It seems lately due to the current state of the economy that everyone, corporations included, are trying to find ways to tighten their belts. Some of the results are, of course, cutting back on employee benefits, insurance, paid time off, or even withholding raises. The extreme case would be of course laying off people or closing locations. Last year, my place of employment closed the local location as a cost-cutting measure. Thankfully, due in large part to my mother-in-law had helped me get a job interview two days after the closing and I had a new job three weeks later.
However, this commentary is not about looking for jobs; it is about how companies are doing everything they can to justify nickle and diming (or in this case due to inflation quartering and dollaring) the consumer. Case-in-point, I received in the mail this week information from AT&T that starting in October they are increasing the cost of the insurance on phones from $4.99 to $6.99 a month. Which honestly $2.00 isn't a lot, but what happened to the days of when a company stood behind their product and services? Not many. Even my previous employer placed consumers over a barrel with their "limited lifetime warranty" which meant they would sell a consumer a replacement component (refurbished or in other words a used not always guaranteed a long lasting replacement) for a fee that depending on the product could range from $30.00 and up. The replacement would come with a 90-day warranty and if the replacement stopped working after 90-days then the customer would be charged again for the replacement fee or they could buy a new product at a slightly lower price than retail.
I understand companies have to make money, but they are charging the customer for products and services that normally in years past had no charge. No wonder this economy is in the crapper.
Before I continue, I will now add this disclaimer: This commentary, although is about how different companies dealing with the media are taking advantage of the consumer, may be seen by some as a rant on one or two companies in my examples, is not meant as such. I just had a lot of personal experience and/or was told by family members of their experiences with these companies.
I have never had much luck with cell-phones. I purchased my first cell phone and plan about two months before my 23rd birthday, due to being away from home for school and work. Since then I have gone through seven phones in almost 9 years. Now, before someone says something, I don't abuse my phones. They have never been dropped in the toilet, ran over by a car or thrown at a wall or anything like that. I didn't start text messaging until much later. So the phone was just used as a phone (imagine that concept!). The last two phones I went through were within a three week span over a month and a half ago. The phone I started with when we switched to AT&T lasted almost a year and a half (the longest any phone has lasted for me). The phone started beeping as if it were placed or removed from the charger while not being on the charger and couldn't make or receive calls. Since I had the warranty plan, I paid the deductible and was sent the next generation of the phone model (which I think is worse than the original, less storage space for photos) and within three weeks of getting it the slide up keyboard wouldn't fully slide up. By the way the phone was refurbished. Thankfully, since it was such a short time, I was sent the same model again (no charge because of it being so sort of a time) and couldn't be promised if it would be a brand new one or another refurbished model. So far no problems. Knock on wood.
Of course, since the employees are commissioned based at the AT&T stores, they want to try to line their pockets. Which I understand people have to make a living, but companies justify it to help their bottom line and pay less in wages to their employees. When I went in to talk to someone about the original phone's problems, instead of them trying to explain what was happening with my phone or offer a way to resolve the issue with the phone itself; I was first offered to buy a new phone with a new two-year agreement "since I am now eligible for an upgrade" at a higher price. When I explained I wasn't interested, he then proceeded to further explore my account and see that I had the insurance, why didn't they say at in the beginning? Hmm...
Since the agent and store wasn't going to be making money off of me due to warranty, the store didnt offer to replace the phone. They had to jump through hoops on the phone to a separate company that deals with the insurance to send me out a replacement phone. What great customer service. "We can't get you a phone today because we are greedy and already have your money from originally signing up with us and we could care less that you are not spending more money with us today so you are going to have to wait because you are not as important to us at this moment." They didn't say that of course, but that is what came across. Even AT&T's DSL internet service wanted to charge me for technical help since I didn't buy their overpriced modem/router and since I went and saved some money buying a different brand. They even told me that if I didn't get the modem working myself I would be charged for the service. I was able to do it without their help, but it is nice to know that it costs to do have anything done these days.
Greed from companies even go as far as getting people to pay for others bills. I can't remember exactly when, but seven years ago or so, my cousin, was getting payments taken out of his bank account from an internet provider (AOL, or someone similar) for his bill along with payments for people that were not paying. The company wanted their payment and didn't care where it came from. When my aunt got involved, they started dragging their feet on paying my cousin back for their error and ended up not giving him the whole amount back because their records only went back 6 months. They were taking payments out longer farther back than 6 months. It took threats to the company (taking the story to the news) to get them to pay up and then because of their "record keeping" my cousin wasn't fully paid back for all they took.
Recently, my wife and I decided to rearrange our den and living room setup by moving our television to the den. The room was originally the computer room and had a cable cord already in place to reconnect Directv. The problem occured when the cable line didn't have the signal from Directv, which we were told it have the signal did when it was installed. We were going to setup the wireless connection device for their "on-demand" programming and never did because of no phone line to hookup the DSL modem/router. I called Directv about the issue and was almost scolded for moving the device without a professional installer and was told that usually no signal was going to be going through that line if there was no television in that room. I counterdicted her statement by what the installer had told me. Even though the issue was their mistake, they were going to send someone out to change the issue since we were moving things around in the house, but of course at a fee. My wife was furious over this. They charged $49.99 to just have someone come out and change the lines in the house which shouldn't have been needed in the first place.
Directv wasn't going to waive the cost due to their error. The installer wasn't going to be out for a few days. I got thinking after the fact and figured out how to change the line myself with by only spending about $6.00. Call #1 Once I got everything working, I called Directv within 14 hours from the call to order the installer and it was two days until they were supposed to come to cancel the request. The request was cancelled and I was I would be refunded or not be charged for the service. I looked on my bank statement online later that week. They charged me for the service that they didn't do on the date the service was to have taken place. Call #2 I called once I realized what had happened hoping for a quick resolution. Which didn't happen.
I was told originally in the first call due to their error that it would take up to 30 days for the refund. Once I explained that I canceled the request two days before the service that I shouldn't have been charged, they and stated it would be take three to five business days. I waited and no refund. Call #3 I was explained the request wasn't fully closed and was again told 72 hours for the refund to take place and was given a confirmation number. I allowed 96 hours before calling to ensure there wasn't a delay. Call #4 I still hadn't received the refund which is now going into over 20 full days since the request was cancelled. Again, I was told it wasn't fully canceled. I tried to speak to a manager and was told they were on the phone. Hmmm...wonder what it could be about. At this moment I was yelling on the phone (I work and have worked as a CSR in call centers and I know what they go through, but I had enough after 4 attempts to get a refund). I was switched around and was on hold longer than I was talking to someone and was told again it was officially resolved and said it would be another 72 hours before I would be refunded. I asked what guarantee I had this would be the final call I had to make to ensure I would get my refund. The person on the other end couldn't answer that question. Seems like they know how bad their customer service is regarding trying to refund a customer for a canceled and non-used service.
After all of this the refund was made the next day (which from the original call was getting into their 30 day window). Of course, I wasn't told how many hoops and time it took just to get it back.
My final comment is regarding the increase Netflix has placed on their services for DVD through the mail and their streaming service. I enjoyed Netflix, during the time I had it, I cancelled it way before this change was announced. I had to use the service for a class. I read comments on both sides of the argument that based on what they offer Netflix is a good service at a fair price. In a sense even their increase is justified to keep offering more options for their consumers. However, I see the other side of the coin too that their original low price is what made them the force that they are in media streaming and rental service. Even jumping up their prices for both hurt those that can't afford cable or satelite service and wanted to at least have other options for entertainment aside from their local channels. I think companies have their justifications for what they do to make them profitable and make their bottom like look good, but at what price though? The negative press Netflix got would if, I were someone considering it for the first time very concerned or even shy away from using them if their keep bumping up their prices. They already did at the end of last year.
Readers, I am not trying to be a sore person, but as a consumer trying to live within certain means and have some entertainment and the necessary means to communicate; companies need to start catering more to the ones that support them instead of turning against them just to have their bottom line.
