Level 22: Superhuman

Re: Why don't you want to keep me Telstra?

So you are saying the deal I currently have is too good…

In a nutshell, yes (to this part only).

… and I should never have been given it…

No – it was openly offered to you and everyone else at the time, because it suited Telstra's objectives and priorities at the time.


Post-paid plans that include MRO Bonus credit are designed to effectively drop in value once the minimum contract term for a plan is over, to encourage customers to sign up for new contracts (which you've said you're prepared to do), and also give the telco a means to manage, albeit at a slow pace, the mix of plans in the mobile services in operation (SIOs) on its network to suit changing business priorities.


As you suggested in your initial post, when a telco wants to gain more customers (and/or market share, and/or SIOs), it can put forward a compelling value proposition that is good for the duration of the minimum contract term (typically 24 months) by dropping the price. 12 to 24 months hence, as a response to the impact of such a tactic and/or if business strategy has shifted, those ‘great value’ plans may have be withdrawn to make space for new plans that are designed to serve a different set (or mix) of priorities, but how would the telco get existing customers off those withdrawn plans, since they can elect to remain on those past the minimum contract term? By the built-in mechanism of the limited term in which the monthly MRO Bonus applies only. That is why the business rules must not be broken, or exceptions cannot be made on demand by the customer.

… and it far outweighs the revenue gained from broadband and home phone and Telstra really dont care if I leave…

I cannot comment on that, since I have no insight there, other than what I said before – it's not just about revenue, even though that may be what you're focussed on, since it's what's coming out of your hip pocket.


Profitability and strategic positioning are so much more important than revenue to business, unless the company is struggling with cash flow, and I don't think it is.

…cos they "cant" offer me anything like I currently have?

I think it's closer to “won't”. The question is not, “Why don't you want to keep me?” but, “Why don't you want to offer my current plans for recontracting?”, and while the obvious (if vague) answer would be that the market has changed and business objectives and priorities have changed, I wouldn't recommend holding your breath for a detailed answer about the commercial reasoning.


(Everything I've written in this thread, I've drawn my own conclusions as an observer with a strong analytical bent, without relying on any ‘inside knowledge’ about the business, and I expect other Telstra customers can do the same. I post here on CrowdSupport only as an interest member of the general public and a Telstra customer, but not in the capacity of a member of staff, and in no way do I speak for the company.)

Departed from CrowdSupport as of 12 June 2013, when the fun factor for me had finally completely evaporated with all the recent site layout and functionality changes, and the apparent efforts to turn a community goodwill-powered vehicle into something closer to a customer service channel.

The opinions and sentiments expressed above are mine only, and do not necessarily reflect Telstra's views or position. I work at Telstra, but my participation here is strictly in a personal capacity as a fellow Australian telecommunications services consumer, and you can safely assume you are not my customer, client, patron, benefactor or friend when I post in this forum.

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