Are O2 losing customers? Contract renewal expensive! (£460 increase)

[Anonymous]

Hi

I've been on contracts with O2 for about 10 years now.  I'm due for renewal this month and decided to give O2 a ring (as I do every 2 years).

My current phone contract was 2 years (May 14 to May 16)

£33.70 per month for Unl Mins, Unl Texts, 5GB Data, Free Galaxy S5 (valued at £579)

New phone (again 2 year contract)

£55.00 per month for Unl Mins, Unl Texts, 5GB Data, £9.99 for Galaxy S7 Edge (valued at £639)

Price comparison:

2014 contract total cost £808.80

2016 contract total cost £1,329.99

An increase of £521.19 (£21.71 per month)

The contracts are identical (except the S7 Edge is valued at £60 more expensive).  So for fairness I've removed £60 from the comparison and even with £60 removed the 2016 identical contract costs an extra £461.19 over 2 years (£19.21 per month)

I have spoken to 3 different people at O2.  Not only does no one really know why there is an almost £500 difference in price but no one seems interested in whether I stay or go.  I said there's no way I'd pay that much and would shop around and the advice I was given was to phone before 6pm if I want a PAC Code lol.

I tried phoning again today and the figures I was quoted was even higher than before!  Not only that but I was told that I couldn't reduce my data to 3GB as they no longer offer a 3GB package (despite having one on their website...)  I am currently on a business plan (all the prices I've quoted include VAT for fairness) and the prices I'm being quoted for both personal and business contracts are the same... (EXPENSIVE)

I have stayed with O2 as they've always been happy to give me either a great deal or a slightly better deal than their competitors.  Now the only thing stopping me from leaving is the fact that I get great signal in my area (although a quick look online shows that Vodafone have better signal in my area on all aspects (Calls, 3G, 4G, indoor, outdoor)...

So my question before I phone Vodafone is...  Are O2 losing customers?  Are their contracts expensive?  What happened to the deals you used to get?  A quick look at Vodafone shows Vodafone are cheaper, but not by a massive amount...

[MI5]

I've thought the same about O2's pricing.
The only advantage you get is refresh, but if you keep your phone for 2 years it's no advantage at all, but you're still paying for the option.

[Cleoriff]

If funds are available I would always buy my new phone outright and go for a 12 month sim only plan.....I know this option is out of reach for some people....but certainly saves money in the long run...

[Bambino]

@Anonymous As @MI5 has said, if you only change phones every two years you lose the Refresh advantage anyway. Have you compared prices with Carphone Warehouse or other third party sellers? As Refresh isn't part of your picture, that would seem to be the way to go.

As far as networks are concerned, you'd need to compare coverage before you made any decision based on that criteria.

[PhoneChanger]

Many years ago the phones were issued "free" (read the cost of the phone was incorporated into the tariff, but many were subsidized) this isn't the case anymore and O2 operate a separate charge for the tariff and the handset, and most are no longer subsidized.

[gmarkj]

Not sure how they compare with other networks, but they are substantially cheaper through a 3rd party.
Check websites like money supermarket, compare the market etc and find a deal that suits you.
You could also get your bill analysed (bill monitor I think) to make sure you are getting the best deal for your usage.
Ultimately, the two most important things are the cost and the service. No point going to another network if they don't cover where you spend most of your time...

[Anonymous]

I think they will lose customers and I will be one of them. At the moment I'm spending alot of time abroard and my bill has just jumped £35 since 7th April as O2 now charge £1.99 PER DAY for the shortest of call in or out. I have a year to go on my contract so will be looking for someone to buy me out. I was happy with the 50p + your minutes when abroard before but now O2 look set to make a fortune from this latest SCAM.

[MI5]

You need to opt out of travel and go onto standard rates.

http://community.o2.co.uk/t5/Pay-Monthly-and-Pay-Go/O2-Travel-Changes-7-4/m-p/953179#U953179

[jonsie]

Not a scam if you choose the option to suit your needs. It's as simple as sending a text to opt out.

[Cleoriff]

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@jonsie wrote:

 It's as simple as sending a text to opt out.

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Which I did on Wednesday....it took less than 24 hrs...I still have the O2 Travel app on my mobile and this is the message I get when I click on it...Obviously out of commission now...as there is nothing wrong with my internet connection...:smileywink: