Do new customers get 'loyalty discounts' straight away?

carlwaring · 13-04-2011, 08:24

It's such a long time since I was a new customer to cable (over ten years!) I assumed they didn't get either any or, at least, much of a discount to start with but, comparing what I currently pay with my heavy "loyalty" discount against a new customer on the same bundle, I see there is only around £8 difference. Which doesn't make me feel so good!

Don't mis-understand me. I am happy with the price I pay for the services I get (even though the price has gone up by around a fiver in the last year

). I'm just after any thoughts or comments.

Thanks.

(To mods. Sorry if this is in wrong place. It is kinda a billing issue but there's no "general VM forum". Feel free to move it if you like!)

**Hugh** · 13-04-2011, 08:32

Ring them and discuss the "issue", and ask for comparable treatment.

carlwaring · 13-04-2011, 08:50

I might, but just wanted people's thoughts first

There isn't a direct email address for 'retentions' is there?

**Hugh** · 13-04-2011, 09:09

imho, these things are always best discussed with a person, not an email address; YMMV

In my case (around 2-3 years ago), I was in the same position as yourself, paying a little over the odds compared to a new customer. I costed the equivalent package with Sky (other providers are available), and rang retentions - I pointed out I was not asking to pay less than a new customer, and that whilst Sky was slightly more expensive than a VM new customer deal, it was less than I was paying at the time.

The outcome was I was aligned with the new customer pricing model (in fact, got a couple of quid off that, as I have been a triple-play customer since 1995). I was happy, VM kept the customer, and in fact I have upgraded twice since then (30Mb and now TiVo).

I suppose it all depends if they make money off you - if they don't, why should they sell at a loss.

Good luck, and let us know how you get on.

carlwaring · 13-04-2011, 09:30

Yeah. My problem is that, other than the price, I am happy with what I get, which is XL phone and TV with L Broadband. I don't need faster BB and I'm on the highest for pack for the other services. The other point being that I couldn't move to Sky anyway (I like my Tivo) and there's hardly any LLU in my local exchange for BB!

I'd really like to either drop the phone line altogether (to go VOIP with Vonage) or go onto the Talk200 package but the last time I costed that it wasn't worth it as it cost £1 more and I lost some discount.

Ignitionnet · 13-04-2011, 10:50

Thoughts are that prices are always lower initially for a shiny brand new customer.

It may be worth thinking about this in terms of how much, by %, you are cheaper than the ongoing price for new customers rather than in absolute currency.

carlwaring · 13-04-2011, 11:36

According to this post over on the AV Forums..

Quote:

The discount on your bill is apportioned to TV and BB. The TV part is always £1.50 of the discount.

Is this correct?

Quote:

Originally Posted by Ignitionnet

Thoughts are that prices are always lower initially for a shiny brand new customer.

Well my point was that a new customer is paying £8 more than me, which is fine, but I supposedly have a £22 'loyalty' discount!

As people have previously mentioned, it's all rather confusing

Quote:

It may be worth thinking about this in terms of how much, by %, you are cheaper than the ongoing price for new customers rather than in absolute currency.

Nah. I only deal in actual figures. It's easier that way

Here's my current deal:
Telephone Line Rental £12.99
Talk Unlimited £8.00
Loyalty Pack Bb/Phone/TV £22.50
TV Size: XL £26.00
Broadband Size L: £26.00

Final question, are the prices shown on VM's "Shop" pages the actual price or the discount price?
http://shop.virginmedia.com/broadband.html
L = £13.50
XL = £18.50
XXL = £25

Although, if the above is true about how the discount is apportioned, my BB is only costing me £5 per month

RobboEdin · 13-04-2011, 14:35

Quote:

Originally Posted by carlwaring

Here's my current deal:
Telephone Line Rental £12.99
Talk Unlimited £8.00
Loyalty Pack Bb/Phone/TV £22.50
TV Size: XL £26.00
Broadband Size L: £26.00

Final question, are the prices shown on VM's "Shop" pages the actual price or the discount price?
http://shop.virginmedia.com/broadband.html
L = £13.50
XL = £18.50
XXL = £25

Although, if the above is true about how the discount is apportioned, my BB is only costing me £5 per month

You are correct, Carl. Your price is superb. You are paying £5 per month when others are paying £13.50 per month for BB L.

The confusion arises because the website prices ARE discounted but people compare the full, billed price of £26 for BB L with the £13.50 price and think they are getting hard done to. In fact, as you have proved, they are almost certainly equal to or better than that price.

£5 per month for 10Mb BB - can't be bad, Carl?

Digital Fanatic · 13-04-2011, 19:39

Certainly looks like a good package deal.

carlwaring · 13-04-2011, 19:50

Oh it is. Just wish there was something I could to do reduce it without actually going down a pack on TV or Phone

Anyone got any idea what dropping the phone will do to the price? Probably double it, I expect

Digital Fanatic · 13-04-2011, 19:57

Quote:

Originally Posted by carlwaring

Oh it is. Just wish there was something I could to do reduce it without actually going down a pack on TV or Phone

Anyone got any idea what dropping the phone will do to the price? Probably double it, I expect

I think sometimes customers are on the very best offer available, so no more can be saved without dropping down a pack or two.

hedgie · 15-04-2011, 16:10

OK I have just been very confused on the phone but after reading this thread I think I have got it.

I have been a customer since the Nynex days with analogue Jerrold boxes and have a "loyalty discount" which I am told is an L3 discount. I am on the old 2Mb BB M tariff an wanted to up this to the 30Mb rate.

I had checked the "new customer" price on the website before I called so I knew the list price was £55.99 with a six month £5 discount.

Now when the sales person told my that my discount would be affected I was not too surprised, but the price was exactly the same as that quoted on the bundle builder page on the website. So as the OP stated it seems like the "loyalty discount" is either being phased out or handed out to all.

I don't see how VM can claim that I still get a loyalty discount when I am quoted the same as a new customer?

I understand that VM need money and as I customer I am not entitled to something for nothing; but I really do think VM should be more transparent and state that they are endeavouring to be fair to everyone by offering standard package deals across the board. What is confusing is when you are being told that you still have a loyalty discount when the price is the same a new customer......

RobboEdin · 15-04-2011, 16:39

I think it would be fair to say that there is no such thing as a loyalty discount with Virgin Media (or any other supplier).

I would suggest that a loyalty discount should reward ALL customers for their continued service, perhaps on some sliding scale of say a £2 discount for each complete 5 year period of continuous custom.

I have said this before and will say it again:

A reasonable discount structure would have three elements:

1. FIXED pricing for each service at each level;
2. A bundle discount, say £5 for two services, £10 for three services;
3. A loyalty discount for each complete 5 years of continuous service of say £2.

No DIS-'Loyalty' discounts for threatening to leave.

hedgie · 15-04-2011, 19:09

Quote:

Originally Posted by RobboEdin

I think it would be fair to say that there is no such thing as a loyalty discount with Virgin Media (or any other supplier).

I would suggest that a loyalty discount should reward ALL customers for their continued service, perhaps on some sliding scale of say a £2 discount for each complete 5 year period of continuous custom.

I have said this before and will say it again:

A reasonable discount structure would have three elements:

1. FIXED pricing for each service at each level;
2. A bundle discount, say £5 for two services, £10 for three services;
3. A loyalty discount for each complete 5 years of continuous service of say £2.

No DIS-'Loyalty' discounts for threatening to leave.

That sounds simple, and fair, to me.

although when it appears on your bill as "Loyalty Discount" it does imply that's what it is, not a bundle discount or anything else. The fact is the prices on my bill are daft, the price I am supposed to pay for M tier BB is mad.

Pittcity · 30-04-2011, 13:33

My Bill shows a "bundle discount"...but it is a farce.
What I pay is exactly the same as a new customer would pay for the same "bundle" (ignoring the initial new customer discount payments that only last a few months).
On adding it up the "bundle" price is exactly the same as buying the elements separately, so there is not even a discount for buying a bundle any more.