Use Loyalty Rates Instead of Special Introductory Pricing

Yesterday I heard a commercial for Time Warner Cable. They were advertising their cable/Internet bundles and named a price only to add a caveat that this price was for new subscribers only. This comes after I get a letter detailing Time Warner’s impending price hike. It would feel great to exclaim, “I like Time Warner! They’ve treated me right and kept my rates fair.” Instead, I say, “I chose Time Warner because I don’t have any other real options and their introductory rate was competitive.”

This is just one example. We’ve created a culture of “abandon ship” instead of long-term brand relationships. Why don’t companies use loyalty rates instead of special introductory pricing? Now, as I ¬†look for new service providers, I am wooed by long-term savings rather than asterisk riddled short-term deals.

I sense that the pendulum is swinging and companies with outstanding customer support will prosper. As that happens, I hope consumers are rewarded for picking a company and sticking with them. Props to insurance and car companies for being some of the first to adopt this model.