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New vs. Existing Customer Costs
WSH
Member

I have been a Verzion customer for a number of years.  Now I would like to upgrade from a basic phone to a smart phone.  On the phone I want, the best price I can find for a present customer is $199.  If I was a new customer, the price would be $49-69.  What is going on?  Since I have been a good customer for years I have to pay more?  What kind of company is this?

WSH

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Re: New vs. Existing Customer Costs
rcschnoor
Sr. Leader
Sr. Leader

What phone are you getting these prices? For the majority of phones, you will get the same price whether you are a current or new customer. You must be eligible for the discounted price, though, by completing 20 months of your 2yr contract from your last upgrade where you got a discount on that phone and you must be willing to sign a new 2yr contract.

If you are not eligible by the terms above, or are unwilling to sign a new 2yr contract, you WILL have to pay the full retail price of the phone which IS much higher than the discounted price.

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Re: New vs. Existing Customer Costs
WSH
Member

I am looking at a Motorola Droid Razr Black 16GB phone. The new customer price is $49.99 and the existing customer price is $199.99. I am sure you are giving them a discount for new customers, but I still think a difference of $150 is too much.

William Huebner

From: rcschnoor

Sent: Friday, March 02, 2012 7:55 AM

To: William Huebner

Subject: - Re: New vs. Existing Customer Costs

Re: New vs. Existing Customer Costs

created by rcschnoor in Voice and Broadband Calling Plans - View the full discussion

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Re: New vs. Existing Customer Costs
rcschnoor
Sr. Leader
Sr. Leader

WSH wrote:

I am looking at a Motorola Droid Razr Black 16GB phone.  The new customer price is $49.99 and the existing customer price is $199.99.  I am sure you are giving them a discount for new customers, but I still think a difference of $150 is too much.

I guess I just don't see the discount. When I add this same phone "as a new customer" on the Verizon website, it shows up in my cart as $199.99.

It seems as if you are looking at this phone at a 3rd party retailer such as Amazon. If this is the case, you need to complain to Amazon(or whichever retailer you are using) as they are giving you the "extra" discount, not Verizon. If you purchase the phone from Verizon, you will get the same price whether you are a "new" or "current" customer.

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Re: New vs. Existing Customer Costs
WSH
Member

Here is what I received from Amazon: When you purchase a phone through AmazonWireless and extend your service plan or open a new line of service, your wireless provider pays AmazonWireless a commission. The commission we receive varies based on the type of service ordered on our website. We're paid a larger commission for new lines of service compared to upgrades, and in some cases more for individual upgrades than family upgrades. When we receive a higher commission we share that benefit with customers in the form of lower prices. Therefore, it is your company that is causing the higher cost for an upgrade of an existing customer.

From: rcschnoor

Sent: Friday, March 02, 2012 8:58 AM

To: William Huebner

Subject: - Re: New vs. Existing Customer Costs

Re: New vs. Existing Customer Costs

created by rcschnoor in Voice and Broadband Calling Plans - View the full discussion

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Re: New vs. Existing Customer Costs
rcschnoor
Sr. Leader
Sr. Leader

Like I said, AMAZON is giving "new" customers a better price. If you purchase the phone from Verizon, you will be treated the same whether or not you are a "new" customer or an "existing" customer.

Yes, Amazon does make money by selling a phone, otherwise why would they sell them? It is up to Amazon to determine HOW MUCH money they will make on the phones they sell, though. If they determine they want to share part of their comission for selling the device, that is up to them. Verizon does not set the pricing policies of Amazon, or any 3rd party retailer for that matter.

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