Spectrum gets an early jump on FCC-mandated "all-in" price disclosures.
Remember that Bruce Springsteen song 57 Channels (and nothin on)? If The Boss were to write it today, it might be 190 Channels But Im Only Watching 15, but Still Paying Out the Wazoo.
That may be changing, however.
Thanks to online streaming services like YouTubeTV, cable customers have left cable companies in flocks, reducing the nearly $1,600 a year they pay for it and getting the same thing for about half the price. It looks like one cable company finally woke up and decided it needed to rethink things.
"I had a shock this week when I checked Spectrum's latest TV and internet prices," Jared Newman, a contributor to Cord-Cutter Confidential, wrote. "They were offering a bundle with 500Mbps internet and their standard TV Select Signature package for $125 per month over the first two years."
Newman noted that he was surprised when Spectrum didn't include the typical broadcast TV fee, which usually adds about $26 to the monthly price. Instead, the final checkout page only added a few bucks for "Taxes and Other Fees."
'Customer-first philosophy'
Spectrum said it's rolling fees into its advertised rates as part of an "unprecedented consumer-first philosophy and if 1.5 stars from ConsumerAffairs reviewers is any indication, its none too late to remedy complaints about frequent price increases, outages, slow speeds, and issues with customer service and billing.
To turn things around, Spectrum says its dedicating itself to four key customer pillars:
- Reliable Connectivity with a focus on quick issue resolution and network investment
- Transparency at Every Step through clear pricing, timely updates, and no annual contracts
- Exceptional Service with 24/7 U.S.-based support and a satisfaction guarantee
- Always Improving with a focus on network expansion, enhanced streaming options, and future-proofing their services.
Spectrum appears to be poised to do just that. Its new TV strategy involves bundling a lighter package of cable channels with ad-supported streaming services.
Plus, it'stossing ina 500 Mbps Spectrum Internet plan starting at $30 per month when bundled with two lines of Spectrums fastest Mobile and/or Spectrum Video service. If someone's counting pennies, there might be a good deal there they won't find elsewhere -- until Spectrum's competitors wise up, that is.
But, Newman suggests Spectrum may have its tongue in its cheek and that part of the real reason is that they're also getting ahead of new Federal Communications Commission (FCC) rules that require "all-in" price disclosures for cable and satellite TV.
Other cable TV providers such as Cox and Xfinity will have to follow suit in the coming months, making it easier to compare the cost of cable to streaming.
Feel their pain? Nah.
"Cable companies aren't happy about it," Newman stated. "NCTAThe Internet & Television Associationa cable lobbying group, argued against the new FCC rules, claiming that cable TV pricing isn't misleading and that fierce competition in the TV business keeps providers honest."
Fortunately, common sense prevailed with the FCC, and Charter, which operates the Spectrum brand, has embraced the new rules. The company now says it's implementing "whole dollar pricing, with taxes and fees included."
However, other providers aren't quite there yet. Newman reports that Comcast, for instance, still advertises a base price of $50 for a standard TV package but hides additional fees in the fine print. Cox also shows a lower price but hides fees until you complete a credit check. In a few months, they'll have to change their practices.
Spectrum, for example, still charges extra for cloud DVR service and the Xumo streaming boxes it supplies. Additionally, promotional rates may apply.
"Streaming services are falling into many of the same traps," Newman said. "But simply knowing the base cost of cable programming will make comparison shopping easier."
And that's where most every consumer wants the cable companies to be: honest and competing for their customer's hard-earned dollar.
"Cord-cutting was never going to destroy cable companies outright, but at least it can make them compete against streaming services without relying on deception."
Photo Credit: Consumer Affairs News Department Images
Posted: 2024-09-23 11:21:38
