Policies for losing customers

It not uncommon to see mobile phone providers offering phones for free, or at a substantial cost reduction once you agree to sign a one or two year contract. Why is it that this can’ t be offered to existing customers whose current contract has ended and who are prepared to sign a new contract? After all, it is cheaper for a company to keep a customer than to try and earn a new one.

I was a T-Mobile customer for the last year and my contract was due to expire in 3 weeks time. I decided that I wanted to get a new phone with both Bluetooth and a camera. I checked the T-Mobile website and they were offering such a phone for free to new customers with a 1-year contract.

Armed with this information, I called T-Mobile to find out if I can get this same deal by signing a new contract. I was told I couldn’t and the best they could do was sell me the phone for about $70 and I would have to sign a 2-year contract. This is despite the fact that new customers would only be required to sign a 1-yr contract. Also, I would have had to buy 2 phones since I had a family plan and I wanted to upgrade the second phone on that plan as well. This was even going though their retentions department and they knowing that I was prepared to change providers.  Maybe they figured they could call my bluff?

Well, because of T-Mobile’s policy, I was forced to move and I’m now a Cingular customer. I got 2 phones with the features I wanted and for free, and with the number portability, I was able to keep my phone numbers from T-Mobile, so there would be no disruption for people trying to call me.

When will these companies learn…or maybe T-Mobile has enough customers and they are willing to lose me as a customer. When my Cingular contract is up, I may well go back to T-Mobile, assuming they offer me a great deal, but for now, I get to enjoy my free Bluetooth and camera phone.

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