Why boxing day promotions not given to existing customers?

[KM123]

This policy of valuing new customers over existing loyal customers is flawed at the core. Marketing 101 says it is cheaper to keep existing customers than to replace with new customers. If Freedom already has these same promotions open to new and their existing customers, why is Public Mobile practising a restrictive and discriminatory business practice? Is the within the ground for submitting a CRTC / CCTS complaint? If so, then everyone should. At the end it would only make Public Mobile a more competitive and sustainable company.

[KM123]

Before we start making excuses for Telus, read their financial reports and financial updates:

1) Revenue grew in their latest (Q3) financial reports, they however lost profitability due on Employee and Management Salaries/Benefits expense (+20%) = they want you to pay for this

2) They also took on a lot of debt and paying a lot of interest to acquire WillowTree ("a full-service digital product provider focused on end user experiences, such as native mobile applications and unified web interfaces") = they want you to pay for this

Source: https://www.telusinternational.com/investors/financials

3) August 4th news release - "Strong Mobility results including Mobile Phone net additions of 110,000, our best second quarter since 2010, and record second quarter Connected Device net additions of 124,000; industry-leading blended churn of 0.91 per cent and ARPU growth of 1.8 per cent"   Source: https://www.telus.com/en/about/news-and-events/media-releases/telus-reports-resilient-operational-an...

[Kristowhy]

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@anotheran wrote:

I heard that a lot of existing customers downsized their plans from more expensive to less. Add on the legacy discounts, public mobile isn't going to make as much from their existing customers. They want to acquire new but maintaining the existing avg revenue per customer. Only way public mobile changes their approach is when existing customers leave enmass

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Exactly!  It's all about balancing the right mix of ARPU to remain profitable.  The old legacy folks are a drain financially, but at the same time they brought over many new customers as well.   

The fact many people downsized is a real problem for marketing teams that are constantly tweaking promos.  It clearly illustrates that many customers are tired of high prices and have fairly modest needs.  At the same time the carriers want you paying in the $35 - $45/month range.  This is why most carriers these days are plumping up the carrot with more GB allowances per month instead of lowering the monthly fee.

[Jonavin]

This is the new reality for Public Mobile unfortunately.

[anotheran]

I heard that a lot of existing customers downsized their plans from more expensive to less. Add on the legacy discounts, public mobile isn't going to make as much from their existing customers. They want to acquire new but maintaining the existing avg revenue per customer. Only way public mobile changes their approach is when existing customers leave enmass

[KM123]

BTW: I see existing customers posting on social media (you know the sites) that they are getting the promotion as "an exception" even as recent as this morning. The common theme; keep asking CS_Agent.

[KM123]

It's a flawed practice and one that I only see possible via the veil of the internet where faceless people can act in such a way. Imagine if this was tried before when sellers and buyers met face to face... This is a recurring fee model not a 1-time buy - your new customers instantly become your existing customers. You've instantly created a multi-class structure within your existing customer base. How is that not discrimination?

[softech]

HI @KM123 

there is no discrimination of any kind.  It is just a business decision and a common practice in this industry.  If you check around, there are so many plans advertising now and clearly state for new activation only.  PM is not the only one with valid marketing promos for attracting new subscriptions.  

[HALIMACS]

Not a worthy pursuit with CCTS @KM123 

Offering carrots to new customers is a long practised industry norm. They figure existing customers are less likely to move if things stay the same but new customers are likely to come if they dangle carrots.

[Handy1]

@KM123  Agreed seems cruel but not unusual. Why I had to create a new account with new email to get the sweet plan