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The main problem is that if you want to switch to the new 256/128Kbps JetStream Surf plans, you have to wait until the end of your billing period.

Even telecom admits that it is "hindered by its billing system" -- so what gives?

Yes, we know that such systems can't be implemented or altered overnight. Any problems or errors could have a hugely negative impact on the company's cashflow and that would not be good for Theresa's bonuses.

But come on, this is 2004 and the market demands that suppliers be flexible in the way they operate.

Surely some of those many hundreds of millions of dollars profit that Telecom returns every year could be put into offering a better way of managing its billing?

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Or could it be that, once again, Telecom can rest comfortably on its monopolies (DSL, local loop, etc) to the extent that providing the level of service that customers demand isn't really all that important after all?

Why should "Customer A" have to wait almost an entire month to get the service he requires simply because his billing period started the day before that service was released -- whereas "Customer B" was able to be provisioned the very next day?

I bet you any money you like that if there were an alternative provider of DSL services with the same reach as Telecom, you'd see the encumbent bending over backwards to make sure you were up and running within hours -- regardless of things such as billing cycles.

Why is it that Telecom can provide you with any of their value-add services (such as the Smart Phone range or changes to your toll plan) in an instant but can't change your DSL plan for up to a month?

And, if you're someone who's been using Telecom's toll services, don't you feel just a little bit ticked off that your loyalty to the company is now costing you money?

That's right -- if you're *NOT* a good, loyal Telecom tolls customer, you can return to the fold and get a 25% discount over and above existing customers, *PLUS* a $50 credit for doing so.

Ain't that a smack in the face for loyal Telecom customers?

Well not quite. When I rang this morning and said that I'd like to move my toll services to another provider for a week and then bring them back so that I could claim the 25% discount and $50 credit, Telecom offered me the 25% discount if I stayed -- even though I was an existing customer.

I know this is a common marketing strategy but those who use it should always remember that it does tend to devalue and alienate their most valuable customers -- not something you really want to do in a competitive environment is it?

Perhaps Telecom's competitors can leverage the resentment this may foster by running parallel campaigns that offer discounts not only to *new* customers, but also to existing ones. Alternatively they could offer a sliding scale of discounts or credits based on the length of time a customer has stayed with them. These are fairer strategies and ones that would certainly attract *and keep* my business.

In the meantime -- if you're a Telecom tolls customer -- ring 123 now and tell them that you're planning to take your business elsewhere for a week then bring it back to claim the discount and credit -- you might save yourself 25% on your toll calls for the next 6 months.

Or better still -- look closely at the other toll-provider options, you may find that even with the limited period of 25% discount, Telecom isn't the best option. (obligatory mention of the sponsor's products goes here :-)

Oh well, it's clear that all's fair in love and competition in the toll market.

Footnote: Maybe it's just the internet aspect of Telecom's business that is resistant to change. After all, they forged some close ties with Microsoft several years ago and now operate the XtraMSN website -- but the FavIcon file for that site still looks like this: http://www.xtramsn.co.nz/favicon.ico. Oops! :-)

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