T-Mobile: Bye bye to Corporate discounts (update : new accounts only)

yfan

Well-known member
Nov 28, 2009
902
0
0
Visit site
Regardless you were getting all angry about subsidizing the cost for people yet you only pay 30 dollars so you definitely aren't subsidizing anything.
False. Just because I am on an inexpensive plan doesn't mean I'm not subsidizing anything. It's a logical fallacy (and also reeks of elitism) to say that people who have less expensive plans can't possibly be subsidizing those on more expensive plans. Not to mention anyone on a family plan with 3 or more lines gets my rate per line. If I pay full cost of my plan, and others don't pay full cost of their plan, and I don't have access to their discount then I am subsidizing their bills.
 
Last edited:

Almeuit

Moderator Team Leader
Moderator
Apr 17, 2012
32,277
23
0
Visit site
False. Just because I am on an inexpensive plan doesn't mean I'm not subsidizing anything. It's a logical fallacy (and also reeks of elitism) to say that people who have less expensive plans can't possibly be subsidizing those on more expensive plans. Not to mention anyone on a family plan with 3 or more lines gets my rate per line. If I pay full cost of my plan, and others don't pay full cost of their plan, and I don't have access to their discount then I am subsidizing their bills.

And us postpaid are subsidizing the prepaid customers are we not?

You want fairness in the world for everything when that's just not how it works. Just because others have something you don't doesn't mean they shouldn't have it.. That's selfish.

Sent from my T-Mobile Note 3 using AC Forums.
 

yfan

Well-known member
Nov 28, 2009
902
0
0
Visit site
And us postpaid are subsidizing the prepaid customers are we not?
Uhh... come again? How so?

You want fairness in the world for everything when that's just not how it works. Just because others have something you don't doesn't mean they shouldn't have it.. That's selfish.
No. This isn't about others having something I don't have. This is about others having to PAY a different amount for the same product from the same company at the same time to BUY something. And these 'others' aren't constrained by their means but in fact more often than not are people of more means than people who are paying more than they are.

I am all for others "having" a discount - as long as the source of that discount - their employer - actually pays for it.
 

msndrstood

Well-known member
Oct 2, 2011
1,619
7
38
Visit site
And if you want a cell phone manufacturer that gives the least discounts to carriers, then going with Apple. Carriers complain about their high cost.

Also keep in mind Costco and Sam's Club are generally resellers. Meaning that they buy products at a substantially lower price, then resell it. The cost of warehouses and employees is a lot.


I used to work for a manufacturer, and whenever they bought something, they would usually resell it at 3x the cost to the end user, without even modifying the product.
dpham00, Android Central Moderator
Sent from my Verizon Samsung Galaxy Note 3 via Tapatalk Pro

When I owned a small store, the mark up was typically 3x the cost. First to pay for the item sold, second to buy the next one to put on the floor and the third for profit and overhead.

Sent via The Big, Bad, Beautiful Note 3
 

boudicca00

Well-known member
Oct 4, 2013
148
0
0
Visit site
I've experienced that the larger that a company gets, the less friendly and personal it gets. I haven't worked for Google, but it went from "don't be evil" to something not that now. A perk of a corporate discount, in the grand scheme of things, is a small thing to compensate for what often ends up an existence mired in beaurocracy, politics, and facelessness.

In my personal experience, smaller companies can be nicer, more agile and flexible, and more enjoyable to work for. If something is necessary to change, in a big company there's a huge system that resists that change. There's nothing lucky to working for a big company, and I'd assert that the big companies that treat all employees with respect and care are few in number. If you've worked for a big company that treated everyone fairly, and with the same worth, you were the lucky one.
 

cgardnervt

Well-known member
Jun 24, 2011
3,556
118
0
Visit site
This seems like a pretty lame model if you ask me. It will hurt them taking away discounts from new customers. It was part of the reason why I would have joined the Tmo army IF they had towers in my area. Now att is just cheaper for my self and 2 lines of service with the new share everything on top of my discount from work. Either way is Tmo ends up being cheaper and you got good coverage in your area then it might be worth looking into.
 

HawaiiD

Well-known member
Feb 20, 2011
1,184
19
38
Visit site
This seems like a pretty lame model if you ask me. It will hurt them taking away discounts from new customers. It was part of the reason why I would have joined the Tmo army IF they had towers in my area. Now att is just cheaper for my self and 2 lines of service with the new share everything on top of my discount from work. Either way is Tmo ends up being cheaper and you got good coverage in your area then it might be worth looking into.

I agree... What's Good for one is good for all.

Sent from my Coconut Wireless Sony Xperia Z1S
 

sierrajinx9

Well-known member
Dec 20, 2013
242
0
0
Visit site
This seems like a pretty lame model if you ask me. It will hurt them taking away discounts from new customers. It was part of the reason why I would have joined the Tmo army IF they had towers in my area. Now att is just cheaper for my self and 2 lines of service with the new share everything on top of my discount from work. Either way is Tmo ends up being cheaper and you got good coverage in your area then it might be worth looking into.

You are exactly right! When i started my job... I immediately looked at WHICH Cell phone companies they had discounts with... T-Mobile, Verizon and Us Cellular... That kicked AT&T, Sprint and all others out of the running almost instantly... I started with TMOBILE, and after 2 years, i went with verizon because the Discount got raised!
T-MOBILE isn't pushing discounts with companies FAR ENOUGH though, this is why they are not making any money from it! Verizon pushes the HELL out of company discounts all around our business park.. Including routinely sending a rep to spend the day at our work talking, passing out info and letting people test out devices, tablets and so on... rather then just a FLYER on the wall that says "Get 10% of your T-Mobile Bill with a employee discount"
 

cgardnervt

Well-known member
Jun 24, 2011
3,556
118
0
Visit site
You are exactly right! When i started my job... I immediately looked at WHICH Cell phone companies they had discounts with... T-Mobile, Verizon and Us Cellular... That kicked AT&T, Sprint and all others out of the running almost instantly... I started with TMOBILE, and after 2 years, i went with verizon because the Discount got raised!
T-MOBILE isn't pushing discounts with companies FAR ENOUGH though, this is why they are not making any money from it! Verizon pushes the HELL out of company discounts all around our business park.. Including routinely sending a rep to spend the day at our work talking, passing out info and letting people test out devices, tablets and so on... rather then just a FLYER on the wall that says "Get 10% of your T-Mobile Bill with a employee discount"

I'm glad it worked out for ya! I have been with att now for about 4 years after being with Sprint for about 7. Att has treated me good and I have no complaints for the first time about a wireless company. Plus they have become so much cheaper it seems like a win/win for me and my 2 lines of service. However everyone's needs are different and that should be recognized! :)
 

sierrajinx9

Well-known member
Dec 20, 2013
242
0
0
Visit site
I did notice that someone updated this thread to say "New Accounts Only" which is not true... My Company has been told DIRECTLY by those in charge that ALL discounts will end except those listed to stay... This is why my company is going with the Reloadable gift card option
 

boogas8

Well-known member
Jan 20, 2014
454
0
0
Visit site
I did notice that someone updated this thread to say "New Accounts Only" which is not true... My Company has been told DIRECTLY by those in charge that ALL discounts will end except those listed to stay... This is why my company is going with the Reloadable gift card option

That is a separate deal that your company and T-Mobile came up with, so you will be changed accordingly. Every company that doesn't make that deal will be grandfathered in.

sent from my T-Mobile Galaxy Note 3
 

sierrajinx9

Well-known member
Dec 20, 2013
242
0
0
Visit site
Companies better check, they only did this deal because they said NO ONE was being Grandfathered... ALL are going away except the 2...

Oh well though, atleast my company adapted well :p
 

diesteldorf

Well-known member
Dec 1, 2010
974
17
0
Visit site
This isn't about others having something I don't have. This is about others having to PAY a different amount for the same product from the same company at the same time to BUY something. And these 'others' aren't constrained by their means but in fact more often than not are people of more means than people who are paying more than they are.

I am all for others "having" a discount - as long as the source of that discount - their employer - actually pays for it.

I can admire your position regarding fairness among customers when it comes to the amount that customers pay. However, if the phone companies don't want to offer discounts to certain employers they don't have to.

I would argue that offering these discounts still offer tangible benefits to the carriers themselves. Not all companies have agreements with all 4 carriers, so As Sierrajin pointed out, these discounts can serve as a way for the carriers to get new customers that they otherwise may not have.

Furthermore, these discounts allow the carriers, in certain cases, easy access to a pool of potential customers and free advertising. In Sierrajin's case, when that Verizon rep is allowed on company property, he may spend part of his time servicing the corporate lines and account, but he is also a walking billboard for Big Red and may cause personal users to either switch carriers or, at the very least, think about Big Red in a more favorable light.

Also, I assume that corporate lines and accounts are a big part of all carrier revenue. I would also argue that since VZW and AT&T are substantially larger that TMO and Sprint, they have many more corporate lines and more revenue tied to corporate accounts.

It would also make sense that a higher number of corporations buy more service from the bigger carriers than the smaller ones, but even the bigger companies and corporations probably buy more service from the smaller carriers because they have a need for more lines than smaller companies.

Tmobile decided that not offering corporate discounts is more beneficial to Tmobile's bottom line. Verizon and AT&T may also decide to do the same, but offering those discounts benefits them directly and they'll keep them until that is no longer the case.

You could argue that the carriers could, as a matter of fairness, keep corporate discounts on corporate lines and cancel them on personal accounts. However, they may figure that it helps them retain customers and also have access to potential new ones.

I also don't know your personal circumstances, but not everyone that works for corporations is of higher means than those that work for charities or non-profits, and vice versa. In fact, the discrepancy between the highest and lowest wage of any corporation can be extreme and there are many corporations that employee minimum wage earners. Of course, some people that work for non profits are also earning minimum wage.

Personally, my company discount from Verizon saves me me more than $200 per year. If they took it away, it would sting. However, I have Unlimited Data so I would probably stay. However, if they also took that away, my loyalties may change. However, there are others ways that a customer can pay less, without having access to a corporate discount.

I don't know as much about TMO, but VZW offers loyalty discounts that can actually be more valuable than any corporate discount. Technically, new customers are not entitled to all loyalty discounts, but from a practical standpoint, persistence will often pay off.

One may argue that a customer, new or not, should not have to jump through hoops or threaten to cancel, to get a discount. However, many businesses have methods to try and retain "unhappy" customers.

Many customers don't even realize that corporate and loyalty discounts exist. If a new customer is persistent enough to obtain a non-corporate related promo or discount, one could argue that they are being subsidized by those that may not have the knowledge to get a lower rate. Whose fault is that? If all carriers eliminated all corporate discounts and loyalty promos/retention discounts and agreed to lower the rates of all customers by 25%, I would be ecstatic but that won't happen.

If I recall correctly, your $30 plan is technically open to everyone. However, it isn't a plan that is highly advertised, compared to other plans, and I thought one had to buy a sim through Walmart or Tmobile.com to get it. You have knowledge and information that even a new TMO customer may not have, causing them to pay more when the $30 plan may meet their needs. Does that mean that they are subsidizing you because they aren't as informed ? As with many things, knowledge is power.

Until last month, I was on a 12 month, $10 off per month, discount on my home internet. It expired and I had to decide if i wanted to try to get it extended or just take my medicine. I had the luxury of canceling completely and using my Verizon Wireless data plan to meet my needs. However, it is nice to have multiple ways to connect to the internet.

I called, told them I was concerned about the price and thinking about canceling. They agreed to extend my $10 discount and I accepted. In some ways, i wish I hadn't. I am not really a loyal or "good" customer, but one that will do whatever it takes to try to save money. There are probably those that let their discounts expire and are now subsidizing my lower rate. I am a pain in the neck and if they let me cancel, they wouldn't have to deal with me anymore. I would save more money because I wouldn't have to pay them anymore, and other, more loyal, customers would not have to subsidize me anymore. Sometimes a customer just can't win.
 
Last edited:

yfan

Well-known member
Nov 28, 2009
902
0
0
Visit site
As Sierrajin pointed out, these discounts can serve as a way for the carriers to get new customers that they otherwise may not have.
And this is the part I don't think is true. At least, not today. As I mentioned before, when these discounts began, cell phones weren't as ubiquitous as they are today. Those discounts served to entice people into the market who wouldn't have been in the market at all were it not for those discounts. But now, everyone will have a cell phone and a plan, discounted or not. And while having an exclusive discount agreement can justify bulk discounts, having them with all 4 does not. Yes, not all companies have agreements with all the carriers, but I think companies covering most of the discount eligible employees have agreements with either all 4 or the ones that have coverage in their area.

I also don't know your personal circumstances, but not everyone that works for corporations is of higher means than those that work for charities or non-profits, and vice versa.
Of course not. And large nonprofits tend to offer these discounts too. This isn't about non-profits vs. for-profits, but more about those who work for large corporations (for profit or not for profits) vs. those who work for smaller employers or are self-employed. Again, I am aware that not everyone working for large corporations makes more money than everyone working for small employers, but that's why I said they are "more often than not" people of better means.

Furthermore, these discounts allow the carriers, in certain cases, easy access to a pool of potential customers and free advertising.
Good point, and because bigger carriers can afford to do this more often and more elaborately, it gives them a competitive edge that smaller carriers can't compete with anyway, and offering a discount doesn't make up for that. But as has been discussed in this thread, even Verizon and AT&T have been finding ways to limit those discounts - which means even they see the potential upside shrinking.

If I recall correctly, your $30 plan is technically open to everyone. However, it isn't a plan that is highly advertised, compared to other plans, and I thought one had to buy a sim through Walmart or Tmobile.com to get it. You have knowledge and information that even a new TMO customer may not have, causing them to pay more when the $30 plan may meet their needs. Does that mean that they are subsidizing you because they aren't as informed ? As with many things, knowledge is power.
Yes, knowledge is power. But knowledge someone "may not have" is not the same as knowledge someone cannot have. Everyone can find out about the plan I have, and choose it if they wish. On the other hand, those not working for the select employers offering the discount cannot have the discount. As for subsidizing, in fact, I can better argue the reverse. Because my plan has no advertising to speak of, I am subsidizing the advertising costs for the other plans! But this is about disparities in pricing available on each plan, not advertising costs.

Until last month, I was on a 12 month, $10 off per month, discount on my home internet. It expired and I had to decide if i wanted to try to get it extended or just take my medicine. I had the luxury of canceling completely and using my Verizon Wireless data plan to meet my needs. However, it is nice to have multiple ways to connect to the internet.

I called, told them I was concerned about the price and thinking about canceling. They agreed to extend my $10 discount and I accepted. In some ways, i wish I hadn't. I am not really a loyal or "good" customer, but one that will do whatever it takes to try to save money. There are probably those that let their discounts expire and are now subsidizing my lower rate. I am a pain in the neck and if they let me cancel, they wouldn't have to deal with me anymore. I would save more money because I wouldn't have to pay them anymore, and other, more loyal, customers would not have to subsidize me anymore. Sometimes a customer just can't win.
Actually, this isn't a subsidy; this is retention cost. I'm quite certain your ISP offers to extend rates on a regular basis to customers who look to leave - and that is because generally speaking, it costs more to acquire a new customer than to retain an existing one. This principle is why Verizon grandfathered your unlimited data plan. That doesn't mean newer customers are subsidizing you - it simply means that Verizon decided that it'd be less expensive for them to retain the unlimited data customers than to acquire an equivalent number of new accounts.

Again, as long as the corporate discounts paid for themselves - i.e. in terms of how much it saved the carrier in advertising and how much less it cost to acquire new customers - I would have no problem with them. But with cell phones now being a commodity, companies are now deciding that they in fact don't pay for themselves. Hence the move to limit/eliminate those discounts.
 

sierrajinx9

Well-known member
Dec 20, 2013
242
0
0
Visit site
And this is the part I don't think is true. At least, not today. As I mentioned before, when these discounts began, cell phones weren't as ubiquitous as they are today. Those discounts served to entice people into the market who wouldn't have been in the market at all were it not for those discounts. But now, everyone will have a cell phone and a plan, discounted or not. And while having an exclusive discount agreement can justify bulk discounts, having them with all 4 does not. Yes, not all companies have agreements with all the carriers, but I think companies covering most of the discount eligible employees have agreements with either all 4 or the ones that have coverage in their area.

Yes, everyone already has a PLAN and PHONE but now a day's people are looking for the best deals, better coverage... If i am starting a new company and my contract is up and im seriously deciding to switch... The one thing that is gonna SWAY my factors is walking into my business and seeing DISCOUNTS... It most def changes Everything.... Now, its not about getting people to get a cell phone, its about getting people onto YOUR network...
 

yfan

Well-known member
Nov 28, 2009
902
0
0
Visit site
Yes, everyone already has a PLAN and PHONE but now a day's people are looking for the best deals, better coverage... If i am starting a new company and my contract is up and im seriously deciding to switch... The one thing that is gonna SWAY my factors is walking into my business and seeing DISCOUNTS... It most def changes Everything.... Now, its not about getting people to get a cell phone, its about getting people onto YOUR network...
Which is a moot point if your employer has discount agreements with all major carriers with coverage in your area. In that case, your decision is the same as if your employer did not have a discount agreement with any carrier.

At the end of the day though, it isn't my consumer fairness argument that is the deciding factor. It's just that for once, fairness for consumers happens to coincide with the interests of carriers. For quite a while, carriers have been limiting what you can get your discount on (e.g. primary line only, data add-on only, etc. etc.). That is because the discounts as a way to recruit and retain customers has become less and less attractive for the carriers. It's starting to cost them more than it makes them. T-Mobile's move may be the most pronounced, but it's not like this hasn't been happening for a while.
 

sierrajinx9

Well-known member
Dec 20, 2013
242
0
0
Visit site
So because I was qualified enough to get a job in a bigger company, and get a discount... That is unfair to you? Its not like you are paying EXTRA because your company doesn't get a discount... This whole "Fairness" issue has no grounds! It would be like me telling you that you cannot use your Walmart employee discount, because I don't get a walmart discount.. or telling you that you cannot eat that donut because i am on a diet and that's not fair... This isn't different, its all the same.. Better yet, my company also gives me a 15% Discount through APPLE... that unfair also? let me know
 

yfan

Well-known member
Nov 28, 2009
902
0
0
Visit site
So because I was qualified enough to get a job in a bigger company, and get a discount... That is unfair to you?
Oh here we go with the entitlement mentality again. A job with a bigger company doesn't mean better qualifications, and furthermore, your job qualifications have nothing to do with how much you should be charged for cell phone service compared to others. If we're going to design a system based on qualifications, should we have one where Ph.D.s are given a discount that isn't available to people with a college degree or a high school diploma? If you are qualified enough to get a job with a bigger company, you also make enough to pay what everyone else pays.

Its not like you are paying EXTRA because your company doesn't get a discount..
Anyone not getting your discount is paying extra compared to you because their company doesn't get a discount.

It would be like me telling you that you cannot use your Walmart employee discount, because I don't get a walmart discount..
Actually, no. Because in that case, Walmart, as my employer, would be eating the cost of the discount. Your employer does not pay your carrier for the amount you get discounted. If they did, I wouldn't have an issue with it. I don't know what the donut has to do with this, since there's no discount on the donut, you are just choosing not to eat it.

Better yet, my company also gives me a 15% Discount through APPLE... that unfair also?
Finally, we are on an apples-to-apples comparison, and yes, that's unfair also - unless your company happens to bulk buy Apple's products and resell it to you. And it's also proof that consumer fairness isn't the deciding factor in the market.

But like I said, the reason these discounts are going away isn't because carriers are super concerned about consumer fairness. They are going away because the carriers are no longer benefiting from them. It's just that for once the two happen to align.
 

Trending Posts

Forum statistics

Threads
943,128
Messages
6,917,412
Members
3,158,832
Latest member
Akshay