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so it looks like cingulars lost a million customers in how long?

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Posted by: Alfred_Neuman

i thought we had 52 million? now we're down to 51?

bloops

oh im laughing. joke going around here is "next year, this time, the papers going to say to join the family 47 million strong"



Posted by: audiovoxx

LOL sad but true.... its our fault... well our i mean as in the whole company but as long as corporate dosent do more a better network, better promos among other things we will loose customers.
i would like to know how many blue customers we loose a day ?



Posted by: pauldg

remember the meeting about the merger... remember how they were saying they expected a huge churn as a result of the merger?

we all see it every day, those "blue"customers who u just cannot please. They resent the fact that AT&t is no more, and they don't get why they "can't just buy a new phone to work with my existing plan". many of those 50mil aren't really our customers, they were att. they won't really be our customers until they migrate to orange, but that is dependent on us bending over backwards for the very customer who is impossible to please. Most blue customers are not that way, but many are VERY difficult to persuade them to migrate.



Posted by: ieregional

normally i'd blast on alfred for not being a more supportive company guy, however, at this point i'm not feeling too holiday cheery!!!

Yet another customer came back today because Walmart has this great deal and another because Verizon's coverage beat ours significantly. They better do csomething quickly besides sending people to the customer save department and offering 150 timebank minutes. Man, not even adding an additional fan# to their account helps over coverage. John Q. Cingular hear our cries!!!!



Posted by: sellincellinfwb

Quote:
Originally Posted by audiovoxx
LOL sad but true.... its our fault... well our i mean as in the whole company but as long as corporate dosent do more a better network, better promos among other things we will loose customers.
i would like to know how many blue customers we loose a day ?


ANY of them that walk into my store.

Just mouthin' off man....no offense.



Posted by: sellincellinfwb

Quote:
Originally Posted by pauldg
remember the meeting about the merger... remember how they were saying they expected a huge churn as a result of the merger?

we all see it every day, those "blue"customers who u just cannot please. They resent the fact that AT&t is no more, and they don't get why they "can't just buy a new phone to work with my existing plan". many of those 50mil aren't really our customers, they were att. they won't really be our customers until they migrate to orange, but that is dependent on us bending over backwards for the very customer who is impossible to please. Most blue customers are not that way, but many are VERY difficult to persuade them to migrate.



hahahahaha dude, they're pissed because before the merger, AT&T harvested up all these people with "here's 100,000 minutes for 32.99 a month" and then sold the damn company! Wouldn't you be mad? I was mad as hell when I was AT&T and then one day I was Cingular...nobody asked me!

This was before I got into the business, and I get it NOW, but you can't expect THEM to get it......(before you blast off on me....I'm just goofin off anyway.. )



Posted by: SE Aholic

I think the reason they put less then reality numbers for customer counts in ads and merchandise could be because they dont wanna be sued for false advertisement so if they low ball 1 million customers off the numbers it wont get them in trouble regarding artificial information being given. I believe its the Truth in Advertisement law that makes companys cautious and do things like this. I doubt they lost 1 million customers.



Posted by: theclarks1

Quote:
Originally Posted by SE Aholic
I think the reason they put less then reality numbers for customer counts in ads and merchandise could be because they dont wanna be sued for false advertisement so if they low ball 1 million customers off the numbers it wont get them in trouble regarding artificial information being given. I believe its the Truth in Advertisement law that makes companys cautious and do things like this. I doubt they lost 1 million customers.


Even if they have padded the #'s regardless they have lost lots of those customers. If they would give customers an incentive to switch then they would keep more of the blue customers. Grandfather them in tell them what the coverage is like then you may get more to stay. When you have a GSM carrier that can offer the same coverage or at least close to the same more minutes in all and they dont travel to lots of the areas where cingular is stronger, why would they stay? Give more incentive and youll see greater sales, upgrades and such. Its not that expensive to sell a phone to a customer on an upgrade even if they are out of contract. WE know (well the ones that know electronics components) how much round about that it costs to make phones. I understand that technology is involved in there but heck come on if the customer isint happy then your going to loose them anyway! I would be more apt to keep an old customer that I know isint going to default on the contract and most of them wont pay the termination fee you will have to sue them then you have court costs and such. Its ends up costing more than its worth. I dont know I just think that wireless has went to pot, they think that they have everyone over a barrell. I remember when we only had pagers. It was inconvienient but heck it was cheap when the payphones were 10-15 cents. I dont know now how anyone would do without a cell but I think too that we have been brainwashed into thinking that we cant.



Posted by: Isriam

orange people really annoy me when they say crap like you cant please blue people because they get blah blah blah for an account.

honestly, orange marks the stuff up so high, its pathetic. look at the ERP plan. free minutes for 1000, and then .35 cents a minute, not even free n/w?

all you have to do to retain blue customers is give them an orange sim and the exact same account details they have with at&t. yea maybe at&t had great phone rates. but some people have been with at&t longer than cingular has been around. my plan at at&t is exactly the same as an orange plan, the only difference is i get unlimited incoming text messages. why the hell do you pay 10 cents for incoming text, when its the same as a voice call? i'd much rather people text on the network than place a call.



Posted by: nskgti23

Wait explain this one to me? The blue employee plans were like 200 minutes for $10 a month... So how is that better than the Cingular ERP?

Quote:
Originally Posted by Isriam
honestly, orange marks the stuff up so high, its pathetic. look at the ERP plan. free minutes for 1000, and then .35 cents a minute, not even free n/w?




Posted by: theclarks1

Quote:
Originally Posted by Isriam
orange people really annoy me when they say crap like you cant please blue people because they get blah blah blah for an account.

honestly, orange marks the stuff up so high, its pathetic. look at the ERP plan. free minutes for 1000, and then .35 cents a minute, not even free n/w?

all you have to do to retain blue customers is give them an orange sim and the exact same account details they have with at&t. yea maybe at&t had great phone rates. but some people have been with at&t longer than cingular has been around. my plan at at&t is exactly the same as an orange plan, the only difference is i get unlimited incoming text messages. why the hell do you pay 10 cents for incoming text, when its the same as a voice call? i'd much rather people text on the network than place a call.


How could you figure that a orange sim would work in a blue phone? Or are you talking that upgrade the phone and sim?



Posted by: gsmgprsfan

Quote:
Originally Posted by nskgti23
Wait explain this one to me? The blue employee plans were like 200 minutes for $10 a month... So how is that better than the Cingular ERP?


Wrong.. blue employee plan was unlimited airtime for $0.00 .. only pay for LD and roaming out of network... also, unlimited data for free.



Posted by: theclarks1

Quote:
Originally Posted by gsmgprsfan
Wrong.. blue employee plan was unlimited airtime for $0.00 .. only pay for LD and roaming out of network... also, unlimited data for free.


Mine was 1200+1200anytime then unlimited txt, media, had to pay for ringtones and such. 15.00 local service, long distance.



Posted by: Freakshow105

Quote:
Originally Posted by gsmgprsfan
Wrong.. blue employee plan was unlimited airtime for $0.00 .. only pay for LD and roaming out of network... also, unlimited data for free.


My 2 COU lines are unlimited everything for $0 a month. My ERP is $0 for 1,000 minutes and my wife pays $10 for n+w and another $10 for unl m2m. Umm 1000 minutes with unl m2m and n+w for $20 is a steal! The Blue Dependent lines were like $10 a month and you got only 300 minutes...thats it



Posted by: anubis9278

I know its been said. But with the way Cingular has positioned themselves, they expect and apparently want a loss. This merger was crap from the start. Blue customers had plans that would put any company out of business. If we want to be competitive lose rollover only, offer rollover plans and non-rollover plans similiar to say T-mo offerings. Get rid of that damn raising the bar "slow-gan". Advertise better than Verizon. VZW commercials alone would make any one go with them. Lastly, give your employees something to want to work for.

APRU is up, net adds down, and still its the employee faults. TWISTED!!!



Posted by: theclarks1

Quote:
Originally Posted by MrDJ
My 2 COU lines are unlimited everything for $0 a month. My ERP is $0 for 1,000 minutes and my wife pays $10 for n+w and another $10 for unl m2m. Umm 1000 minutes with unl m2m and n+w for $20 is a steal! The Blue Dependent lines were like $10 a month and you got only 300 minutes...thats it


I know that agents must get diffrent things. Mine was on a blue plan first, then I upgraded to the cingular plan they gave me about 200 more minutes and that was it. They also didnt give us anykind of choice on adding a 2nd line. As before mine was 15+taxes.



Posted by: pauldg

Quote:
Originally Posted by sellincellinfwb
hahahahaha dude, they're pissed because before the merger, AT&T harvested up all these people with "here's 100,000 minutes for 32.99 a month" and then sold the damn company! Wouldn't you be mad? I was mad as hell when I was AT&T and then one day I was Cingular...nobody asked me!

This was before I got into the business, and I get it NOW, but you can't expect THEM to get it......(before you blast off on me....I'm just goofin off anyway.. )


That's my point though: customers DON'T get it. I never offered a ridiculously cheap plan and then closed up shop, but i'm the one bearing the responsibility of trying to retain these customers - that's why we'll never migrate all of the blue.
BTW... why do u think they offered such nice retention perks (free early N+W, bonus anytime minutes, etc.)? b/c they knew they were going downhill and they had to do something to reduce churn. that said, it worked really well... but those customers were still a bit uneasy about the company. So the company's barely hanging on to these customers by a thread, who are only here b/c they got free anytime minutes and early n+w's, but are otherwise not too happy. Customers are really just upset that AT+T bailed on them.



Posted by: Telegraph

Quote:
Originally Posted by pauldg
That's my point though: customers DON'T get it. I never offered a ridiculously cheap plan and then closed up shop, but i'm the one bearing the responsibility of trying to retain these customers - that's why we'll never migrate all of the blue.
BTW... why do u think they offered such nice retention perks (free early N+W, bonus anytime minutes, etc.)? b/c they knew they were going downhill and they had to do something to reduce churn. that said, it worked really well... but those customers were still a bit uneasy about the company. So the company's barely hanging on to these customers by a thread, who are only here b/c they got free anytime minutes and early n+w's, but are otherwise not too happy. Customers are really just upset that AT+T bailed on them.


Why migrate over to Cingular and lose more minutes? Why migrate over to Cingular and receive a WORSE phone than you already have? Why migrate over to Cingular when the phone the customer has is still perfectly serviceable? Why migrate over to Cingular when a customer would have to PAY for a phone with the same exact features? Why migrate over to Cingular when they lie and say AT&T phones will NEVER be compatible with the new network (unlock, then send an OTA on the phone for the media services, wouldn't be too hard would it?). There really IS no reason to migrate. The smart customers will stay on their old plans as long as possible, pay full retail on a phone (albeit maybe even used refurbished phones) and stay until there is SOME incentive to migrate.



Posted by: strickzilla

picture this...

john zigles on a beach in Bermuda reading that Verizon beat Cingular by 1 million adds....and then lookin at the stocks he bougt with his multimillion dollar golden "parachute"


hmmmm who got the last laugh.....AT&T was in the Bowl ever since the Sibel Fiasco and they KNEW they couldnt right the ship so they sold that turkey

and like a used car salesman they hid all the defects...

"no sir its the new detachable mirrors, thyere SUPPOSED to come off"

$30 a month 800 minutes AND free N&W?

yeah le me RUN to cingular pay $10 more a month and LOSE 400 minutes...

stan and the boys at SBC...oh wait its AT&T, wait its "at&t" (small letters) got sold a lemon and thre is NOTHING they can do to fix it excepl let it bleed and cut thier losses



Posted by: ivwshane

They were in trouble when john zigles took over, he didn't give a ***** about at&t or didn't know how to run a company. Either way I put the blame on his leadership!



Posted by: highbredcloud

AT&T and Cingular were both in trouble prior to their merger...hence why the merged...if they didn't both companies would probably be bankrupt right now...no matter on who you point your finger there's always some else to blame...heck...not even if its the company but one can also blame the competition...



Posted by: nepacell

Quote:
Originally Posted by Alfred_Neuman
i thought we had 52 million? now we're down to 51?

50 million now, according to cingular.com (http://cingular.com/cingular_advantage).

So ... another million in 6 days? Does this mean Verizon is officially bigger again?



Posted by: duchski

Quote:
Originally Posted by Telegraph
Why migrate over to Cingular and lose more minutes? Why migrate over to Cingular and receive a WORSE phone than you already have? Why migrate over to Cingular when the phone the customer has is still perfectly serviceable? Why migrate over to Cingular when a customer would have to PAY for a phone with the same exact features? Why migrate over to Cingular when they lie and say AT&T phones will NEVER be compatible with the new network (unlock, then send an OTA on the phone for the media services, wouldn't be too hard would it?). There really IS no reason to migrate. The smart customers will stay on their old plans as long as possible, pay full retail on a phone (albeit maybe even used refurbished phones) and stay until there is SOME incentive to migrate.



I got the ATT Charter Plan - Unlimited minutes for $99.99 just try to migrate me over from this.
Another thing is that with ATT I had a feeling I am dealing with a world class company while CING sounds like mom and pop shop operating on a quick buck principle - $18 dollars just to extend your contract for two year, charging for incoming text - c'mon. And, yes, treating your customers like s...t: "sir we just recently changed the policy".
I do not like orange as the company seems absolutely disorganized...



Posted by: paypalbid

what company has the greatest profit margin?



Posted by: Avironeur

Verizon -- not Cingular



Posted by: Seltzer

Well, so much for the drive to 1.5%...



Posted by: Alfred_Neuman

is it really 50 million and growing and not 50 million and shrinking?





Posted by: chargebk

Heres an added bonus to Fuel the question of numbers.

Cingular Signs RS for a 10 year deal so they can treat existing customers like lepers...... $29 RAZR and a free btooth HS for a new Sub vs $199 for an existing customer. What do you think the RS rep will do? What do you think the customer will say?..... Can i just sign up as a new sub and shut off my old line? RS rep closes the deal churns the customer so they get the better deal..... Wait till the efffects of this hit wall street.

And they say their existing agents are a problem. " WE MUST SHIFT THE BALANCE OF ECONOMICS," a direct quote by One of the fearless Cingular Directors....

Oh Yea, shift it where? The new management is NO BETTER and GETTING WORSE DAILY!


I can't wait until Verizon announces that they are the #1 carrier in America again. This will mark the turning point. Keep in mind that SBC and Bellsouth seemed to produced better results/perform when they were the underdogs.

Just a little disgruntled.



Posted by: Toothless Tommy

I agree with you Chargebk . Cing will be number 2 very soon ( maybe number 3 ? ) for all the correct reasons mentioned on this forum .
We have bets on with top senior reps in my market to go for steak dinner when verizon passes us in 2 nd quarter 06 ???

How sad is that that top reps hate Crapular so much that they celebrate the competion passing us ??? Why ??? our pay has dropped big time and SAMgular has done very little to make it better .

.25 cents extra on features doesn't cut it !!!
I used to make $28. on a added FT line now I am forced to make $5.00 - beat it -- not worth my time - i will do a lousy $8.00 upgrade instead - less work .

It is Cing management fault for been greedy and hurting the sales reps pockets - How can you expect to get and keep top reps if they can't make over $50,000 p/y . anything less these days is chump change !!!!! well if you want to rent forever keep working at Cing .
but we all know that they want no university degree people and just 18 year olds - look at the reps now compared to 3-5 years ago . standard has dropped because pay is less - " you get what you pay for "



Posted by: duchski

Quote:
Originally Posted by Toothless Tommy
It is Cing management fault for been greedy and hurting the sales reps pockets - How can you expect to get and keep top reps if they can't make over $50,000 p/y . anything less these days is chump change !!!!! well if you want to rent forever keep working at Cing .
but we all know that they want no university degree people and just 18 year olds - look at the reps now compared to 3-5 years ago . standard has dropped because pay is less - " you get what you pay for "


You did not expect CING to pay 70G to cell phone salesmen for ever, did you?
If you are so certain that you are underpaid quit and see what's out there with your education and experience.... Do not forgot to mention you were selling cell phones in kiosk )

CING will sell more and more through alternate channels and will try to get rid of the workforce w/o going into costly layoffs: first you see paycuts i.e., that "performance based" firings all to gently push people off the payroll... Little by little all that left will be $10/hr floor sales/in-store customer care reps.... Will quality/numbers suffer? With all due respect, if RS clerks can do it, if Walmart clerks can do it so can anybody... Cellular is a commodity not cars or routers....
PS Why don't you check how much telesales rep or customer care rep makes per hour....



Posted by: Seltzer

Quote:
Originally Posted by duchski
You did not expect CING to pay 70G to cell phone salesmen for ever, did you?
If you are so certain that you are underpaid quit and see what's out there with your education and experience.... Do not forgot to mention you were selling cell phones in a kiosk )

CING will sell more and more through alternate channels and will try to get rid of the workforce w/o going into costly layoffs: first you see paycuts i.e., that "performance based" firings all to gently push people off the payroll... Little by little all that left will be $10/hr floor sales/in-store customer care reps.... Will quality/numbers suffer? With all due respect, if RS clerks can do it, if Walmart clerks can do it so can anybody... Cellular is a commodity not cars or routers....
PS Why don't you check how much telesales rep or customer care rep makes per hour....


And this is why Verizon posted 1.9m adds vs. Cingular's 800k adds in 3q 05'. You can't replace *quality* sales and *quality* customer service.

Actually, the plan is to have COR takeover Indirect markets (not including National Retail).



Posted by: duchski

Quote:
Originally Posted by Seltzer
And this is why Verizon posted 1.9m adds vs. Cingular's 800k adds in 3q 05'. You can't replace *quality* sales and *quality* customer service. Actually, the plan is to have COR takeover Indirect markets (not including National Retail).



No my friend. Cellular service like any other service: phone, electric, gas cable/satellite is a commodity. The only way to win new customers is on pricing and COR is way to expensive (cost of sale) to make it happen. Take the cost of maintaining the store, reals estate, salaries, training, insurance and divide it by number of activations in any given month.... That's why the plan is to go with Wally, BB and Radio Shack. And these channels already sell more than COR stores... You want to prove yourself in technology sales then go to CISCO, IBM etc. show what you can do and earn your 70G....



Posted by: Toothless Tommy

hey duchski,

you can't read to well buddy .

who was mentioning $70,000 p/y ?? where did that figure come from ?? I said $50,000 = big difference !! Whats wrong with reps making 50,60,70,000 ??? Head office staff ( better known as "professional email senders " do )
if reps sell more for the company then let them be compensated properly . You get what you pay for - low wages = low caliber of reps = bigger churn - less profits - simple to figure out

Also don't insult us here ( sales reps that are on the front lines all day ) saying Wallmart employees are on the same level as us . That is an off base comment . Think before you type and then run away all scared .

I work in a corp store not a kiosk ( once again you insult Cing employees that start out in kiosk's ). alot of great sales reps started there .

My education is a University degree by the way

PS -- can't wait for 4 th quarter results = celebration time !!! poor greedy Cing comes 2,3, 4 th again .



Posted by: CA

Quote:
Originally Posted by Toothless Tommy
hey duchski,

you can't read to well buddy .

who was mentioning $70,000 p/y ?? where did that figure come from ?? I said $50,000 = big difference !! Whats wrong with reps making 50,60,70,000 ??? Head office staff ( better known as "professional email senders " do )
if reps sell more for the company then let them be compensated properly . You get what you pay for - low wages = low caliber of reps = bigger churn - less profits - simple to figure out

Also don't insult us here ( sales reps that are on the front lines all day ) saying Wallmart employees are on the same level as us . That is an off base comment . Think before you type and then run away all scared .

I work in a corp store not a kiosk ( once again you insult Cing employees that start out in kiosk's ). alot of great sales reps started there .

My education is a University degree by the way

PS -- can't wait for 4 th quarter results = celebration time !!! poor greedy Cing comes 2,3, 4 th again .

The only thing I can say is I'm sure Cingular has done the math. Numbers can be played with, but I'm thinking Cingular is digging their well thought out plans. They may be wrong, but it's their show(professional email senders).



Posted by: duchski

Quote:
Originally Posted by Toothless Tommy
hey duchski, you can't read to well buddy .
who was mentioning $70,000 p/y ?? where did that figure come from ?? I said $50,000 = big difference !! Whats wrong with reps making 50,60,70,000 ??? .

Nothing's wrong, the same way there is nothing wrong with paying 100Gs to janitors. It's not wrong, however it's not cost effective.

Quote:
Originally Posted by Toothless Tommy
Head office staff ( better known as "professional email senders " do )

Have a solution for you Tommy: stop whining and become one of the "professional email senders"...

Quote:
Originally Posted by Toothless Tommy
if reps sell more for the company then let them be compensated properly .
.


There is no "proper" in economics You are being compensated according to the net profit you bring, and with the cost of your salaries, training, insurance and real estate it is much less than resulting from an alternate channels (web, chain store etc) sales hence the decreasing compensation.
Quote:
Originally Posted by Toothless Tommy
You get what you pay for - low wages = low caliber of reps = bigger churn - less profits - simple to figure out
.

"low caliber of reps"??? Let me remind you, you are a store clerk selling cellular service and equipment and not CISCO routers or applications.... You are not pitching cellular solutions to big business clients.... Wallmart, Best Buy and .com already sell more than you do. You get the drift?

Quote:
Originally Posted by Toothless Tommy
Also don't insult us here ( sales reps that are on the front lines all day ) saying Wallmart employees are on the same level as us . That is an off base comment . Think before you type and then run away all scared .
.

Oh, so I insulted you by putting you on the same level as Wallmart's, Best Buy's or Radio Shack's employees... Well, that's just funny and insulting to employees of the mentioned above companies so I am not even going to ask you how you would substantiate this claim...
By the way, logistics-wise Wallmart is one of the most effective and with the RFID roll out - advanced, operations out there.... Not to mention its revenue. Your coments are well off base here, buddy.
Quote:
Originally Posted by Toothless Tommy
I work in a corp store not a kiosk (once again you insult Cing employees that start out in kiosk's ). alot of great sales reps started there .
My education is a University degree by the way
.

Oh, I am sorry to put you in a kiosk when in fact you work in a store (which makes you what, a store clerk?)... But I am also really glad you did not mention the name of your school... Don't get me wrong, I drove a cab and had friends waiting tables while going to school but to say you got your degree so you could be a floor sales person is just wrong and a total waste. If you have a degree go out and do something adequate to your education and on par with your compensation requirements...

Get a hint Tommy, the whole economy took a hit after 9/11, people lost jobs, took paycuts left and right and you are whining cause you do not get as much as a school teacher with a PHD or a registered nurse working nights in a hospital...
Go and see what's available with your "University degree" out there.... Good luck to you Tommy on your quest for a better salary...



Posted by: johngotti

Quote:
Originally Posted by Telegraph
Why migrate over to Cingular and lose more minutes? Why migrate over to Cingular and receive a WORSE phone than you already have? Why migrate over to Cingular when the phone the customer has is still perfectly serviceable? Why migrate over to Cingular when a customer would have to PAY for a phone with the same exact features? Why migrate over to Cingular when they lie and say AT&T phones will NEVER be compatible with the new network (unlock, then send an OTA on the phone for the media services, wouldn't be too hard would it?). There really IS no reason to migrate. The smart customers will stay on their old plans as long as possible, pay full retail on a phone (albeit maybe even used refurbished phones) and stay until there is SOME incentive to migrate.


Then dont... no one is forcing you to yet.....



Posted by: chargebk

Quote:
Originally Posted by Seltzer
And this is why Verizon posted 1.9m adds vs. Cingular's 800k adds in 3q 05'. You can't replace *quality* sales and *quality* customer service.

Actually, the plan is to have COR takeover Indirect markets (not including National Retail).


Please note the last statement made by Seltzer is correct that Cingular is in the process of replacing their agent distribution. All I can say is, "WAR".

The only fact that Stan and his master plan is forgetting is that the AGENT is like a cockaroach we will live on NO MATTER WHAT!



Posted by: sheila627

at one point you could put an orange sim in your blue phone would work any former blue employees remember getting their orange phone the first thing we did was put our blue chips ion them and use them because it took forever to get them active



Posted by: theclarks1

Quote:
Originally Posted by sheila627
at one point you could put an orange sim in your blue phone would work any former blue employees remember getting their orange phone the first thing we did was put our blue chips ion them and use them because it took forever to get them active


This is still possible, you just have to know what and how to do it.



Posted by: Seltzer

Quote:
Originally Posted by duchski
No my friend. Cellular service like any other service: phone, electric, gas cable/satellite is a commodity. The only way to win new customers is on pricing and COR is way to expensive (cost of sale) to make it happen. Take the cost of maintaining the store, reals estate, salaries, training, insurance and divide it by number of activations in any given month.... That's why the plan is to go with Wally, BB and Radio Shack. And these channels already sell more than COR stores... You want to prove yourself in technology sales then go to CISCO, IBM etc. show what you can do and earn your 70G....


Then explain to me why ~65% of VZW's new subscribers come from their corporate stores.



Posted by: duchski

Quote:
Originally Posted by Seltzer
Then explain to me why ~65% of VZW's new subscribers come from their corporate stores.


I do not think this number is relevant. The customer in 2005 and 2006 is looking for low prices and the only way to deliver those by cutting cost including the average cost of sale which is much higher for a store than it is for web sales or "alternate channels".



Posted by: ivwshane

Quote:
Originally Posted by duchski
I do not think this number is relevant. The customer in 2005 and 2006 is looking for low prices and the only way to deliver those by cutting cost including the average cost of sale which is much higher for a store than it is for web sales or "alternate channels".



That's where I think you are wrong. Customers look for and expect low prices because the service and support (network quality, customer service at the call centers and in store) isn't good enough to warrant higher prices.

And the 65% from corp stores prove that. I don't see how you can discount that fact.

I'll make one observation about you duchski and that's that I believe you are from the school of thought where profits come from cost cutting. Whether this is true or not, only time will tell. But it's my belief that in a service based industry where many players offer similar service it's the level of quality that will differentiate the number one player from the number two player.
Not every industry can operate on the Dell model.



Posted by: SoCal91302

Quote:
Originally Posted by duchski
I do not think this number is relevant. The customer in 2005 and 2006 is looking for low prices and the only way to deliver those by cutting cost including the average cost of sale which is much higher for a store than it is for web sales or "alternate channels".


If price is the deciding factor with most of your clients, you live in a s**thole.



Posted by: SoCal91302

Quote:
Originally Posted by Toothless Tommy
I agree with you Chargebk . Cing will be number 2 very soon ( maybe number 3 ? ) for all the correct reasons mentioned on this forum .
We have bets on with top senior reps in my market to go for steak dinner when verizon passes us in 2 nd quarter 06 ???

How sad is that that top reps hate Crapular so much that they celebrate the competion passing us ??? Why ??? our pay has dropped big time and SAMgular has done very little to make it better .

.25 cents extra on features doesn't cut it !!!
I used to make $28. on a added FT line now I am forced to make $5.00 - beat it -- not worth my time - i will do a lousy $8.00 upgrade instead - less work .

It is Cing management fault for been greedy and hurting the sales reps pockets - How can you expect to get and keep top reps if they can't make over $50,000 p/y . anything less these days is chump change !!!!! well if you want to rent forever keep working at Cing .
but we all know that they want no university degree people and just 18 year olds - look at the reps now compared to 3-5 years ago . standard has dropped because pay is less - " you get what you pay for "



Ok I have to ask, who the hell is SAM? You seem to have chip on your shoulder about the guy.



Posted by: DjDynasty

Quote:
Originally Posted by duchski
Get a hint Tommy, the whole economy took a hit after 9/11, people lost jobs, took paycuts left and right and you are whining cause you do not get as much as a school teacher with a PHD or a registered nurse working nights in a hospital...
Go and see what's available with your "University degree" out there.... Good luck to you Tommy on your quest for a better salary...



I should point out that I have two Master's degree's in the computer field, a BA in French & Indian. I havn't offically worked (Filed taxes) since pre-9-11. Shortly after 9-11 I was downsized out of a IBM position. Ya know how I survive now? Secret shopping...and ripping sprint out of every dollar I can. There is such a thing as overqualified. And I see it every day with the latest stack of resume responces. What's worse is I'm actually trying to get in at a cell phone company. I know the industry, and with my degree's I'll shoot up the ranks quickly.



Posted by: duchski

Quote:
Originally Posted by ivwshane
That's where I think you are wrong. Customers look for and expect low prices because the service and support (network quality, customer service at the call centers and in store) isn't good enough to warrant higher prices.

I am sorry ivw, but that doesn't work this way, frankly you have it all backwards. Customers are not looking to spend more, they are looking to spend less. This is true for Joe Customer and for a big ABC corporation with offices right on Wall Street. Everybody is looking to optimize their spend i.e. get as much as possible for the least amount of money. Everybody who is in any type of sales sees that every day.
The cellular market in the US is finally maturing and the differences between networks of particular carriers are diminishing or none hence the price becoming a decisive factor. Commodity market, that the keyword here.
Having said that I realize there are exceptions. I for that matter utilize my phone as a business tool, travel a lot (including abroad) and have a PDA with unlimited data. It does make a difference in my case to have a GSM phone and service. But a typical customers couldn't care less about the technical aspects of their service but pay attention to the color of their RAZR and number of family minutes, and they will jump ships as soon as offered a monetary incentive...
Quote:
Originally Posted by ivwshane
And the 65% from corp stores prove that. I don't see how you can discount that fact.

Like I said number is just a number and when taken out of context is simply meaningless...
Quote:
Originally Posted by ivwshane
I'll make one observation about you duchski and that's that I believe you are from the school of thought where profits come from cost cutting.

No. Based on years of my business education I am lead to believe that profit is a result of a very simple equation where cost is ONE OF THE factors. If you believe otherwise you live in a dream world.
Quote:
Originally Posted by ivwshane
Whether this is true or not, only time will tell. But it's my belief that in a service based industry where many players offer similar service it's the level of quality that will differentiate the number one player from the number two player.

I do not thinks so. I think this model (cellular) follows a typical commodity/utility model where service levels are so similar that the only differentiator for most consumers (not businesses with mission critical considerations) is price. And even in the big business sector price is more and more important as one of the agendas of a typical telecom manager is finding savings.... World in 2005 and 2006 is run by accountants. Days of a happy spend are long over.

I understand where you come from and how you try to protect your jobs but when looking at the big picture you have to realize that with diminishing profit margins the cost of sale becomes an issue to the extent that it makes sense to move your sales from expensive channels (face-to-face) to less expensive ones (.com, alternate, chain stores etc.) You may not believe what is the cost of maintaining a typical store i.e. real estate, compensation, training, support, insurance , mar-com versus production i.e. generated revenue. When profit margins are going down you save the business by cutting costs. On a big scale there is no third way...



Posted by: suicidal2af

Quote:
Originally Posted by duchski
I am sorry ivw, but that doesn't work this way, frankly you have it all backwards. Customers are not looking to spend more, they are looking to spend less. This is true for Joe Customer and for a big ABC corporation with offices right on Wall Street. Everybody is looking to optimize their spend i.e. get as much as possible for the least amount of money. Everybody who is in any type of sales sees that every day.
The cellular market in the US is finally maturing and the differences between networks of particular carriers are diminishing or none hence the price becoming a decisive factor. Commodity market, that the keyword here.
Having said that I realize there are exceptions. I for that matter utilize my phone as a business tool, travel a lot (including abroad) and have a PDA with unlimited data. It does make a difference in my case to have a GSM phone and service. But a typical customers couldn't care less about the technical aspects of their service but pay attention to the color of their RAZR and number of family minutes, and they will jump ships as soon as offered a monetary incentive...

Like I said number is just a number and when taken out of context is simply meaningless...

No. Based on years of my business education I am lead to believe that profit is a result of a very simple equation where cost is ONE OF THE factors. If you believe otherwise you live in a dream world.

I do not thinks so. I think this model (cellular) follows a typical commodity/utility model where service levels are so similar that the only differentiator for most consumers (not businesses with mission critical considerations) is price. And even in the big business sector price is more and more important as one of the agendas of a typical telecom manager is finding savings.... World in 2005 and 2006 is run by accountants. Days of a happy spend are long over.

I understand where you come from and how you try to protect your jobs but when looking at the big picture you have to realize that with diminishing profit margins the cost of sale becomes an issue to the extent that it makes sense to move your sales from expensive channels (face-to-face) to less expensive ones (.com, alternate, chain stores etc.) You may not believe what is the cost of maintaining a typical store i.e. real estate, compensation, training, support, insurance , mar-com versus production i.e. generated revenue. When profit margins are going down you save the business by cutting costs. On a big scale there is no third way...


I've been on both sides of the fence.

On this side, I rarely have someone walk because of lower internet pricing. I rarely have someone walk because inphonic has the same phone $300 less. I very rarely get the "Walmart has accessories for less, I'll just get them there."

Reps here work harder. We're also compensated *much* better for what we do. Customers on the whole are much, much happier...and when people get better service, they're willing to pay more money.

What you fail to realize is that indirects/internet etc do have a lower cost of acquisition -- but they also, on the whole, generate less accessory revenue, less add-a-lines, and much lower tiered plans. Some companies realize this -- others don't.



Posted by: CA

Quote:
On this side, I rarely have someone walk because of lower internet pricing. I rarely have someone walk because inphonic has the same phone $300 less. I very rarely get the "Walmart has accessories for less, I'll just get them there."
I don't doubt that. But what the things you have to realize are several.

People that venture into your store do so on their own accord and are willing to go that route and all is well. However there is a never ending exodus from B&M into the .com world that you don't see. The reasons are many, I am acutely aware of the power of documentation that is currently only available on the Net. You could argue that a Carrier publishes printed documentation but it may be overshadowed by an eager sales person. The net is another story as it has to stand alone.

Online shopping is a relatively new marketing technique. As broadband proliferates and developers become market aware the whole buy/couch potato becomes more commonplace.

Let's compare: Today if you order online in most places you are remembered(shopping cart) when you hit submit you get a scripted email conformation with documented tracking(carriers don't get this yet, but the day will come) and a 3rd party tracking number. No bull ****!

You just have to look at the facts about the increase of online ordering.

And by the way it costs the carrier 10 cents against your Dollar.



Posted by: duchski

Quote:
Originally Posted by suicidal2af
I've been on both sides of the fence.

On this side, I rarely have someone walk because of lower internet pricing. I rarely have someone walk because inphonic has the same phone $300 less. I very rarely get the "Walmart has accessories for less, I'll just get them there."
.


If you do not see something that does not meen that it doesn't exist or happens.... I would think that most of the time the customers drawn by lower prices at .com, Wallmart or Best Buy do not even make it to your store... As I see it customers today are much different than let's say 5 or 3 years ago, much savvier much more educated and very seldom looking for their first service. They have a reference to which they compare their service and rates.... They also have more outlets available to them... Like I said cellular, like landline telephone before and PCs much later, became a commodity with all the implications to the providers...
I still think that for 90% of customers the price is a major factor while choosing providers or equipment and current advertising fully reflects that...



Posted by: MrAlifEkin

If price is as big of a factor as you say it is (yes it is important, but i don't think it's THE main thing). Why is Verizon pulling ahead of Cingular AGAIN? They don't have the cheapest prices when it comes to phones and service. Me thinks that Customer Service serves as much of a factor as pricing if not more. What better example can you think of than that? I'll be the first to admit that Cingular doesn't have the best CS. But even with their cheap phones you can get online, at best buy, and at walmart Cingular still can't compare.



Posted by: duchski

Quote:
Originally Posted by MrAlifEkin
If price is as big of a factor as you say it is (yes it is important, but i don't think it's THE main thing). Why is Verizon pulling ahead of Cingular AGAIN? They don't have the cheapest prices when it comes to phones and service.

If they do or don't that's another topic... IMHO one of the reasons that that VZW so successful is the brand itself, not by concidence VZW is the is the king in VZ's Corp. coverage area... Do not forget, you are talking about number two telecom company in the US, familiar name to milions of customers...
Now, we all know who is number one and why it makes perfect sense to change CING's brand name to something more familiar.......
Another reason is VZW's advertising. I do not think anybody else spends as much as VZW and it is all good advertising, annoying but catchy...
Quote:
Originally Posted by MrAlifEkin
Me thinks that Customer Service serves as much of a factor as pricing if not more. What better example can you think of than that? I'll be the first to admit that Cingular doesn't have the best CS. But even with their cheap phones you can get online, at best buy, and at walmart Cingular still can't compare.

There is no good customer service. Customers call in when there is already an issue about which they are aggravated... First fix the billing then control your mar-com and sales force and the number of calls to customer care will drop... Customer care is a necessary evil, very seldom perceived by a customer as a benefit, but rather as a patch over imperfect processes...



Posted by: ivwshane

So verizon does well because of it's name? And how do you think verizon got a good reputation?
Having a low quality network? Hiring low quality employees? Having low priced rate plans?

No they have good brand recognition becaue they have a high quality network, they hire higher quality employees (compared to cingular), and they have reasonable rate plans.

How do you think they developed a quality network? By cutting costs? No they made/make huge investments in their network. How do they employ higher quality reps? By better training and by providing good compensation to those reps. Why are their plans reasonable? Because people see the value they get with paying a little more, they get better customer service, they get a better quality more reliable network.

Now lets look at your approach you learned in business school: Cingular has taken cost cutting measures inlcuding but not limited to lowering pay, outsourcing, reducing alternative revenue resources, ie agents and dealers. They offer rate plans that are cheaper compared to their competition when factoring price and mintutes together, they offer lower/free priced phones compared to verizon.

Based on those two strategies who do you think is a: bringing in more customers b: making more profit?
According to you cingular should be number one in customer adds and number one in profit, yet neither is true.
And it's not like verizon is barely beating cingular quarter after quarter, they are stomping on them!

So tell me again how I got it backwards? Tell me how verizon adds more customers per quarter than cingular yet their overall product is more expensive than cingular.


And just for the record, I'm not trying to save my job, I don't work for cingular any more. I'm making my statements based off of observations not feelings, not business models but based off of whats happening in the real world.



Posted by: ivwshane

Quote:
Originally Posted by duchski

There is no good customer service. Customers call in when there is already an issue about which they are aggravated... First fix the billing then control your mar-com and sales force and the number of calls to customer care will drop... Customer care is a necessary evil, very seldom perceived by a customer as a benefit, but rather as a patch over imperfect processes...


So customers only call in when there is an issue? They don't call in to make rate plan changes? They don't call in to see what the cost of adding a family member is? They don't call in because they want to add/remove features? They don't call in because they saw a deal on tv and want to know the details? They don't call in to check their minutes? They don't call in to pay bills? They don't call in to inquire about what their current plan is? They don't call in to find out about additional services verizon offers like wireless cards? They don't call in to find store locations and store hours?

I don't know about you but when I purchase a product or service from a company I want to know that when I call, whether it's about an issue I've created for myself or because of a billing issue, that the other person on the other end is competent, and is someone that wants to help me resolve the issue. And as a consumer I do find it reassuring that the company I'm dealing with does have good customer service. A case in point; I shop at newegg.com as opposed to other online retailers that have cheaper prices because of neweggs customer service. You mean to tell me I'm the only one like this? Give me a break.



Posted by: Reaper0Bot0

I swear by Newegg for the very same reason. They have superb service. When I shop for a carrier, I need to know they can do the job.



Posted by: duchski

Quote:
Originally Posted by ivwshane
So customers only call in when there is an issue? They don't call in to make rate plan changes? They don't call in to see what the cost of adding a family member is? They don't call in because they want to add/remove features?


You are right I was not precise. What you described mean for me telesales and not customer care which deasl with billing issues etc. Diffrent prompt in the IVR.

Quote:
Originally Posted by ivwshane
They don't call in because they saw a deal on tv and want to know the details? They don't call in to check their minutes? They don't call in to pay bills? They don't call in to inquire about what their current plan is? They don't call in to find out about additional services verizon offers like wireless cards? They don't call in to find store locations and store hours?
. A case in point; I shop at newegg.com as opposed to other online retailers that have cheaper prices because of neweggs customer service. You mean to tell me I'm the only one like this? Give me a break.


No you are not the only one. But most customers prefer Walmarts and Best Buys over specialized and uspcale retailers just because of pricing.



Posted by: Lambert

Quote:
Originally Posted by ivwshane
So verizon does well because of it's name? And how do you think verizon got a good reputation?
Having a low quality network? Hiring low quality employees? Having low priced rate plans?

No they have good brand recognition becaue they have a high quality network, they hire higher quality employees (compared to cingular), and they have reasonable rate plans.

How do you think they developed a quality network? By cutting costs? No they made/make huge investments in their network. How do they employ higher quality reps? By better training and by providing good compensation to those reps. Why are their plans reasonable? Because people see the value they get with paying a little more, they get better customer service, they get a better quality more reliable network.

Now lets look at your approach you learned in business school: Cingular has taken cost cutting measures inlcuding but not limited to lowering pay, outsourcing, reducing alternative revenue resources, ie agents and dealers. They offer rate plans that are cheaper compared to their competition when factoring price and mintutes together, they offer lower/free priced phones compared to verizon.

Based on those two strategies who do you think is a: bringing in more customers b: making more profit?
According to you cingular should be number one in customer adds and number one in profit, yet neither is true.
And it's not like verizon is barely beating cingular quarter after quarter, they are stomping on them!

So tell me again how I got it backwards? Tell me how verizon adds more customers per quarter than cingular yet their overall product is more expensive than cingular.


And just for the record, I'm not trying to save my job, I don't work for cingular any more. I'm making my statements based off of observations not feelings, not business models but based off of whats happening in the real world.



No matter how much you whine about Cingular cutting your pay, the fact remains they are the larger provider.. again. Oh, and I cant WAIT to see the figures now that Radio Shack has kicked their a$$ to the curb and is selling Cingular.

And where do you get this ***** about Verizon employees being better than Cingular? Thats a pretty ignorant statement.



Posted by: ivwshane

Quote:
Originally Posted by Lambert
No matter how much you whine about Cingular cutting your pay, the fact remains they are the larger provider.. again. Oh, and I cant WAIT to see the figures now that Radio Shack has kicked their a$$ to the curb and is selling Cingular.

And where do you get this ***** about Verizon employees being better than Cingular? Thats a pretty ignorant statement.


Cingular right now is the larger provider but if they continue on the path they are one they wont be for long.

So you think radio shack is going to make up the million customer difference between verizon's and cingulars quarterly adds? Sure

I get my information from customer service survey's, consumer reports (who I hate) and from j.d. powers. So my statement is not ignorant but based on fact. Where do you get yours from?



Posted by: ivwshane

Quote:
Originally Posted by duchski
You are right I was not precise. What you described mean for me telesales and not customer care which deasl with billing issues etc. Diffrent prompt in the IVR.



I'm sorry I don't understand what you are saying.



Posted by: Lambert

Quote:
Originally Posted by ivwshane
Cingular right now is the larger provider but if they continue on the path they are one they wont be for long.

So you think radio shack is going to make up the million customer difference between verizon's and cingulars quarterly adds? Sure

I get my information from customer service survey's, consumer reports (who I hate) and from j.d. powers. So my statement is not ignorant but based on fact. Where do you get yours from?


The fact that I work for Cingular, and would not consider myself or my co-workers to be inferior to those at Verizon. I guess I take your post personally. In your opinion, does salary denote quality?

As far as RS goes, it can't hurt.



Posted by: ivwshane

Quote:
Originally Posted by Lambert
The fact that I work for Cingular, and would not consider myself or my co-workers to be inferior to those at Verizon. I guess I take your post personally. In your opinion, does salary denote quality?

As far as RS goes, it can't hurt.


And considering I worked for cingular and many of my friends work for cingular I didn't post it to mean they are inferior but rather as a whole, cingulars customer service is not at the same level as verizons or t-mo for that matter.

You and your co-workers may offer great customer service but that doesn't mean cingular as a whole does.

It's a fact, it's not an opinion. If you want to ignore that fact and take it personal then you are missing the point.

Quote:
In your opinion, does salary denote quality?


No, but it does help to promote quality and is a factor along with training, morale, and management.

Quote:
As far as RS goes, it can't hurt.


Of course it can't hurt (not in the short term anyway) but like I said earlier, do you really think RS can make up a million add difference? I think not.



Posted by: CA

Quote:
IMHO one of the reasons that that VZW so successful is the brand itself,
Of course that's why it's a no brain-er. Why do people drive by Checkers and pull into McDonald's?

IMO if Cingular wants to be the "Standard" they must change CS. It has got to be a learning process. Getting by, using whatever method isn't good enough. They must accelerate the CS/systems update learning curve. What good does it do to either ignore or placate one customer at a time? It's like putting a finger in the dike. Fix it dam it!



Posted by: duchski

Quote:
Originally Posted by ivwshane
So verizon does well because of it's name? And how do you think verizon got a good reputation?


We are not talking about reputation but brand recognition. There are simply several milions of people who receive their landline bill with Verizon's name on it. Verzion is a houshold name in a big part of the US... Like I said before, VZW is the king in VZ Corp. operating area.

Quote:
Originally Posted by ivwshane
Cingular has taken cost cutting measures inlcuding but not limited to lowering pay, outsourcing, reducing alternative revenue resources, ie agents and dealers. They offer rate plans that are cheaper compared to their competition when factoring price and mintutes together, they offer lower/free priced phones compared to verizon.
So tell me again how I got it backwards? Tell me how verizon adds more customers per quarter than cingular yet their overall product is more expensive than cingular.


Read that post again then. Adds are just one of the numbers and it can change at any time. What I was talking about is that a "dealer model" to sell wireless might be a little outaded and too expensive for 2006...
Keyword is rates. And as far as comparing VZ and CING rates goes, I am not the expert. Maybe a VZ person can say if their are cheaper or not.
Quote:
Originally Posted by ivwshane
And just for the record, I'm not trying to save my job, I don't work for cingular any more. I'm making my statements based off of observations not feelings, not business models but based off of whats happening in the real world.


You just have to realize your observations are very limited in scope and people running a company have to look at much bigger one. Also, you never bothered to find out what is the cost of making a sale in your unit: after real estate, emp. compensation, training and insurance... Have you?



Posted by: Toothless Tommy

Quote:
Originally Posted by ivwshane
So verizon does well because of it's name? And how do you think verizon got a good reputation?
Having a low quality network? Hiring low quality employees? Having low priced rate plans?

No they have good brand recognition becaue they have a high quality network, they hire higher quality employees (compared to cingular), and they have reasonable rate plans.

How do you think they developed a quality network? By cutting costs? No they made/make huge investments in their network. How do they employ higher quality reps? By better training and by providing good compensation to those reps. Why are their plans reasonable? Because people see the value they get with paying a little more, they get better customer service, they get a better quality more reliable network.

Now lets look at your approach you learned in business school: Cingular has taken cost cutting measures inlcuding but not limited to lowering pay, outsourcing, reducing alternative revenue resources, ie agents and dealers. They offer rate plans that are cheaper compared to their competition when factoring price and mintutes together, they offer lower/free priced phones compared to verizon.

Based on those two strategies who do you think is a: bringing in more customers b: making more profit?
According to you cingular should be number one in customer adds and number one in profit, yet neither is true.
And it's not like verizon is barely beating cingular quarter after quarter, they are stomping on them!

So tell me again how I got it backwards? Tell me how verizon adds more customers per quarter than cingular yet their overall product is more expensive than cingular.


And just for the record, I'm not trying to save my job, I don't work for cingular any more. I'm making my statements based off of observations not feelings, not business models but based off of whats happening in the real world.


well written !! , Verizon once again will kick us ( better run company = simple to figure out ) and maybe a couple of other companies will to - this is because of very poor MGT and policies at Cing . Most reps i have worked with do a great job and try their best but most also end up quitting underr 12 months ( very frustrated usually ) and most of the time leaving for less money because they dont want " Confrontation " everyday in our short lives on this beautiful blue planet for a lousy 30-35000 p/y . This is how easy it is to hired at SAMgular - get friend to come and meet manager and then friend is hired at store - friend lasts 6 months then quits - repeated time and time again . !!! Do you think Verizon hires that easy - no way -
My days are numbered I make way more in equity p/y ( not boasting but a fact ) than i do my shrinking comm checks . But I really like my co-workers ( like family ) .

Also watch out for Duchski he/she likes to disect your rant / rave word by word and sentence by sentence ! Give me a break . Although some of his rants are well thought out and well written but not always right - But I must admit I do agree with him more than he/she knows . But Spock please dont pull out words and phrases .


Got to go back to Trailer Park now and drink wife wife and look at Football game - Toothless



Posted by: ivwshane

Quote:
Originally Posted by duchski
We are not talking about reputation but brand recognition. There are simply several milions of people who receive their landline bill with Verizon's name on it. Verzion is a houshold name in a big part of the US... Like I said before, VZW is the king in VZ Corp. operating area.


So you are telling me that verizon adds 500,000 to 1,000,000 more customers a quarter simply because consmers have or know of verizon landline service? Then explain why shortly after the merger took place (4th quarter 2004) cingular beat verizon in adds? You are telling me that verizons brand recognition all the sudden in the past year has really taken off and is why verizon has been adding more customers than cingular. And explain why t-mo posted better q3 results than cingular (over 1mill adds vs 900k adds for cingular).


Quote:
Also, you never bothered to find out what is the cost of making a sale in your unit: after real estate, emp. compensation, training and insurance... Have you?


Why do I need to find what the cost of a sale is at a retail location? What does that have to do with anything? Does verizon not have the same costs associated with retail stores?

You are telling me that the way carriers do business is changing, fine I agree with that, you are telling me that the only business model that will work is one that cuts costs as low as possible, I don't agree with that and I point to verizon as my reason and as my example. Where is your real world example of your business model? I'm sure you can find an example that's not related to this industry (dell is a pretty good one) but can you find a company that is operating like you said and is successful and is growing that is related to the cellular industry?



Posted by: ctk74

Quote:
Originally Posted by ivwshane
So you are telling me that verizon adds 500,000 to 1,000,000 more customers a quarter simply because consmers have or know of verizon landline service? Then explain why shortly after the merger took place (4th quarter 2004) cingular beat verizon in adds? You are telling me that verizons brand recognition all the sudden in the past year has really taken off and is why verizon has been adding more customers than cingular. And explain why t-mo posted better q3 results than cingular (over 1mill adds vs 900k adds for cingular).



I think the reason that Cingular had so many net adds that quarter is because no integration had taken part at that point. You essentially had 2 large companies with double the locations, reps, etc. and you were able to add Cingular + ATT to = New Cingular. Once the redundant locations start to decrease and consolidation occurs, those numbers decrease rapidly. I think that Sprint/Nextel will go though the exact same thing. The wireless landscape is changing. Look at all the consolidation that has happened in the last 2 years. ATT/Cingular, Sprint/Nextel (Nextel Partners, IWO, Alamosa, and all the other affiliates), Altell/WW (Midwest Wireless), etc. The U.S. is reaching saturation. In the future, (and I think the future is now) success will be based on keeping current customers happy. Not simply cranking out gross adds which can be very costly. Never underestimate the value of good customer service. I had the opportunity to lower my wireless bill by 50% with Sprint but ran away screaming because of the way they treat their customers. As one poster put it, life is to short and I will glady pay more for better customer service. This is not meant to be a slam on Cingular. I like reading all the boards to guage sentiment and felt compelled to chime in.



Posted by: CA

I'm wondering if/how prepay is figured into the net adds. Cingular actually has a better offering there. I also read it's now 30% on income.



Posted by: ivwshane

You are spot on! Customers saw the merger and had positive feelings towards it and flocked to cingular. Now after the integration is underway what do you think some of the consequences of the integration process have been? Do you think customer service has suffered? Do you think network quality has suffered? Probably and it was to be expected. What about rate plans, does the integration process affect rate plans? Not really.

Do you think a quality sales person can overcome the first two issues? I think so and I point to aws in 2003 and 2004 as my reasoning. I beleive had aws not had the quality reps they had, the business division would have been severly hurt, on the consumer side aws was lucky to stay where it was (except for a couple of quarters where it lost more customers than it gained but for the most part it stayed relatively even). Towards the end of 2004 aws was actually headed on track to recovery.

My point is this; If you have weaknesses that are not easily and quickly surmountable (in this case network quality) strengthen what you can and make stronger your strengths, in this case that would be customer service and rate plans. Cingular as it stands (before any pay increases really go into affect) is not doing very much to maintain or improve it's customer service. Cutting costs does nothing to improve that either which is why, in desprate times like this, cingular needs pay it's employees, at the very least, what they were making before the merger if not more.



Posted by: ivwshane

I think prepaid will become more mainstreem simply because americans credit quality is going down the drain.

We are quickly becoming a pay check to pay check society. If it wasn't for 401k people would have very little in the way of savings.



Posted by: duchski

Quote:
Originally Posted by ivwshane
So you are telling me that verizon adds 500,000 to 1,000,000 more customers a quarter simply because consmers have or know of verizon landline service? Then explain why shortly after the merger took place (4th quarter 2004) cingular beat verizon in adds?




You are asking me for something that I would have to charge you per hour to even get basic answers to... ) I am going to try though, free of charge, few of possible answers, pick the one you like...

1) Cingular calculated adds for both companies which combined gave a high number...
2) Cingular calculated ATTWS migrations as adds
3) Cingular name has been associated with a number 4 or 5 brand name in the world with respect to recognition: ATT which helped boosting sales

Quote:
Originally Posted by ivwshane

You are telling me that verizons brand recognition all the sudden in the past year has really taken off and is why verizon has been adding more customers than cingular. And explain why t-mo posted better q3 results than cingular (over 1mill adds vs 900k adds for cingular).



Cingular is still paying for the cost of ATTWS aquisition... These are growing pains to integrate the network, billing etc etc... They had a lot on their heads lately...

Quote:
Originally Posted by ivwshane

Why do I need to find what the cost of a sale is at a retail location? What does that have to do with anything?



It has to do with profits i.e. everything Profitability drives your compensation. And it also explains why focus is now being shifted to other sales channels... Store sales cost way too much money and profit margins are shrinking...
Quote:
Originally Posted by ivwshane

Does verizon not have the same costs associated with retail stores?


The probably do. And if they will want to stay effective they will have to follow. Do not be fulled, someone at VZW is also looking at balance sheet and trying to increase the profitability... Net adds are cool but waht reall counts is the proverbial bottom line...
Quote:
Originally Posted by ivwshane

Where is your real world example of your business model? I'm sure you can find an example that's not related to this industry (dell is a pretty good one) but can you find a company that is operating like you said and is successful and is growing that is related to the cellular industry?


Wake up and smell the roses. After 9/11 every company follows the same business model i.e. cutting cost as everybody is bracing for a crisis... Did you hear about customer care center jobs being moved to Philippines and tech support to India? Did you realize that most of production is being done now in China? You heard about GM's and Ford's problems??? Wake and look around. Also, find what jobs are available today with your education... I know dbase developers on unemployement. Something that was unheard of only 5 years ago... Their jobs are in Dubai now... You mention growth rate of cellular business but that is the thing of the past, too. Cellular market is getting very close to being saturated which means the growth rate will drastically fall... It's nothing new, same happened to every industry before...
If you are looking into fast money look somewhere else...



Posted by: kilowatt

duchski...your condescending attitude is very annoying.



Posted by: duchski

Quote:
Originally Posted by ivwshane
You are spot on! Customers saw the merger and had positive feelings towards it and flocked to cingular.


You got it backwards again. It was quite the opposite. ATTWS customers saw the merger as a threat are still leaving combined company... Check he numbers. ATT was/is American houshold brand and CING does not have the 1/4 of that power....

.
Quote:
Originally Posted by ivwshane
Do you think a quality sales person can overcome the first two issues?

Who cares about quality sales persons? Can you talk the customer to get a more expensive plans or equipment? Can you pursuade them into buying a service where there is no coverage? Remember this is 2006...

It happened thousand times before in other industries: market saturates and you have price wars (resulting in panicky cost cutting) consolidations/mergers and general survival of the fittest... In 2006 you have to snatch customers from other carriers which means the cost of an average customer aquisition is growing beyond making any business sense... (do you remember long distance carriers war of the 90's and its outcome?).
What CING should do should is be aquired/bough out by the new ATT and become a part of an overall telecomunication strategy i.e. all service provider for local/landline, broadband/DSL, LD, cable/video (Echo*) and wireless. All under one brand and preferably one bill. That's how you do it and that's how is this going to be done... You want to bet? )




Posted by: duchski

Quote:
Originally Posted by kilowatt
duchski...your condescending attitude is very annoying.



Nobody is forcing you to read my posts...



Posted by: ivwshane

Quote:
Who cares about quality sales persons? Can you talk the customer to get a more expensive plans or equipment? Can you pursuade them into buying a service where there is no coverage? Remember this is 2006...


Actually yes, I've seen it done. I personally never did that because that isn't good customer service. And when that customer, who went somewhere else because we didn't have coverage, is out of contract they will come back to cingular and see if they are an option. Had we not provided a good experience the first time they came in the chances of them coming back dwindles.






I really hope for your sake your predictions are true because if they aren't you had better start looking for a new career.


I'm done with this thread but I'll come back to it in a year and see how it turned out.



Posted by: suicidal2af

Quote:
Originally Posted by duchski
You are asking me for something that I would have to charge you per hour to even get basic answers to... ) I am going to try though, free of charge, few of possible answers, pick the one you like...

1) Cingular calculated adds for both companies which combined gave a high number...
2) Cingular calculated ATTWS migrations as adds
3) Cingular name has been associated with a number 4 or 5 brand name in the world with respect to recognition: ATT which helped boosting sales




Cingular is still paying for the cost of ATTWS aquisition... These are growing pains to integrate the network, billing etc etc... They had a lot on their heads lately...




It has to do with profits i.e. everything Profitability drives your compensation. And it also explains why focus is now being shifted to other sales channels... Store sales cost way too much money and profit margins are shrinking...


The probably do. And if they will want to stay effective they will have to follow. Do not be fulled, someone at VZW is also looking at balance sheet and trying to increase the profitability... Net adds are cool but waht reall counts is the proverbial bottom line...


Wake up and smell the roses. After 9/11 every company follows the same business model i.e. cutting cost as everybody is bracing for a crisis... Did you hear about customer care center jobs being moved to Philippines and tech support to India? Did you realize that most of production is being done now in China? You heard about GM's and Ford's problems??? Wake and look around. Also, find what jobs are available today with your education... I know dbase developers on unemployement. Something that was unheard of only 5 years ago... Their jobs are in Dubai now... You mention growth rate of cellular business but that is the thing of the past, too. Cellular market is getting very close to being saturated which means the growth rate will drastically fall... It's nothing new, same happened to every industry before...
If you are looking into fast money look somewhere else...



1) Migrations were never counted as adds.

2) Cingular didn't pay a cent for the acquisition. SBC paid for that. The only costs they have are integration, and they spend less money per year on network expansion/maintenance than verizon does.

3) Store sales cost more money. They also make more money: more accessories are sold[re: huge profit margin], more data services are sold, more add-a-lines are attached, and higher priceplans are upsold, in addition to generating more renewals, ergo revenue assurance[re: walk-in traffic]

4) Verizon stores have a *much* larger operating cost. Greeters in this market make 11.82/hr. The average sales rep(8-10 per store) is making 55K per year. Technicians are on-site, as well as customer service reps. Wanna talk about bottom line? Despite having an operating cost which is at the very least tenfold, they are *still* netting $3B more than what cingular is.

5) Don't even know where to start here. Customer care/tech support moving to india...yeah, welcome to 2000. Within the past few years, a very large portion of these call centers are being brought *back* to our shores because they don't save any money due to repeat calls and customer dissatisfaction. Most production in china? Yeah, for small things. When it comes to larger things, they're usually manufactured on this side of the ocean. Look at Honda, for example: their cars are built in the US, with the exception of the S2000 which is made in Japan. And Ford having trouble? Not really. They might not be making as much as, say, Toyota, but they're doing fine.

And finally, the cellular market only has ~50% saturation within the US. Countries like Japan and Korea are in the high 80%. There's a *lot* of room left before the market is truly saturated.

Quote:
No you are not the only one. But most customers prefer Walmarts and Best Buys over specialized and uspcale retailers just because of pricing.

So, would that explain why the local Best Buy did about 110 activations in December, and the closest store to them did 1200?



Posted by: duchski

Quote:
Originally Posted by suicidal2af

1) Migrations were never counted as adds.


Good to know but I think I gave several different explanations to the phenomenon, didn't I?

Quote:
Originally Posted by suicidal2af

2) Cingular didn't pay a cent for the acquisition. SBC paid for that. The only costs they have are integration, and they spend less money per year on network expansion/maintenance than verizon does.

First of all I thought that ATTWS was acquired by CINGULAR and not SBC directly and alone. Second, I meant a cost as in cost of integrating two companies and different systems and not even in actual $$ but quality that suffered as a result...
Quote:
Originally Posted by suicidal2af

3) Store sales cost more money. They also make more money: more accessories are sold[re: huge profit margin], more data services are sold, more add-a-lines are attached, and higher priceplans are upsold, in addition to generating more renewals, ergo revenue assurance[re: walk-in traffic]

So the store sales brings more and cost more and alt. channel sale cost less and brings less... What is the net result?
Quote:
Originally Posted by suicidal2af

4) Verizon stores have a *much* larger operating cost. Greeters in this market make 11.82/hr. The average sales rep(8-10 per store) is making 55K per year. Technicians are on-site, as well as customer service reps. Wanna talk about bottom line? Despite having an operating cost which is at the very least tenfold, they are *still* netting $3B more than what cingular is.

I have no idea about VZ's cost. All I know that store sales are getting more and more expensive while profit margins are shrinking... I do not thing VZ's model will survive a year...
Quote:
Originally Posted by suicidal2af

5) Don't even know where to start here. Customer care/tech support moving to india...yeah, welcome to 2000. Within the past few years, a very large portion of these call centers are being brought *back* to our shores because they don't save any money due to repeat calls and customer dissatisfaction.

I am sorry but you are wrong. More and more is being sent offshore. And not only tech support, customer service too...
Quote:
Originally Posted by suicidal2af

Most production in china? Yeah, for small things. When it comes to larger things, they're usually manufactured on this side of the ocean. Look at Honda, for example: their cars are built in the US, with the exception of the S2000 which is made in Japan.


Honda and other car makers do it so they do not have to pay duty tax... I am not sure what you meant by "larger things" but generally US manufacturing has gone south and east. Just look at almost everything you use today... BTW Where was your phone made? How about the PC you are using to type this post?

Quote:
Originally Posted by suicidal2af

And Ford having trouble? Not really. They might not be making as much as, say, Toyota, but they're doing fine.


No, they are not. They are closing half of their plants. Pretty same at GM. http://money.cnn.com/2005/12/07/new...osings/?cnn=yes

Quote:
Originally Posted by suicidal2af

And finally, the cellular market only has ~50% saturation within the US. Countries like Japan and Korea are in the high 80%. There's a *lot* of room left before the market is truly saturated.


Totaly different markets. The US cellular market is slowing down and everyone can see that...


Quote:
Originally Posted by suicidal2af

So, would that explain why the local Best Buy did about 110 activations in December, and the closest store to them did 1200?


You do not expect me to know every little detail about every little local market, do you?



Posted by: Gman-2006

Radio Shack averaged over a million acts per month for Verizon!!! Where are they going to make that up??

And the 65% of their acts coming from their COR locations is because they do not have the Indirect distribution that Cingular has.

I agree with some of the stuff that has been written in this forum but I caution that Cingular is not as bad as it seems.

AT&T gave away the farm when they found out that they were being bought out, that's why the customers are churning faster than before.

Before the merger AT&T's churn was somewhere in the 3-3.5 range in the NE. Now cingular is down to 2.2 in the NE.

Cingular is consolidating a lot of the stuff that a privately held company is allowed to do.

Mark my word that Verizon will not pass Cingular anytime soon and it will only happen if they buy out T-Mobile!!!!

Peace!!!!



Posted by: ctk74

There is NO WAY that Radio Shack was responsible for over 50% of Verizon activations a month. What is your source. Never mind, I don't expect an answer. Just saw that this is your first post which questions the validity. Also, Verizon would never buy T-Mobile. The whole CDMA versus GSM thing would probably get in the way.



Posted by: theclarks1

Quote:
Originally Posted by ctk74
There is NO WAY that Radio Shack was responsible for over 50% of Verizon activations a month. What is your source. Never mind, I don't expect an answer. Just saw that this is your first post which questions the validity. Also, Verizon would never buy T-Mobile. The whole CDMA versus GSM thing would probably get in the way.


I was going to post to that also but I didnt even waste a post.



Posted by: kilowatt

so you wasted a post to say you weren't going to waste a post? not sure why, but i wanted to use that smilie.



Posted by: theclarks1

Quote:
Originally Posted by kilowatt
so you wasted a post to say you weren't going to waste a post? not sure why, but i wanted to use that smilie.


I wasnt going to waste my time to make a post to what the guy said, but since the other fella made the post that I was going to make I was just agreeing with him.
There is NO WAY that Radio Shack was responsible for over 50% of Verizon activations a month. What is your source. Never mind, I don't expect an answer. Just saw that this is your first post which questions the validity. Also, Verizon would never buy T-Mobile. The whole CDMA versus GSM thing would probably get in the way.



Posted by: Gman-2006

you're right ctk74 I would never respond........

But to answer your question all you need to do is look at Radio Shacks numbers for the last year of Wireless sales and see that since they are the largest Wireless retailer in the US and they did 50% Sprint/Nextel and 50% Verizon by there account and they were responsible for over 24 million add-ons. 24/2=12 million. But I wouldn't expect you to know since you didn't check.

Thats OK....

I didn't expect you too....

Cingular's goals are very realistic and that is what has Verizon running.

When you combine two companies the size of Cingular and AT&T and start to incorporate their 45000+ cell towers into one high speed continous network it can take 12-18 months.

How many towers does Verizon currently have?????

Not enough!!!!!

All this info was available to you when the two companies merged.

You need to cut the fat to get to the good part of the steak and that is what Cingular is doing.

Who wants that disgruntled $32.99 customer with 800 anytime minutes and Unlimited N/W, who figures they deserve every thing that they get.

I applaud Cingular for telling that customer to take a hike and spend more money or go to T-Mobile/Verizon/SprintNextel, let them have that headache.

Verizon would like to have more of a international presence and that would be where T-Mobile comes in. Verizon was in the bidding for AT&T when that auction happened, so it would not surprise me that Verizon would buy out T-Mobile. Sprint is CDMA and Nextel is IDEN, two different technologies and frequencies. At least with Verizon and T-Mobile it woul be the 1900 frequency in most markets with a 850 Analog fall back for Verizon.

Any more questions????

Don't take it personally if I've offended you!!!!!



Posted by: ctk74

Quote:
Originally Posted by Gman-2006

Verizon would like to have more of a international presence and that would be where T-Mobile comes in. Verizon was in the bidding for AT&T when that auction happened, so it would not surprise me that Verizon would buy out T-Mobile.

Don't take it personally if I've offended you!!!!!


I think with the Radio Shack numbers the problem is that you are counting all handset sales as a new activation which would not be the case. So yes, Radio Shack may sell 25 million handsets a year, how many really are new activations? That would be the more important number. Also, I think you are a little confused on the merger & acquisition data. Verizon did not in any way bid for AT&T. Perhaps you were thinking of Vodafone? Ever heard of them? They happen to be the largest wireless provider in the world with somewhere north of 150 million customers. They also own 45% of Verizon Wireless. Perhaps it is possible that Vodafone would make a bid for T-Mobile but the parent companies (DT and Vodafone) are pretty fierce competitors in Europe so I don't see that happening. But then again as we have seen with the Nextel/Sprint merger....anything is possible.



Posted by: ivwshane

1 million acts a month? Interesting since verizon posts between 1.5-1.9 million net adds a quarter, and they have the lowest churn rate of any carrier!



Posted by: gregsmith59

Quote:
Originally Posted by ivwshane
1 million acts a month? Interesting since verizon posts between 1.5-1.9 million net adds a quarter, and they have the lowest churn rate of any carrier!

If Verizon has 1.5% churn and 50 million customers (roughly) that means they churn out 750,000 customers a month or 2.25 million a quarter. If they net add 1.7 million a quarter that means gross adds of 4 million a quarter or 1.3 million a month.

So it would be more than a little surprising to learn RS did 1.0 million adds a month. Verizon would probably just close their stores.



Posted by: suic