[News] Price gouging, would we have a case? in Inside Insight http://www.dslreports.com/forum/r14900212 en Sun, 08 Nov 2009 13:52:14 EDT Sun, 08 Nov 2009 13:52:14 EDT Re: [News] Price gouging, would we have a case? http://www.dslreports.com/forum/remark,14919544 INTENS1 :
said by tirebiter See Profile :

Here's one "plus" customer that doesn't think it's worth it.
If you don't think it's "worth" it, why do you continue to pay the price they demand month after month? Maybe you feel that they could be charging you less, but you do apparently feel it's worth it since you keep paying it.

I do not feel that it's worth it, so I do not pay for the "plus" tier.
Just because I pay for it, doesn't guarantee I think it's worth the cost. As I stated in my post above, the part you [snipped out], the simple solution of dropping it is not always the answer to all.
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Anticipate Nothing...Expect Everything]]> http://www.dslreports.com/forum/remark,14919544 Wed, 30 Nov 2005 20:46:29 EDT Re: [News] Price gouging, would we have a case? http://www.dslreports.com/forum/remark,14910811 tirebiter :
Here's one "plus" customer that doesn't think it's worth it.
If you don't think it's "worth" it, why do you continue to pay the price they demand month after month? Maybe you feel that they could be charging you less, but you do apparently feel it's worth it since you keep paying it.

I do not feel that it's worth it, so I do not pay for the "plus" tier. ]]> http://www.dslreports.com/forum/remark,14910811 Tue, 29 Nov 2005 20:00:55 EDT Re: [News] Price gouging, would we have a case? http://www.dslreports.com/forum/remark,14904991 Monolythic : You guys aren't looking at it from a business standpoint. They are in this business to make money. Notice most other providers that offer "better" prices are in a provider rich environment where they are forced to price their packages (even the nice ones) at lower prices in order to get business.

But since Insight is the only game in town with the really high speeds (unless you live next door to a CO) then they have the opportunity to charge a premium for such services. They are probably also charged a premium for leasing bandwidth off the backbone because of the locations they choose to provide service to (many areas are not on the primary backbone chains).

You can't look at all businesses and believe that greed is their primary motive, they want to turn a profit yes, but easy profit is easily lost, especially if you don't have the "huzbah" to back it up (ie. quality of service, uptime, customer support). It would not surprise me if Insight used much of that money to at least provide better service overall in the areas they cover.

In the end, supply and demand controls everything. If you were the only gas station within a 500 mile radius, it would cost you more to get the gas, thus forcing you to charge the customer more. Supply and demand my friends, we the consumer have the power to control the service, quality, & price of a companies product. But good luck organizing a boycott, people want the internet, some people want more on the net than others, and they are willing to pay for it.

Peace!]]> http://www.dslreports.com/forum/remark,14904991 Tue, 29 Nov 2005 01:33:26 EDT Re: [News] Price gouging, would we have a case? http://www.dslreports.com/forum/remark,14903393 MSauk : They charge like that because people havent stepped up and voiced their opinion or just dont know they are getting raped. Pretty easy to do what they do to people that just dont know. So half the speed for 80% of the price (by the way I say half, but all know it is more like 40% or less)if that isnt gouging I dont know what is
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said by tirebiter See Profile :

They charge what they do because it is apparently worth it to many of their customers. If you don't think the plus tier is worth the price there is a very simple solution.
Here's one "plus" customer that doesn't think it's worth it. And, that "very simple solution" isn't always the answer to every customers need. The premise, if you pay for it you have no right to complain, doesn't cut it.
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Anticipate Nothing...Expect Everything]]> http://www.dslreports.com/forum/remark,14902811 Mon, 28 Nov 2005 20:21:38 EDT Re: [News] Price gouging, would we have a case? http://www.dslreports.com/forum/remark,14902674 tirebiter : They charge what they do because it is apparently worth it to many of their customers. If you don't think the plus tier is worth the price there is a very simple solution.]]> http://www.dslreports.com/forum/remark,14902674 Mon, 28 Nov 2005 20:06:56 EDT Re: [News] Price gouging, would we have a case? http://www.dslreports.com/forum/remark,14902163 INTENS1 : I'm no lawyer, so this is just my opinion/guess. I agree the "plus tier" is way over-priced, but I doubt one would win the case based on the fact that they offer both the basic and the "plus" tiers. If they only provided one tier and charged a fee way out of line with the norm, then perhaps that would be gouging. :hmm:

With that said, I believe the $35 upgrade fee is that high because their "system" couldn't handle everyone switching to the plus tier. ;)
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Anticipate Nothing...Expect Everything]]> http://www.dslreports.com/forum/remark,14902163 Mon, 28 Nov 2005 19:11:47 EDT Re: [News] Price gouging, would we have a case? http://www.dslreports.com/forum/remark,14901144 Greg_Z : Well for one, you would have to prove the fact that they are "Price" gouging, along with the fact that there are no other alternatives. Since Insight has deemed this as 'fair' pricing, and the fact you would also have to prove that there are circumstances resulting from what you perceive as "Price" gouging.

Price gouging refers to a seller asking a price for a good or service that is much higher than what is seen as the 'fair' price. It is usually used in a pejorative sense to imply the price is unethical. However, according to economic theory what is referred to as 'price gouging' can be regarded as a rational response to differing circumstances. Some people also robustly defend the right of firms to charge what they want regardless of the circumstances.

In very rough legal terms, which is the most common usage, price gouging is the practice of those supplying goods and services sharply raising the prices asked in anticipation of or during a civil emergency, or cancelling contracts in order to take advantage of an increase in prices related to such an emergency. The term is similar to profiteering but can be distinguished by being short-term and localized, and by a restriction to essentials such as food, clothing, shelter, medicine and equipment needed to preserve life, limb and property. In many jurisdictions, price gouging is a felony.

Some support the ability to raise prices under such circumstances, asserting that government prohibition of the practice is a violation of individual rights or that the ability to raise prices has beneficial effects or both. While some economists who defend the practice use the term "price gouging", others disparage it as merely pejorative.

The term is not in widespread use in economic theory but is sometimes used to refer to practices of a coercive monopoly which raises prices above the market rate that would otherwise prevail in perfect competition. [1] [2] Alternatively, it may refer to suppliers benefiting to excess from a short-term change in the demand curve.

»en.wikipedia.org/wiki/Price_gouging
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One man's customer loyalty is another man's misguided arrogance.]]> http://www.dslreports.com/forum/remark,14901144 Mon, 28 Nov 2005 17:09:43 EDT [News] Price gouging, would we have a case? http://www.dslreports.com/forum/remark,14900212 MSauk : Do you think we would have a case against Insight if we were to report them to the city for price gouging. The complaint would be aimed at the plus teer which right now runs 35.00 dollars a month extra ontop of the 44 per month. My reasoning, look at any other cable broadband and they are not EVEN close to being as high as insight is, and to me that is price gouging. They are charging 80% of the regular price for just 50% of the speed upgrade. I think it is time we stood up and called them out on this, I just cant believe I would be the first one lol Most if not all charge between 10 and 20 for an upgrade in speeds. I think 35 for 50% more is a tad much
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