o2 upgrades - same deals as new customers?

[Anonymous]

I've been with o2 for 9 years, since I basically turned 18. Untill 2 years ago, and expect the iPhone 3g I got on contract, they always triend their hardest to keep me, give me a better deal than a new customer, genuinely wanting to keep me as a customer (Average bill of £50 p/m up untill a few months ago).

2 years ago, I fancied a Samsung Galaxy SII, shiny new at the time. O2 wouldn't match the deal that Phones 4 U were offering on their same network, without any discounts on the new customer price. I decided to take up P4U and had to PAC my number to Orange and then back to O2. 

Skip forward to today, and I'm in the position that I now want to do 12 month contracts with the 3 month upgrade option, easily spening £40+ per month. the deal offered on Myo2 for the Lumia 920 was a 600 miutes, unlimited texts, 750 mb internet for £43 with a 1 off cost for the phone of £100. Given the Lumia 925 will be on o2 in June, I tried to negotiate the handset price in return for a bit of customer loyalty, and I was told they couldn't do anything. I then asked for my PAC code and "Stella" cut me off once she knew I wasn't going to bite for a deal I didn't want.

I then done some research, and apart from "unlocking" 12 month deals, all the new customer deals are the same as exisitng upgrade deals. What's the bloody point in that?

I'll be leaving o2 once I can get my PAC code again, probably having to be on chat for another hour. I'm sure another company will want my £40 per month for a non-iPhone contract.

Anyone else having similar experiences?

[Liquid · Accepted solution]

Unfortunately it appears to no longer be a good practise to offer discounts for loyalty. With all the networks competing for customers by lowering prices the profit margins are sharply declining. There's obviously a cut off point where the price will lead to a loss on a contract which obviously isn't good business practise.

The reason p4u and CPW can offer such low contracts is they subsidise the prices with insurance/geek squad and the likes to claw back money. (Notice how they only allow you to sign up for these at sale? It's a pressure tactic designed to make you part with more money upfront. If you add in all the extras your actually worse off than if you went through O2 originally.)

[Anonymous]

Yeah I know they do that with P4U or CPW, but i'm not daft enough to take it. If they want the sale that badly, they'll do it without.

Seems like all phone companies are the same now though. Think i'm moving to Virgin for a £15 unlimited everything on a 30 day contract as long as my S2 still has life left, or untill a phone I can't resist comes out.

[Liquid]

It's surprising how many people are daft enough to buy all they offer because "it's a good idea"

Just be careful though (I'm sure you know) but the part that really defines a network for me is signal. I'm all over the country for my business and virgin didn't cut it.

Honestly 3 and O2 have the best signal coverage I've found. I use 3 for my staff phones and I use O2 for my own phone.

Just check the signal you get in the areas your frequent. I learnt the hard way through ignorance. 2 years paying £15 a month with no signal at the majority of places I went:(