even to the max 200.00, it would be 400.00 - to go up one level to unlimited would be 15.00 per month x 12 = $300.00 per year, so it would be worth it, but reality is it may be 60 tops per year, so I would now being paying $300.00 per year to avoid 60.00  kind of an insurance policy that is not worth it.

 

So bottom line out of that whole description - to understand it, it is like asking why your insurance on your home or car went up - it is an complex actuarial calculation that uses a lot of factors to calculate, the first being, desired return to investors, then bottom line, then predicted loss of customers or harm to brand, actual costs of provision, plus built in factors to deal with past factors like CRTC decisions, and any known to be coming.

 

Bottom line, is it is the "bottom line", based upon maximized return to shareholders and commissions for CEO's first, then it defines the practices that roll down both to us, plus also the work environment of the staff.

 

Interesting intellectual debate that I haven't played with in a long time, but how do we control it, we decide what we are willing to pay, we manage what we have, negotiate changes when we need to (up or down in our desires and how much cash flow we have), and if enough people doing the same, they factor the change into their next set of price points and product provision.

 

There is a reason I never took my education and work for profit oriented service provision services - actuarial sciences is most prominently used in the business of banks, finance, insurance, telecom, auto industry and is the core tool for risk analysis around business decisions and profit/cost balance.

 

That is why I worked in education and health care instead - same issue there - we still had to balance the budget, but our core measure was treatment/educational successes within our budget framework.  I am not sure how high customer services measures fit into the equation that the bean counters use.

 

Ahh, fun intellectual discussion, but you have demonstrated that you sure use the tools and knowledge available to you to avoid the overages.  And I and I am sure others appreciate the knowledge of how you do that.

 

Bruce 

I'm a Trusted Contributor
Posts: 389

Re: Wireless Plans & Pricing

@BS  The bean counters obviously use human behaviour models for those who are risk adverse.  As you say, people who pay $300.00 per year in order to avoid 60.00 does not make sense.  So I'll stick with my 25GB internet data package ($33/mo) and pay the 1.50/GB overage fee rather than step up to the 250GB plan ($70/mo).  I'd have to reach 49.6GB each month to equal the $70.00.  

 

Just another note on this strategy. My wife has given me her iPad to update the apps. I was surprised to see one update (Vocre Translate) for 11,100 MB. (11 GB). That is going to take a big bite out of your internet data. You must ensure you set up your iPad or mobile device so you can't download updates  over the cellular network if not unlimited.  Imagine the cost if I went over my 2GB cellular data allocation!  9 GB * $15.00/GB = $135.00!!

 Go for a $2.50 cup of coffee at Tim Horton's. It will be cheaper. Smiley Wink

 

 

I Plan to Stick Around
Posts: 12

Re: Wireless Plans & Pricing

I don't mind paying for the Internet service I receive. I have a 100u plan and I like the speed. So far this month I have downloaded close to 160GB because I upgraded a number of Linux PCs and also downloaded some ISOs to install Linux for other folks.

Toss in a bit of streaming and it adds up. But in my view I get what I pay for. I also like the Hitron CGNM-3552 rocket modem which has turned out to be an excellent gateway.

I'm a Trusted Contributor
Posts: 389

Re: Wireless Plans & Pricing


User14 wrote:

@BS  The bean counters obviously use human behaviour models for those who are risk adverse.  As you say, people who pay $300.00 per year in order to avoid 60.00 does not make sense.  So I'll stick with my 25GB internet data package ($33/mo) and pay the 1.50/GB overage fee rather than step up to the 250GB plan ($70/mo).  I'd have to reach 49.6GB each month to equal the $70.00.  

 

Just another note on this strategy. My wife has given me her iPad to update the apps. I was surprised to see one update (Vocre Translate) for 11,100 MB. (11 GB). That is going to take a big bite out of your internet data. You must ensure you set up your iPad or mobile device so you can't download updates  over the cellular network if not unlimited.  Imagine the cost if I went over my 2GB cellular data allocation!  9 GB * $15.00/GB = $135.00!!

 Go for a $2.50 cup of coffee at Tim Horton's. It will be cheaper. Smiley Wink

 


Sorry... the UPDATE for the application mentioned above was only 11,100 KB. My mistake!

But there were still 13 apps to update in the last 6 months for a total of 1,003 MB. The principle of checking the size of any OS or app before pressing update still applies, especially when you are near the end of the data allocation cycle.   

I'm a Senior Advisor
Posts: 1,998

Re: Wireless Plans & Pricing

@User14  Keep educating us on what you learn.  If we are educated on the game, then we can play to consume in our best interests.

 

Bruce

 

And @foodtech46  I agree, I love my Internet and services, that I consume, the key word being that I consume.

 

We have little choice over our insurance rates on a car as they are required by law and regulation, our mortgages require it on our homes, but when it comes to these services, we do have choices, just have to be fully aware of how to use them to our advantage.

 

Bruce

I've Been Around
Posts: 1

Re: Wireless Plans & Pricing

Wireless plans pricing structure

 

I was browsing through the plans available to me as an existing customer. To say that I'm confused is putting it mildly.

 

The only differences in the plans below are the amount of data and the Spotify offer. What is the logic behind this? And there's a dozen like this, with prices all over the place. I can also get 10GB of data for 90$, 85$, 100$ or 110$. 

 

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I'm a Senior Advisor
Posts: 1,998

Re: Wireless Plans & Pricing

A quick note, I see phone numbers in there - next time you post, leave the phone numbers out for privacy .

 

I too have seen things like this, and they can be there one day and gone the next as promotions change.

 

My practice has been to take what I see on the screen, and then call in (you can chat, do communityhelps here, facebook messenger, twitter), and then have a discussion of exactly what do you want in your mix of services (there are often different options than you see on screen available to you.

 

The screens have become better at providing specific models for existing customers, but they are still packaged with assumptions of what we want, rather than a discussion of your needs, and some of it (as you have seen can be kind of inconsistent and seem to have little logic in the mix and pricing).

Use the information to guide what do you wish to pay, what data, cell phoning, and text options do you want. And if you are not fully happy with what is offered to you, ask for a discussion with customer relations staff, often called retentions, this time I know them as customer service concierge. 

 

But you are absolutely correct, the online suggestions that come up can be quite confusing at times.  Also keep in mind that no tab is no subsidy on a new phone, smart tab is for middle range phone replacement, and premium is for higher priced phone subsidies.  If you note the price on the no tab 6GB, versus Smart Tab 6BG - the first is lower because you aren't paying for a phone and the other is based upon a phone purchase.

 

But you are right, it is very confusing when you first look at it.

 

Good luck in finding the best mix for you.

 

Bruce

I'm a Trusted Contributor
Posts: 389

Re: Wireless Plans & Pricing


Boopy wrote:

Wireless plans pricing structure

 

I was browsing through the plans available to me as an existing customer. To say that I'm confused is putting it mildly.

 

The only differences in the plans below are the amount of data and the Spotify offer. What is the logic behind this? 

 


If you are an existing customer, I would first look seriously at the amount of usage you had in the past for your wireless and internet. I think the logic behind all these plans is that most people don't know how much data they use and they over estimate which is a waste of your money.    

I seem to be able to get away with 2Gig/mo of shared data for 2 phones and 2 ipads. I am still paying for one of the phones in the share everything plan.  And if I go over my cell data it is $15/Gig!  I only have 25Gig/mo on my internet 5 plan but if I go over the internet data it is only $1.50/Gig.   The speed is terrible on this plan so when they say "up to 5 mbps" it really means 2.5mbps to about 5.5 mbps.  They don't tell you the speeds so make sure you ask about that but after you have figured out what you used in terms of text, talk, cell data and internet data.  Pick a lower cost plan based on your analysis as you can always upgrade.

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