Big Telco Takes a Hit from the Little Guys (and the CRTC)

Big TelcoThe big news in Canadian telecom from the first quarter was the hit the Big Three took from their Internet and landline customer base. They are leaving in droves heavily impacting all facets of Big Telco’s business.

Just yesterday Rogers released its numbers and they suffered a 17 per cent drop in first-quarter income.

From reports from the Toronto Star and Reuters:

The profit decline follows a regulator’s ruling that ended 30-day notice periods before cancellation of telecom service contracts, a change that lowered cable revenue by $3 million.

Rogers also lost 41,000 cable-TV subscribers, 7,000 Internet customers and 20,000 landline telephone lines in the first quarter.

It said much of that slip was caused by the elimination of a 30-day waiting period before TV, Internet and landline phone contracts could be canceled.

The CRTC first announced their plan to eliminate the 30-day waiting period for cancellation of a service late last year, and if the first quarter of ruling’s implementation is any indicator, it’s something Canadians have truly embraced. No longer are they faced with “Win Back” strategies that offered price matching or special promos; discounts that were usually short-term so Canadians ended up spending just as much or more overall as they would have anyway prior to the “deal.”

Worldline Unlimited InternetNow Canadian ISP’s have only one way to keep their customers: Offer a great service at a fair price and earn the trust of the consumer. It’s been Worldline’s business model from day 1 and that’s why we embraced this new ruling.

Unlike Rogers, who saw a precipitous drop in its Internet and home phone customer base, Worldline just celebrated the greatest first quarter in company history, virtually tripling our sales over last year.

Thanks to the CRTC for making it easier for Canadians to switch and save. And thanks to all the new Worldline customers we’ve added in the past few months. Welcome!

One thought on “Big Telco Takes a Hit from the Little Guys (and the CRTC)

  1. I have High Speed Internet with Worldline and I have no intentions of changing, they will bent over backwards to help you.

    Some time ago they had a video one could watch and I was so impressed I finally run a hardwire from their Modem to my PC in another room across the house from the Modem and found out I could get the same speed without the loss of download speed so I got a cable installed up through the attic. No more problems.

    Ray

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