Five Steps to Cut Cable TV Costs
At the beginning of each year, you will likely spend time scrutinizing your budget looking for costs that need to be cut so you can follow through on your decision and save more. And the first thing that comes to mind is the cable TV bill.
This post was originally published on LearnVest .
After all, when most people spend over $ 100 a month on Pay TV services, it’s understandable why you cut the cord to make room in your budget.
But if you can’t miss the last season of your favorite shows, here’s the good news: you don’t have to ditch cable entirely to get some decent savings.
“Companies are ready to do a lot of deals with you,” says Dan Reyburn, chief analyst for digital media group at Frost & Sullivan consultancy firm. “It’s always amazed me that consumers just don’t seem to understand that if you’re nice and friendly, call and ask for something, good corporations that appreciate you will work with you.”
Of course, it’s always a good idea to be prepared before trying to negotiate a bill you’ve probably been paying for a while, so arm yourself with these five expert tips before contacting your cable TV provider.
1. Conduct an audit of your plan’s functions.
Unfortunately, building a cable package a la carte from just the channels you want is not a thing; however, shaving off the premium features you don’t need it.
Rayburn suggests starting with an honest look at your browsing habits to understand what you are consuming according to your current plan. Are sports packages and premium movie channels important to you? Do you need a DVR in every room? Determine what you are willing to give up and prepare a list of unnecessary features when you get down to your phone. For example, ditching sports channels can save you up to $ 20 per month, depending on your provider.
2. Check if you are buying more online than you need.
There is a good chance that your TV, phone, and internet services are combined. According to Rayburn, we often resell internet resources and end up paying for better services that we don’t really need.
Many companies are promoting plans that advertise download speeds of 100 megabits per second (Mbps), which supposedly optimizes streaming video. Problem? You probably don’t need more than 50 Mbps. Before we panic, we’re not talking about switching to dial-up access here; Rayburn believes that a jump to 100Mbps won’t necessarily improve streaming quality. Download speed depends on the type of media you are using and what options the media provider sets.
Let’s take a look at Netflix , for example, which recommends 5 Mbps for HD video streaming. In a family of four, everyone can easily stream their video of their choice in HD and consume 20 Mbps – that’s part of the speed (and probably the price) of the 100 Mbps plan.
So if you find yourself not using as much internet as being sold to you, Rayburn estimates, cutting your package could save you about $ 20 a month.
3. Use customer loyalty to get discounts.
“Customer acquisition costs are one of the most tracked metrics for cable companies,” says Rayburn. So if you are a regular customer who has worked for a company for a while, be sure to mention this during your phone call, especially if you have a wireless service included with your package. Point this out (politely, of course) and then ask directly if they have any promotions that could take, say, $ 10 off your monthly bill.
“You should always look at the performance of your competitors, but make sure it’s an apples-to-apples comparison,” adds Rayburn. This means cross-validation to ensure that the competitor’s services reflect the same channel count, channel selection, internet speed, set-top box rental cost, router rental cost, etc. If the comparisons match, you may be in a better position to get comparable a price or a larger discount from your current supplier.
4. Sign up for a contract
Sometimes you can lock in a stellar price with a multi-year contract. “A lot of consumers don’t like the idea of contracts because they feel it gives them less options,” says Rayburn. However, unless you are planning to relocate or think your channel preferences will change dramatically anytime soon (and most likely will not), signing a deal could stave off a potential price hike next year.
5. Always be nice
As the old adage goes, you can catch more flies with honey than with vinegar. It’s the same with your customer service representative; be as kind and patient as possible if you want a positive result.
“You have to [negotiate] politely and make [the representatives] feel like you want to work with them and want to stay,” says Rayburn. “Too many customers call and tell them how bad their service is, and then they never get a discount. But if you do it professionally, it’s amazing how many times you can cut your bills. “
If you meet a rude agent who does not want to work with you or says that he cannot reduce the price, then you will certainly call back another time or ask the manager. But in most cases, Rayburn says, the customer service representative who answers your call first is entitled to provide at least some level of discount. It also debunks the myth that it is better to call at certain times of the day.
One final tip: if you managed to lower your score, be sure to check your report every month for errors, which are unfortunately too common. Are your discounts applied correctly? Were you billed incorrectly during a power outage? Check your invoice periodically quickly – especially since the price will likely change slightly from month to month – and contact your service representative if anything is wrong.
5 Steps To Help You Cut Your Cable TV Costs | LearnVest