What is it about the culture at Telecom that leads it to persistently mislead its customers? We’re not talking about a backstreet purveyor of miracle remedies here. This is one of New Zealand’s largest public companies (once owned by us), with responsibilities as part of the Kiwi Share, which has again been pinged by the Commerce Commission for misleading thousands of customers.
Worse, this is the eighth time since 2003 the company has breached the Fair Trading Act. That’s more than once a year! What must the shareholders be thinking as the company pays back $9.5 million to customers for the latest breach, only $1 million more than it paid back to customers in 2008 after it ripped them off over its Go Large plan for Xtra broadband.
In the latest incident Telecom has admitted sending invoices to customers falsely representing the monthly account charges for dial-up, when they had switched to broadband and been told they would not be charged for dial-up. This practice had been operating for seven years.
A carefully massaged release from the commission says Telecom has agreed to “introduce procedures to prevent a repeat of this sort of failure”. What a relief. But how can consumers trust this will occur? In the Go Large debacle it transpired Telecom’s own audit estimated 46 percent of its existing customers would get slower broadband with unconstrained speeds. In other words it could not possibly deliver on its marketing spin of “unlimited internet usage at maximum download speeds”. And it knew it. But it took more than six months after we complained to the commission for the company to fall on its sword.
In 2006 then Telecom chief executive Theresa Gattung brazenly admitted confusion was the chief marketing tool of telecommunications companies, confirming what many of us had known for years - Telecom was not much interested in offering benefits to customers.
The Commerce Commission must be commended for being so vigilant over the years, but it’s time the courts took a more dim view of Telecom’s serial breaches of the Fair Trading Act. In the meantime consumers have options. Our latest ISP survey of more than 15,000 members reveals dissatisfaction across the board with Telecom’s customer service. Importantly it shows some of the smaller ISP providers have a very high level of customer satisfaction. If something’s rotten in the state of Telecom don’t put up with the odour.
Yes, something is definitely rotten in the state of Telecom. We have finally been refunded $53 for exceeding our data limit in October. We have been arguing with them about it as I don't think their data meter was working properly then, I was having problems with it. We are on their top 40 GB Pro plan, at $80/month, ie: $2/GB. And how do Telecom reward their best customers? They charge overuse at $20/GB, 10X the normal price! But they disguise the real price by quoting it at 2c/MB No other ISP punishes their customers by gross overcharging like this for wanting to buy more of their product. As a touch of irony, we are shareholders.
Something that erks me. We are on an older exchange - Residential Washdyke - and still can not get faxability, call track and some other smart services. Broad band is a joke, dail up internet speed is very slow BUT we still get charges, from what I understand, the line full rental of $59.19.
Besides this isn't some of the recent promotions for newer services (that we willnot be able to receive) breaching the Fair Trading act? Have recently ask some questions of telecom but no answers. I see the adds on Tele and see a little bit of RED.
Can you comment, get answers etc??
There was a time when some emails were taking several days to arrive and to be delivered. When I sent an email to Telecom about this their reply was, Since I was not happy with their service I should find another service provider.
Found out the trouble was something to do with Xtra/Yahoo having more emails than it could they handle. This is what the ISPs of the people whose emails were delayed said.
agreed, something is rotten! After choosing Telecom for a landline/broadband package we were guarnteed we would have broadband within 48
hours. That was on Jan 11. Have made at least 10 calls to helpdesk since, no-one ever calls back, repeated promises it will be connected with no result.
agreed on all above...i was advised of charges and fees of disconnection and re connection but was not advised that i had to be on a waiting list for the next available exchange! 25th Jan.. to this date i'm still on the waiting list!! why advertised when service is not guaranteed!!
I switched to Telecom bigtime as my household of 6 was going over 20Gb\month. For the first 2 months it was all good and speeds and relibility was good. 2 more months down the track it is an absolute shambles accessing overseas web pages. I get very slow access to web pages and get 'page not found' so have to click retry to hopefully get it to load. I cannot get reliable enough connection to US based web sites where there is training materials and on-line exams I need to sit for my occupation. If an exam times out it is considered a completed attempt even if only 1/4 way through the exam. I have been trying for 5 days to get an iso of one training package and I can't get more than 25Mb downloaded before it times out.
I have phoned and emailed the support desk and the excuse is it is speed managed. The terms and conditions on state 'Telecom is unable to provide specific performance guarantees, however we are committed to providing a consistent and reliable service.'
As a test tonight I dialed into another ISP and compared loading pages with my bigtime plan. The dialup was faster and didn't get page not found.
In my opinion I am not getting the service being paid for as broadband should not be slower than dial-up.
Next step is to video this for proof of service not being supplied.
For about six months now we have had the same trouble with Telecom.
Always sometime after midnight we can not get a connection to the internet. This comes right again about 7 am.. Only get a pop-up saying server did not respond in a timely manner. or other server not found message. I have given up calling Telecom now as they are no help at all. Their operators always blame my computer. I have tried using three computers so this rules that out. I have checked the error numbers and they say the trouble is with the server. Telecom's customer service are liars and make things up. Tell me things like I need to format hard drive and re install everything.
If it is my computer why does it work OK between the hours of 7 am and midnight?
Had the tech from Chorus have a look and he said the trouble was not with my computers or wireing in the house. He said the trouble was with the server. This has never been fixed and is no help to my wife who does not get home from work until about 2 am so is unable to use the internet before going back to work.
Telecom are not delivering and seem not interested in following up my complaints.
Only reason I don't change providers is trouble advising everyone of a different email address.
The power does belong to the consumer.Without us no companies/businesses exist.They are only exist because of us.The consumer has the power to bring these large corporations to their knees.If the consumer were to use any other provider than say,for example Telecom, how long do you think they would be in business.Instead we allow ourselves to be held to ransom :-)
Telecom's inept monopoly over line provisioning for ISPs is unbelievable. I am currently 6 days without phone or internet connection because Telecom has delays servicing line exchanges and new accounts. I often work from home, so the stress is starting to register. My ISP told me that they'd just been dealing with customers that have had to suffer two weeks without these basic services. Apparently, this is the case for many. It's very strange that something can't be done. I'd welcome any productive suggestions for ways of trying to put pressure on Telecom.
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