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Eircom's figures just don't add up (to me) for hi-speed. Another one for ASAI?

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  • 05-07-2002 11:59am
    #1
    Registered Users Posts: 944 ✭✭✭


    Just got a lovely letter from eircom explaining the huge benefits of eircom hi-speed at minimal cost.

    Ok what's this dealy with 49 cent a day?

    All prices excluding VAT.

    .49 x 365 = 177.85

    installation of hi-speed = 99.16

    monthly rental of hi-speed = 30.99

    monthly rental / 31 days (even though feb. has only 28) = €1 a day!

    So in the best case scenario for eircom's marketing department it works out at €1 a day, not 49c a day.

    In a normal case scenario

    installtion of hi-spped = 99.16
    year rental of hi-speed = 371.88

    year total = 471.04
    year total / 365 = €1.29 a day

    The lying rotten cheats! What's the e-mail address of the asai to report this to?

    Now luckily they do usually put an asterisk after it to say call charges are excluded, or at least terms and conditions apply.

    But let's just calculate the average usage as well.

    installtion of hi-spped = 99.16
    year rental of hi-speed = 371.88
    year long calls made on hi-speed (if you're lucky) = 1,200

    year total = 1671.04

    year total / 365 = €4.58 a day

    slight difference there boys. Now let's factor in the vat at 21%.

    Faster access for less with eircom hi-speed for only 554 cent a day*

    * all charges are fairly represented as an average usage of common net users.

    Hmmm ... I might make this my new sig.


Comments

  • Registered Users Posts: 944 ✭✭✭nahdoic


    Typed out word for word from eircom's marketing blurb

    Faster access - Better value

    We've reduce our prices so eircom hi-speed works out at just 49 cent a day, which makes it an even more cost effective option for your business. Install costs €99.16 ex VAT. and with a montly rental of just €30.99 VAT. it's never been a better time to get your business up to speed with eircom hi-speed.


    This in my opinion is a very controversial statement to make in your marketing blurb. They said "eircom hi-speed works out at just 49 cent a day". Can we hold Eircom to this? They made no allowance for the huge cost of eircom hi-speed calls. They said "eircom hi-speed works out at just 49 cent a day". No asterisks or anything. I'd love to sign up for eircom hi-speed if it were to actually work out at 49 cent a day. In that statement they are promising that eircom hi-speed will not cost more than 49 cent a day. And that's exactly what we all want! Imagine being able to get hi-speed net access and it would only cost you 49 cent a day. If it costs you any more they are breaking their commmitment made in that statement.

    "eircom hi-speed works out at just 49 cent a day"

    I want eircom hi-speed that works out at just 49 cent a day.

    Sign me up. Does anybody know the legal stance on making such a statement in advertising to their customers? Can we legally hold them to it? I think it was incredibly stupid of them to use the words "works out as" - cos "works out as" strongly implies the absolute final cost to you. And they make NO provisions for their call charges in that statement.


  • Registered Users Posts: 5,695 ✭✭✭jd


    mm marketing depts :rolleyes:

    I think they're excluding installation as it's once off, and taking the normal analogue rental from the high speed rental, averaging it out per day, et voila, 49c a day.
    At least they're generally prettier than techies though (c below))


  • Closed Accounts Posts: 6,925 ✭✭✭RainyDay


    Here's the link to lodge a complaint with the Advertising Standards Authority.


  • Registered Users Posts: 68,317 ✭✭✭✭seamus


    Originally posted by jd
    mm marketing depts :rolleyes:

    I think they're excluding installation as it's once off, and taking the normal analogue rental from the high speed rental, averaging it out per day, et voila, 49c a day.
    At least they're generally prettier than techies though (c below))

    Yep.

    ISDN Rental = €30.99/month
    PSTN Rental = €16.20/month

    14.79*12/365 = 48.63c/day

    So they rounded up (surprisingly) to 49 cents.

    Definitely one for the ASAI.

    At the very least the advertising should be worded:
    Eircom Hi-Speed - for only 49 cents extra per day*

    based on monthly rental for existing eircom customers. Does not include call charges.

    Someone submit that definitely (I can't 'cos I don't have a copy of the claims).

    By their reckoning - I'm not an eircom customer, nor have a phone line. Can I have ISDN for 49c a day? Thanks very much, that'll do nicely :rolleyes:


  • Closed Accounts Posts: 93 ✭✭PJ Hunt


    I recently set up my office.
    I ordered a new isdn connection.
    I was told it would cost 250 for installation ie. 2 channels, 2 numbers. plus 38 for rental.........ok
    Was told I would need an isdn modem (obviously)

    Box was installed (eventually) Modem arrived. Rang up to get settings


    To access the 2 channels at 128k you need to sign up for isdn access which costs 252 sign up fee.!!

    But u get the calls at half price they said...... but hang on...u need 2 channells to get 128 ala 2 calls...

    full price over 600 euro.....

    False advertising at its best... or should i say false advertising by omission

    So I decided to go else where ...... hang on...I cant

    Regards
    PJ
    www.yapireland.com


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  • Registered Users Posts: 2,265 ✭✭✭aidan_dunne


    Okay folks, here's something else to be looked at.

    The ads on the radio say, "Upgrade to Eircom Hi-Speed for just 49 cents per day." However, I got my phone bill today and what does it say on it? "Upgrade to Eircom Hi-Speed for just 59 cents per day."

    So, here we have two conflicting prices from Eircom, one in their radio advertising, another on their phone bills. Just thought I'd mention it and add another twist to the tale! :D


  • Registered Users Posts: 14,761 ✭✭✭✭Winters


    Originally posted by RainyDay
    Here's the link to lodge a complaint with the Advertising Standards Authority.

    /me adds to bookmarks

    Thats a handy link to have.. nice one :D


  • Registered Users Posts: 179 ✭✭infomat


    Originally posted by PJ Hunt
    I recently set up my office.
    I ordered a new isdn connection.
    I was told it would cost 250 for installation ie. 2 channels, 2 numbers. plus 38 for rental.........ok
    Was told I would need an isdn modem (obviously)

    Box was installed (eventually) Modem arrived. Rang up to get settings


    To access the 2 channels at 128k you need to sign up for isdn access which costs 252 sign up fee.!!

    But u get the calls at half price they said...... but hang on...u need 2 channells to get 128 ala 2 calls...

    full price over 600 euro.....

    False advertising at its best... or should i say false advertising by omission

    So I decided to go else where ...... hang on...I cant

    Regards
    PJ
    www.yapireland.com

    This is totally wrong ... I have ISDN since the beginning of last year. I paid £90 insallation plus £75 for a modem. I used UTV as my ISP connecting in single and dual channel modes and I have never paid them a penny (or even a cent).

    I visited the Eircom site a few minutes ago and searched of ISDN to find the following information:
    eircom hi-speed connection 119.99 Euro
    eircom hi-speed line rental per month 37.50 Euro
    This is a less expensive option than installing two analogue lines.

    I would suggest that you fax a formal complaint to Eircom.
    They supplied incorrect information
    They tried to con you into subscribing to Eircom.net's overpriced ISDN service.


  • Registered Users Posts: 179 ✭✭infomat


    Originally posted by aidan_dunne
    Okay folks, here's something else to be looked at.

    The ads on the radio say, "Upgrade to Eircom Hi-Speed for just 49 cents per day." However, I got my phone bill today and what does it say on it? "Upgrade to Eircom Hi-Speed for just 59 cents per day."

    So, here we have two conflicting prices from Eircom, one in their radio advertising, another on their phone bills. Just thought I'd mention it and add another twist to the tale! :D

    Try this on your calculatoe 49*1.21

    The 49 Cent price is less VAT
    The 59 Cent price is including VAT (rounded down).
    I am not sure if you are allowed to advertise products aimed at ordinary consumers at VAT free prices (in the UK you are not permitted to do this but PC magazines are an exception because the publishers claim that they are business publications).


  • Registered Users Posts: 5,695 ✭✭✭jd


    Originally posted by infomat


    They tried to con you into subscribing to Eircom.net's overpriced ISDN service.

    Just wondering did he ring eircomnet for the ta settings...


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  • Closed Accounts Posts: 6,718 ✭✭✭SkepticOne


    The fundamental thing about hi-speed/ISDN is that the service does not include Internet access. That is extra, whether you go for a subscription service from Eircom net or a pay-as-you-go service from UTVInternet or others.

    If you find ads in paper or radio/TV that suggest otherwise, then you may have a case with the ASAI.

    The other issue with Eircom subtracting the price of normal line rental from ISDN line rental seems a bit dodgy too. Worth persuing this.

    Note that web ads don't seem to count with the ASAI; it has to be traditional media.


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