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having a hard time with the new policy

6037

Jul 15, 2006, 6:52 PM
Hey there,

I am having a really hard time trying to explain this new upgrade policy to my customers who are not eligible to upgrade yet out of contract. It isnt always about how much money the spend either. (I had a guy with a $150 dollar rate plan with 4 additional lines 3 of which were blackberries and he wasnt eligible.)

The POS doesnt tell you why they are not elgiible...and its hard to explain to the customer why they aren't without basically saying "You guys should probably just go to another carrier"

So to all my fellow reps out there, how have you been positioning it to the customer. I want real tips, not the scripted responses that upper managment gives us.
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chainsaw

Jul 15, 2006, 7:20 PM
I say, "You are always eligible to upgrade but you are only eligible for this pricing on the phones. The retail price.
I don't know if these changes have gone into effect in my market yet. I have had no issues upgrading customers. I had a guy who just ended his first year and was eligible. I sure hope it doesn't change!
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Anxiovert

Jul 15, 2006, 8:54 PM
chainsaw said:
I say, "You are always eligible to upgrade but you are only eligible for this pricing on the phones. The retail price.
I don't know if these changes have gone into effect in my market yet. I have had no issues upgrading customers. I had a guy who just ended his first year and was eligible. I sure hope it doesn't change!


This new policy took effect 7/10/06 (my b-day ๐Ÿ˜ข ) That was cingular's b-day present to me. lol ๐Ÿ˜ข
Haven't dealt with the new policy yet? Don't worry soon you will. It will catch you by surprise ๐Ÿ˜ณ
The best way I have dealt with it is:
I give them the retial price of the phone and tell them that's the price the can get. I also tell them that it is a new pol...
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Hello Moto

Jul 15, 2006, 9:15 PM
yep. if and LV1 cust calls in, customer care is NOT to trans to customer relations. they can handle the term if the cust wants to.
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Anxiovert

Jul 15, 2006, 9:27 PM
This is one of the problems I'm having. Customer ci in my store and say customer service told him a CSR told him he was eligible for upgrade "because out of contract" then I tell them they are NOT! So, I am the bad guy. โ˜น๏ธ Like I said, this is a very strict policy and I hope it get reviwed soon.
At first I thought only a small group of customers would be affected, but it turned out to be more customers than I thought. ๐Ÿ˜•
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alabamafrog99

Jul 17, 2006, 11:33 AM
I also was told that it would only affect a few customers and that we wouldnt have to deal with it as much as other places but that doesnt seem to be the case. The other day right after it went into affect I had 4 customers in one day that was ltv1.. i didnt know what to tell them.. I just explained that that line was not elig due to revenue( as much as i hated to say that) and that they could purchase a phone at retial or go to walamrt asnd pourchase a go phone
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texaswireless

Jul 16, 2006, 10:34 PM
But it is not the retail price. They are still getting a discount. Just not a subsidy. Works wonders when you present it that way.
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Hello Moto

Jul 15, 2006, 8:21 PM
i had a guy that was high revenue and out of contract, but read the notes. if it's something like that then he is probably eon. some how he is costing the company money. they are not terming all eon, but if it's costing them or they are breaking even, then they wont' allow it... and i pretty much due what the other rep does. you don't have to explain anything. if they ask why, just say the system determines the discount. i also never say eligible.
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Anxiovert

Jul 15, 2006, 9:02 PM
There's no reason for terminating them. Most of them use the phone in network. It's just that they use it too much. I reviewed this guy's account and he was on a $39.99 plan
He used about 400 peak minutes 2000 M2M and 4000 N&W minutes.
He didn't qualify โ˜น๏ธ
Baby, he was HOT!!! >>>>> ๐Ÿ˜ก ๐Ÿ˜ก ๐Ÿ˜ก ๐Ÿ˜ก ๐Ÿ˜ก
He stormed out, probably switched to another carrier.
I am not holding my breath for Q3 churn numbers. ๐Ÿ˜•
If cingular is trying to keep the 'good' and 'profitable' customers; it's gonna take some churn to get there... Hopefully it will be reviewed.
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Hello Moto

Jul 15, 2006, 9:16 PM
that's just it. they are throwing churn out the window.............. pushing arpu and network above all else......
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Anxiovert

Jul 15, 2006, 9:22 PM
๐Ÿ˜ข ๐Ÿ˜ข ๐Ÿ˜ข
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marufio

Jul 16, 2006, 10:32 AM
What the hell is the New Policy? If a person is out of contract he can upgrade his phone no matter what right. If Cingular offers free night weekends and free M2M what does it expect people to do? There are responsible people in this world who dont have money to burn on overages.
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lilcita3

Jul 16, 2006, 12:55 PM
my thoughts exactly...but apparently we have signed a contract with an unethical company and may never be eligible to upgrade.
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sangyup81

Jul 17, 2006, 1:55 PM
how is not giving a discount to a bad customer unethical?
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disturbed1

Jul 18, 2006, 9:07 PM
How is taking the terms "Unlimited M2M" and "Unlimited N/W" at face value being a bad customer? ๐Ÿคจ
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sangyup81

Jul 17, 2006, 1:54 PM
they're probably mad that Verizon Wireless beat them in ARPU in 1Q 2006
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texaswireless

Jul 16, 2006, 10:34 PM
I own a store AND sell on the floor daily. To date we have had several customers not qualify for the subsidy upgrade. 75% still bought a phone from us and left happy.

The issue at hand is presentation. The first problem is yours. Why do you even tell them they AREN'T eligible for an upgrade? BEFORE you talk phones you ask to check and see how much of a discount for which they are eligible. Check, see and present. If they aren't eligible for the subsidy don't lead with that or you will be off on the wrong foot immediately.

Tell them they are eligible for a discount off retail price. Whose retail you say? Best Buy, Radio Shack, Circuit City are all true retailers. Shop them and see for how much THEY sell their unactivated phone...
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disturbed1

Jul 18, 2006, 9:09 PM
And for those of us whose companies attempt to discourage non-contract sales by jacking up the prices close to or over Best Buy's retail price?
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texaswireless

Jul 16, 2006, 10:37 PM
Come on folks. Most of you are really fumbling this one.

Retail is for what Radio Shack, Circuit City, Best Buy, etc. sell their phones.

Our prices are cheaper because they are a Cingular customer.

Is that not a discount?
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colione112

Jul 17, 2006, 12:24 AM
I agree with you 100% tex. If someone argues that they aren't getting a "discount" on the phone, I send them across the street to best buy and they come back excited to get the phone for the full price.
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cingularslave

Jul 17, 2006, 10:01 AM
I know the complaints and I am right there with alot of you. My lease just ended on my car and the company wouldnt give me a new lease at half price. I told them I had been with them for 6 years (in reality its only been 3 but i hear that so much i figured i would try it) I just dont understand why they wouldnt give me a 50% discount ๐Ÿ‘€
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texaswireless

Jul 17, 2006, 10:27 AM
This is going to be a bit of a re-education period for some of the customers. Gone are the days of constant subsidies. People love to say that they always used to get a new phone every two years but they forget the fact that their bill was higher 2, 4 and 6 years ago. Rates have dropped and only the reasonably profitable customers will get subsidized to stay.

The others still get a phone at cost to stay. Not a bad deal at all.
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Floyd

Jul 17, 2006, 12:34 PM
Tex,

Great post! I couldn't agree with that statement more.
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crazyeaglefan236

Jul 18, 2006, 11:46 PM
Sure...sell them a phone "at cost". VZW will be welcoming them with open arms by selling them VCAST phones cheap enough and then getting the Unlimited IN messaging and VCAST packages...still getting the ARPU and getting the customer a phone cheap...gotta love the best of both worlds. Wonder why Cingular can't do this?
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crazyeaglefan236

Jul 19, 2006, 12:10 AM
Yeah...and user "a" uses tons of Mobile to Mobile and night and weekends. Cingular refuses to give customer "a" a discount because of this. So Customer "a" switches to Verizon wireless. No big deal you say. But then customer "A" talks grandma into switching. Grandma was on a 39.99 plan but only used her phone 50 minutes a month. But grandson talks her into it so he can call her for free. Then customer "a" gets his friends to switch. These are moderate users...1000 to 2000 minutes a month (with nights and weekends and mobile to mobile) but still profitable for the company. Now Cingular has one guy they are "losing" money on that they successfully "got rid of". But he also took 5 to 6 lines with him that were profitable.


So how ...
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texaswireless

Jul 19, 2006, 12:05 PM
Again, you people keep relating this to situations in which they aren't equal.

I too sell the phone in which we make little or no money. I DON'T sell the phone to price match some online outfit just because I might get future sales.

And all you people keep assuming ALL these people are going to leave and that a phone at cost is nothing. You are not looking at reality. If they use all that MTM then it would not be too cost effective to leave. Save $100 or pay a igher price elsewhere for service over 12 or 24 months.

You guys aren't using logic, you are only using your hearts.
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sangyup81

Jul 17, 2006, 12:31 PM
6037 said:
(I had a guy with a $150 dollar rate plan with 4 additional lines 3 of which were blackberries and he wasnt eligible.)


The $150 is his revenue but it doesn't mean he is profitable. If he is costing the company close to or more than $150 to maintain his account then he is not profitable. This can be because he is roaming too much on Cingular's tab or because he is abusing mobile to mobile minutes. Some think it may be because of nights and weekends but I don't think that should affect profitability too much since it is off-peak.
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marufio

Jul 17, 2006, 1:28 PM
"Unlimited" what does this exactly mean to Cingular?
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sangyup81

Jul 17, 2006, 1:44 PM
It means that they don't charge the customer for it but it doesn't mean that Cingular gets those for free.

You can't view this upgrade policy from a customer perspective and expect to be able to understand it. Cingular has thousands of stockholders that expect profitability and this is their way of plugging in the leaks.
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marufio

Jul 17, 2006, 2:10 PM
Besides no longer being eligible for subsidies in what other ways does Cingular plan to plug the leaks(unprofitable customers)?
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dca

Jul 17, 2006, 2:21 PM
...having them migrate to VZW and let them deal with it... ๐Ÿ˜
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sangyup81

Jul 17, 2006, 2:24 PM
They've kicked out a number of customers because they were using more than 50% of their minutes off network (causing Cingular to be charged high roaming fees). I think it was in Wisconsin or something like that.

Pretty much all Cell Phone companies put a clause in their contracts saying that anyone using more than 50% of their minutes off network can be canceled at any time by the company. However, I haven't heard of this being used much until Cingular made the news not too long ago because they did this to a large number of customers.
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mobile_trojan

Jul 17, 2006, 3:35 PM
sprint does it too. i work for them.
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Icyhot

Jul 18, 2006, 12:07 PM
"Abusing M2M minutes"?? Now I've heard it all...
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6037

Jul 17, 2006, 5:06 PM
I see what your saying about presentation. I think the re-education part is where you hit the nail on the head. I just dont like the fact that I have to explain something that I have no explaination for. Our POS doesnt tell us the exact reasoning for the LTV score, just that they arent elgible.

So when your average customer, who is used to completing their contract and getting a discounted phone, comes in and sees that they cannot do that anymore...the first question they are going to ask is "why not?" That is a question I cant answer.

The question is, does cingular WANT these customers to stay? Because if they dont why even try to rationalize it with the customer? They will just leave to another carrier.
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asiatic1982

Jul 17, 2006, 8:43 PM
the answer is.... NO!!!! Cingular doesnt want these customers to stay... these are customers that Cingular is more than likely losing money on, and so they feel it makes business sense to cut them loose instead of losing money on them.
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marufio

Jul 17, 2006, 10:00 PM
Does Verizon and Tmob offer subsidies still or not? Because you keep saying that they go to another carrier.
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texaswireless

Jul 18, 2006, 12:18 AM
They just don't want to incentive them to stay with subsidies. Yes they want them but they aren't willing to lose money to keep a customer on which they aren't making any to begin with.
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VzwRsR

Jul 18, 2006, 8:51 AM
Kudos to cingular, great policy. And please when they flip out and say their leaveing you tell them that Verizon Wireless offers unlimited IN and N&W Minutes. I welcome your non-profitable customers to VZW with open arm's and can't wait to introduce them to Unlim In txt/pix, Mobile web, v-cast and other features.
I hope they keep this policy and to answe one of the questions above yes we still subsidise the customers lines every two years regardless of their individual profitablity. Sounds like Cingy could use the money their investing in determining their problem customer in other ways. Hello Churn
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sangyup81

Jul 18, 2006, 10:42 AM
VZW beat Cingular in ARPU last quarter for the first time in a long time. This is sure to change that. ๐Ÿคค
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marufio

Jul 18, 2006, 11:57 AM
Looks like Cingular is looking to cut costs and seeing subsidies as one of them, this reminds me of cutting money losses in order to save the company. Most companies will eat certain losses in order to keep customers happy and to get more business.
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tadams

Jul 18, 2006, 12:21 PM
I have a big problem with this policy. I see the point... it is super clear. Do I see other carriers doing this or anything close to it??? It is Cingulars way of leveling out loss due to the whole merger is the way that I see it and I don't see anything come close to make me change my mind. There are a few new things going on at Cingular lately and I know that if I was shopping around Cingular would NOT be my choice, and that makes it hard for me to sell. I do not think that "Rollover" and "Fewest dropped calls" can take them as far as they think it will. Like I have said, I see the point but sometimes there just have to be other ways and if there is not it is their own fault.
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lefteyeiu2006

Jul 18, 2006, 2:55 PM
I say fire Stan Sigman and rebrand Cingular to the NEW at&t (and of course, call it at&t wirless...yay!!!) asap and revamp the carrier or they could end up like T-Mobile....fighting to survive.

I also say: if one must have a cell phone, prepaid is the way to go. No contracts, no BS policies, just stright forward wireless service.
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disturbed1

Jul 18, 2006, 9:15 PM
AMEN!
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kerwin7777

Jul 18, 2006, 5:43 PM
FYI Just so everyone knows that this kind of policy is hitting more national cell companies than you might think. So maybe all national companies are trying to get ride of the non-profitable customers and trying to treat the profitable customers better. As a Rep I would like profitable customers not NON-PROFITABLE. ๐Ÿ˜‰
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VzwRsR

Jul 18, 2006, 10:11 PM
You would assume your confuseing profitable for the company and profitable for your pocket. Possibly long term you might MIGHT see a negative affect if they cut your pay or something. But being a commision rep myself I dont see how 1-3%of your customer base is going to affect your personal paycheck. Short of them provideing some customers with a easy out and a reason. Bottom line is its a service and Customer Service is key and personally I think Cingy's new policy is piss poor. Also last i checked the big time companies didnt share policies.
SOMETIMES we emulate such as VZW's new Pro-Rate ETF fees, they (the big companies) picking up on anothers Ideas but i would be more than shocked to see VZW a allready extremly profitable Non-publi...
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