We'd like to remind Forumites to please avoid political debate on the Forum... Read More »
We're aware that some users are experiencing technical issues which the team are working to resolve. See the Community Noticeboard for more info. Thank you for your patience.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
The SayNoTo0870 Article Discussion Area
Options
Comments
-
Actually, I'd frame it slightly differently;
Those companies that build the cost of after-sales service into their intial pricing use 0800 numbers.
Those companies that want to share the cost of incremental after-sales service with their customers use 0845.
Those companies that want to price for their product to reflect the 90% of customers who don't need to follow up, then recover cost of after-sales service from those customers who want/need it, use 0870/1.
Moral is that if there are identical products and one has an 0800 after-sales line and the other has an 0871, then defacto the first one is cheaper.I really must stop loafing and get back to work...0 -
And people wonder how stupid ill-informed myths get startedGreed it certainly is, bearing in mind that before the advent of call cost sharing these companies were quite happy to provide customer service without expecting to profit from it.
Bunking_off is much more close to the truth
A friend of mine sells electronic goods. He sells them through an 0845 number which he uses for international reasons. He offers support through an 0871 number behind which he employs over 30 people to handle calls
The majority could be covered by reading the manual
He could up the price of everything by adding 8% onto the price of everything and offer free support
That would make his products and his business less competitive
Surely it is better that those who need support pay for it while those that do not need do not pay for it?35, semi retired, sun, sand, sea, life is good
When you are done moaning remember that there are people who would love to have your standard of living!0 -
And people wonder how stupid ill-informed myths get started
How right you are - and this is another of them.
What about the people who really do need support because the product's faulty? Why should they pay extra just because your friend wants to increase his profits? Maybe the 0871 line is necessary just to cover over an inefficient business, or boost the owner's profits. There are any number of 0870/0871 lines just being used as an additional profit centre. This is the Ryanair approach - charge for everything you can possibly get away with charging for, just to keep the headline price artificially low.
Customers with commonsense look through these charges, see an 0870/0871 number, and know they're being conned. They're not likely to come back a second time, so the business ends up losing a customer. I wonder how many customers your friend has lost without even realising it? Maybe that's why he has to use the 0871 line - to cover the profits he's lost out on from ex-customers who don't come back to be ripped off again.0 -
Apologies for the inconvenience - please click HERE (doing so will take you to the post which is kept up-to-date now).
Time has moved on (much quicker than it used to - or so it seems at my age) and my previous advice on residential telephony has been or is now gradually being overtaken by changes in the retail market. Hence, I have now deleted links to my previous 'pearls of wisdom'. I sincerely hope they helped save some of you money.0 -
Your just falling for the commonly propagated generalisationsHow right you are - and this is another of them.
What about the people who really do need support because the product's faulty? Why should they pay extra just because your friend wants to increase his profits? Maybe the 0871 line is necessary just to cover over an inefficient business, or boost the owner's profits. There are any number of 0870/0871 lines just being used as an additional profit centre. This is the Ryanair approach - charge for everything you can possibly get away with charging for, just to keep the headline price artificially low.
Customers with commonsense look through these charges, see an 0870/0871 number, and know they're being conned. They're not likely to come back a second time, so the business ends up losing a customer. I wonder how many customers your friend has lost without even realising it? Maybe that's why he has to use the 0871 line - to cover the profits he's lost out on from ex-customers who don't come back to be ripped off again.
Gave my friend a phone, the 0870 support line just about covers a third of the costs of running his support department
Over 80% of calls are covered by the supplied manuals
He is looking to charge more for the support line and reduce the price of the raw product further
He is currently doing a survey to find out how to improve the manuals to reduce the number of calls
He may not be typical but 'greed' is just a generalisation.35, semi retired, sun, sand, sea, life is good
When you are done moaning remember that there are people who would love to have your standard of living!0 -
Perhaps, but how can the Americans get by using freephone (toll free in their parlance) for almost everything?Gave my friend a phone, the 0870 support line just about covers a third of the costs of running his support departmentTime has moved on (much quicker than it used to - or so it seems at my age) and my previous advice on residential telephony has been or is now gradually being overtaken by changes in the retail market. Hence, I have now deleted links to my previous 'pearls of wisdom'. I sincerely hope they helped save some of you money.0 -
Very good questionPerhaps, but how can the Americans get by using freephone (toll free in their parlance) for almost everything?
Must be building support costs in elsewhere
I have no knowledge of the American economy35, semi retired, sun, sand, sea, life is good
When you are done moaning remember that there are people who would love to have your standard of living!0 -
Perhaps, but how can the Americans get by using freephone (toll free in their parlance) for almost everything?
A very good point. And the answer is that they take customer service seriously - they know that good customer service and happy customers = repeat business = increased profits.
Guys like the one above still sticking to 0870 and 0871 don't have the commonsense to realise that in the long run it will actually damage their business.0 -
Can I ask if you actually run a business or are you just guessingGuys like the one above still sticking to 0870 and 0871 don't have the commonsense to realise that in the long run it will actually damage their business.
I run a business but not the sort that needs call centres
I have many friends that run a variety of businesses and not one of them makes decisions that they think will lose them money35, semi retired, sun, sand, sea, life is good
When you are done moaning remember that there are people who would love to have your standard of living!0
This discussion has been closed.
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 351K Banking & Borrowing
- 253.1K Reduce Debt & Boost Income
- 453.6K Spending & Discounts
- 244K Work, Benefits & Business
- 598.9K Mortgages, Homes & Bills
- 176.9K Life & Family
- 257.3K Travel & Transport
- 1.5M Hobbies & Leisure
- 16.1K Discuss & Feedback
- 37.6K Read-Only Boards