[wavejockglw]

"O2 has said 90 per cent of customers eligible for its ‘Refresh’ tariff have chosen it, with the figure rising to 95 per cent for iPhone customers.

The tariff, launched April 12, separates the cost of the handset from the contract, allowing customers to upgrade their handset mid-contract without having to pay off the remaining months first.

Out of those customers purchasing phones on which O2 Refresh is available, 90 per cent have chosen the tariff."


http://www.mobilenewscwp.co.uk/2013/...ned-customers/

Customers seem to like the Refresh concept.

[Thine Wonk]

It's just the option to upgrade at any point right? they don't actually have to, so who would say no to the 'option' to upgrade at a later point if they won't.

Apart from that the only difference is showing you the phone cost vs the tariff, which some say is leading them towards the end of handset subsidy, although I don't agree with the people saying that is why they are doing it.

[Step666]

How many people are talked into it by staff? They are targeted on these new tariffs after all.
How many people couldn't care less which type of tariff they're on provide the cost is right?

It's nice to see some attempt at genuine innovation but these numbers are meaningless.

[wavejockglw]

Quote:

Originally Posted by Step666

It's nice to see some attempt at genuine innovation but these numbers are meaningless.

Why meaningless? Some suggested that this type of initiative would not be attractive but clearly it seems to be.

Separating the handset and network services costs makes for a more flexible contract commitment and that should in the longer term please some customers who like to change phones more regularly that the 24 months that most contracts allow.

When is a success not a success? When it is something O2 have done that has been popular it would seem!

[The Lord Lucan]

When a company is desperate they innovate. I'll admit i like this and the wifi app, Telefonica has brought in some sensible ideas, but it's a phone network, I like fast data and decent coverage when on the move..

[Step666]

Quote:

Originally Posted by wavejockglw

Why meaningless? Some suggested that this type of initiative would not be attractive but clearly it seems to be.

Because it's not a measure of what customers are choosing, it's a measure of what they're being sold.
The two are not the same thing.

'Network pushes new tariffs, sells lots' is hardly newsworthy.

Quote:

Originally Posted by wavejockglw

Separating the handset and network services costs makes for a more flexible contract commitment and that should in the longer term please some customers who like to change phones more regularly that the 24 months that most contracts allow.

I never said it wasn't a better way of doing things, as I said it's nice to see companies shaking things up (though this isn't that innovative given the similarities to P4U's Jump product).
But that's a seprate matter entirely.

Quote:

Originally Posted by wavejockglw

When is a success not a success? When it is something O2 have done that has been popular it would seem!

When is a news story not a new story, when it's wavelock posting about O2.
Or Three.
Or EE.


And how is this a success?
Do the Refresh tariffs generate more revenue for O2? Unlikely given the total costs are generally identical to the non-Refresh tariffs.
Has it lead to a massive increase in customer numbers?
How exactly does selling one tariff over another constitute a success? Enlighten me, please.

[psionic]

It really should have been like this throughout from the start. Separating the handset/tariff components of the costs and allowing mid-term upgrades/trade-ins is surely win-win for everyone?

I've been SIM only for ages now.

[spendleb]

Quote:

Originally Posted by Step666

How many people are talked into it by staff? They are targeted on these new tariffs after all.
How many people couldn't care less which type of tariff they're on provide the cost is right?

It's nice to see some attempt at genuine innovation but these numbers are meaningless.

I upgraded last week and they never once mentioned this tariff

[Everything Goes]

Quote:

Originally Posted by spendleb

I upgraded last week and they never once mentioned this tariff

I think you may be able to change tariff under 14 day return rule.

[spendleb]

Quote:

Originally Posted by Everything Goes

I think you may be able to change tariff under 14 day return rule.

Just tried and they said I was a week too early for the tariff

[alcockell]

What about firmware updates for the phone? or is Telefonica's infrastructure so piss-poor they're going with the split phones so they won't have to support them for as long?

[jwball]

Quote:

Originally Posted by spendleb

Just tried and they said I was a week too early for the tariff

That's a load of rubbish, I'm pretty sure they were offering the refresh tariff 3 weeks ago when I called them to cancel my contract.

Edit: It was launched on the 12th April! Ring them back

[Quackers]

If EE were to do it i would take it too. I have said for years that the phone and the tariff should be separate as its distorts the cost of the phone to users, making them separate people might be more aware of the value of them. I think most just see free phone and forget its a £500 device.

[Mandark]

Bought my O2 handset through Carphone Warehouse. Can't get refresh through them

[legends wear 7]

Better off buying the phone sim free and going on a shorter simo contract.

[Steven L Hunter]

It's a really good idea but looking into it more there are 2 flaws I notice:

1. If you choose to leave and pay off your phone contract they will only waive the remaining airtime side if you stay with O2 and upgrade with them.

2. When you compare them with other networks most are far more expensive deals than you can get so really you are still paying for it all.

[legends wear 7]

Aye just like jump its a very expensive way to upgrade when you want and if happy to go full term there is better value to be had in the market from regular deals over 24 and 12 months.

[cunningham1471]

I was looking at this Refresh thingy and it looks like cobblers to me

Sony Xperia Z Black

To buy it on PAYG it's £499 where as to get the same phone on Refresh the phone costs £600. No matter which option/rate you choose, the payments adjust but the cost of the phone stays the same at £600.



This is the breakdown they had.

3 Choose a Phone Plan

The more you pay today, the less you’ll pay each month.


Pay £0.00 today. Then 24 payments of £15.00 a month............. This makes the phone cost £360
Pay £249.99 today. Then 24 payments of £10.00 a month........... This makes the phone cost £489
Pay £600.00 today. Then 24 payments of £0.00 a month.............. This makes the phone cost £600


This was on a link that you have to click to read and most people likely wouldn't. if I hadn't I wouldn't have spotted this.

Representative example

24 months - Duration of agreement
£600.00 - Phone cash price
£0.00 - Upfront cost
£360.00 - Credit amount
0% - Interest rate (fixed)
0% - Representative APR
£15.00 - Monthly phone payment
£360.00 - Phone amount payable



So it actually pays to go for the pay nothing, pay the higher rate of £15 and then if you want to upgrade later the outstanding balance you have to pay off is cheaper than what you paid for the other two options.

That's a bit naughty, doing it in such a way that people may pay a deposit to reduce their monthly payments not realising the phone works out dearer that way.