They tried, but failed. Canadians speed up “cutting the cable”

Cutting the CableEarlier this year, in what was certainly a shocker to the TV programming supplying folks, a report came out saying that in 2012 a full 8 percent of Canadians dropped their TV service and instead relied entirely on broadband Internet to get their video fun.

Today those TV people must be looking for the defib paddles.

In a new survey commissioned by Google, it turns out that 8 percent number was a wee bit low. Try twice that, as in 16 percent!

That’s despite the aggressive tactics The Big Three rolled out over the past year by instituting low bandwidth caps on their loyal unsuspecting customers to try to stop them from watching Netflix and Youtube.

According to the recent comScore survey, an additional 35 percent watch both traditional TV and online video  and an additional 35 percent only watch traditional TV, reports the Canadian Press.

Canadians watched 2.9 billion YouTube videos a month, which equals an average of 127 videos per user and five videos per visit.

Some of the biggest Canadian ISPs restrict their users to as little as 20 GB per month on some plans, with overages of up to $4 per additional GB, which has forced companies like Netflix to lower their default video quality for Canadian viewers.

Critics have long argued that ISPs use these pricing schemes to restrict online competition and keep viewers glued to their own TV offerings. comScore’s numbers seem to suggest that these efforts have clearly failed.

wl_save_internetAll of The Big Three have subsequently come out with Unlimited High Speed Internet plans to battle the bad press, (although all of their plans are just about double what we at Worldline charge), but the harm was already done.

Canadians have begun to realize they simply don’t have to take it any more.

Good for them.

(and good for us)

Loyalty isn’t a “Program”

Bell Card

As you would imagine, the folks who work at Worldline use Worldline as their Home Phone and Unlimited High Speed Internet provider – meaning they were once with someone else.

Like Bell for instance. Our employees bring in these “loyalty” cards all the time for us to giggle over, but for our business, it’s not a joke.

Once someone leaves a company like Bell, that company works very, very hard at getting that person back by being all touchy-feely with a series of personalized cards offering them super discounts to come back.

You know, because they care and stuff.

The problem with this is, if they were this awesome while they were providing their service, chances are no one would ever leave them in the first place.

Regardless, these semi-shameless marketing efforts are effective, but not nearly as effective as what they do when someone calls in to cancel on them.

When we sign up customers to a Worldline service, we know a certain percentage will in fact not become our customers because of what happens when they are on the phone with the likes of Bell, Telus or Rogers to cancel.

In the parlance of the telecom industry, this is called “breakage.”

The big three are great at it. We’ve heard customers tell us tales of being wooed with promises of discounts (that only last a few months) or price matching us (again, for only a few months) or if they are truly desperate, actually going lower than us (which will last even fewer months). Then if that doesn’t work – then comes out the major artillery; they switch them over to a “supervisor.”

These are the folks who are specialists at making the switch as painful as possible. They’re so good they even make switching from their overpriced, bandwidth-capped service seem somehow illogical.

And, unfortunately for us, on occasion these tactics work. We lose customers who were looking forward to saving up to $600/yr on their bills simply because they were talked out of it.

Now Rogers is going one step further. They’re trying to entice their existing customer base   into staying by signing them up to their new “loyalty” program. Starting this summer, “points” can be earned for Rogers services, and applied to other services like discounts on roaming charges, or a free PPV movie, stuff like that.

Worldline BundleIt adds up to a few pennies a month in benefits, weighed against the hundreds a year they are overcharging their customers.

It’s a great deal – for them.

And it’s also a preemptive strike to keep customers from thinking about going elsewhere, because now when someone calls into switch Rogers can say, “But what about all your points?”

Tricky eh?

So, how will Worldline fight against this? Same way we always have – by providing the fairest priced, Unlimited High Speed Internet and Home Phone in Canada – and trusting our customers to understand that we are taking on the big telecom companies on their behalf.

Joyce Maynard once wrote, “a person who deserves my loyalty receives it.”

The same applies to companies who provide a service.

Need a Second Line? Worldline has one for only $4.95/month

Are the kids always on your phone? Do you have a small business? Are the in-laws staying?

If you are a Worldline Bundle customer you are already enjoying the benefits of having the lowest priced Home Phone and Unlimited High Speed Internet in the country.

And now, for just $4.95/month more, you can get a second phone line with all the no-charge features of our Premium Digital Home Phone service.

Let Mike Brown explain it for you:

ALL Premium Digital Home Phone Features

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Worldline Bundle

Canadians have no idea they have Telco options: “I had no idea I could switch!”

BigThreeWe hear it all the time.

The Big Three have done such an awesome job at dominating the Canadian Telecommunications marketplace with their carpet bombing of cross-platform promotion and advertising that most Canadian believe they have little or, in most cases, no choice but to bite the bullet and sign up for with one of these overpriced behemoths.

On Canada Day we helped promote the fireworks display at Riverside Park in Cambridge, (our home town), with a massive TV truck, (literally a truck with a MASSIVE TV on the back), that also ran a Worldline promo.

A woman who was attending the show with her family saw the promo and called and signed up immediately telling the sales agent, “I had no idea I could switch!”, and that she’s been “dying to dump Rogers for ages” but didn’t know she had options.

Worldline BundleTo be honest, it drives us a little nuts. Here’s this nice lady in a park that is about 2 kms from Worldline’s head-office and she didn’t even know we exist!

It just shows you how daunting the task is that we face in this uneven market. In our own home town the Big Three have such a presence that they can essentially drown out a company like Worldline that has over 300,000 customers.

That said, we’re up to the task because we know Canadians who no longer can tolerate being overcharged for their High Speed Internet or Home Phone will find us, or we’ll find them.

We kind of feel it’s our duty.