Firing a competitive shot across the bow, Verizon this week delivered a set of bundles for its FiOS video and high-speed broadband services. Among the highlights: a triple-play bundle of 40 HD channels, 15 Mb/s upstream Internet service and FiOS voice service for $99.99 per month, a $10 per month savings (on a two-year contract). New FiOS customers also get some new freebies, including either free multiroom or standard DVR for six months or free movie packages for six months. Verizon also debuted some new bundles for both large business and small business services.
Connected Planet’s take,
Dan O’Shea:
Verizon’s move actually comes a month after AT&T made some adjustments to its own $99 bundle, though AT&T also gave customers some flexibility to choose wireless as a voice option within their bundle.
These tactics are reflective of how competitive the triple-play market is getting, as well as how much competitive heat these telcos might be feeling — though we are pretty sure they would downplay that latter point.
The triple-play market is maturing. It is no longer the new thing in town, and service providers may no longer be able to count on winning customers through the price discounts on initial promotional offers alone. They need to give customers more choices and give them more for whatever option they choose. AT&T and Verizon are both responding to that new reality.
That’s our take on this. Let us know what you think in the comments section below:
Thanks for the great article! Verizon IS responding to the new reality by offering the best resources at the most affordable prices possible. Here\’s a link for those who want to go straight to the horses mouth…so to speak. :=D
Thanks again for the post!
From other things I have read, didn’t the bundle used to be a 2 year contract with 89.99 for the first year and 109.99 for the second year? This new deal is no different than that, it all works out to the same amount paid over the 2 years as it used to be.
The problem is: you will be frustrated if you are an existing customer and want to take advantage of a new offer.
The $99 a month offer is great, but you must add in the legacy fees and taxes that cable doesn\\\’t charge (FSLC, USF, and sales tax). Your cost is now about $115 a month (in NJ) plus the HD STBs are double the cost of the cable company (9.99 vs $4.99)_
My FiOS offer expired last month. I like the TV service. The internet is no different than cable and the legacy phone service is not as good as the cable offering.
Verizon needs to focus on improving their awful customer service. I tried to change my service to a new promo last month. The rep called me back 3 times before the order was complete. I was looking for the $89 1 year package thinking I would save $10 a month for the next year.
What a surprise when my bill arrived. My current bundle (with wireless) averages $250 a month. This bill was $440. They changed my bill date (why I don\\\’t know), billed a lot of partial month fees which were impossible to decipher on the bill. Please note, I\\\’m a TEM consultant who looks at phone bills all day long. When I have trouble, there is a problem. In addition, they billed my wireless charges an additional month in advance.
When I called customer service to resolve the problem, after a 10 min hold time I got transferred 3 times. 75 minutes into this debacle, I finally asked the rep to put a manager on. She was very indignant and said one would call back – yeah right – that never happened.
I filed an executive complaint. Someone from the \\"presidents office\\" left a VM for me at 7:00PM. I called back, left my call back info with instructions to call me during business hours. So when does she call back, 7:03 PM.
It has been over a week since I tried to get this resolved with no success.
The best part, the Cablevision rep knocked on my door last evening and offered up a 1 year $69 a month package.
I\\\’m one day away from canceling my FiOS service. The TV service may be a little better, but who has time to deal with substandard customer service.
I know it goes against everything they taught in Marketing class but isn’t it time that we stopped the deceptive practices, promo rates etc. and just put the price on the table and win customers by giving them a desirable product at a competitive price?
Jeez, 3 marketing guys just had chest pains…
Freedom can’t survive without Integrity..
My $0.02 worth
Mike
When will Verizon implement FIOS in the Raleigh Research Triangle area. We need to have a robust IP network in the Wake County area. We are subjected with an ANEMIC offering from Time Warner ( turbo) and AT&T (non existence U-Verse). For an environment that supports an environment that is comprised of a high tech work force we are STUCK with this monopolistic ISP entity (Time Warner) who has employed a LETHARGIC upgrade posture
In my area of NY, HD and SD STB cost the same, $5.99/mo. They’re actually cheaper than Cablevision since CV charges separately for a remote.
I have FiOS internet and phone for $79.99 per month. TV service is nice but addtional costs such as set top box kills my budget. Go grab an inexpensive indoor HD antenna from Bestbuy or Radioshack. I was able to pick up 10 to 15 HD local channels in Baltimore area for FREE.
There are some serious drawbacks to having all of your services being piped in by the same ‘line’. I don’t think a lot of people think about it but it comes down to reliability. If all your services are coming from the same place and one goes down, you lose them all. That’s one of the things that makes me glad to be an employee and subscriber of DISH Network where if one of my services does experience a hiccup, at least I can still enjoy the others.
Verizon’s bundles have gotten even better. Contracts are not required for most bundles in most areas butyou can still get the price lock for two years. With the bundles they have, you pretty much create your own. It’s like making a pizza. You start of with the dough (base triple play starting at $99), then you add your toppings (faster internet, more channels, etc…). You can end up with over 300 channels including premium networks like HBO and Starz, one of their highest internet speeds with the download AND upload at 35Mbps, and unlimited phone service for $130!!… Seriously, what other company is offering that much service for that little money. Some people pay $130 just for their fully loaded cable package… Crazy!