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People Still Don't Like Their Cable Companies, ConsumerReports' Telecom Survey Finds (consumerreports.org)
Larger cable providers once again take a beating for perceived value -- even when it comes to bundled plans. ConsumerReports: Unhappy with your pay-TV company? You're not alone. Dissatisfaction with the perceived value of pay-TV service was once again high among the 176,000 members who participated in Consumer Reports' latest telecommunications survey. When we asked for feedback on their experiences with pay TV, home internet, home telephone service, and bundled plans, they shared their displeasure. In fact, most of the larger cable companies -- Optimum (Cablevision), Comcast, and Spectrum (Charter, Time Warner Cable, Bright House Networks) -- earned low scores in multiple categories, settling into the bottom half of the 25 providers in CR's new telecom service ratings.
Only 38 percent of pay-TV subscribers were highly satisfied with their service, meaning they were "very" or "completely" happy with the offerings. Armstrong, a smaller cable company that operates in Kentucky, Maryland, New York, Ohio, Pennsylvania, and West Virginia, earned the second-place slot behind Google Fiber, in part due to favorable scores for technical support, reliability, and customer service. Verizon and the two satellite-TV companies -- AT&T's DirecTV and Dish Network -- also rated better than Cox Communications, Comcast, Spectrum, and Optimum.
Top-rated EPB, a municipal broadband service run as a public utility in Chattanooga, Tenn., was one of the few bright spots for internet service. It was the only company to receive a top mark for value. It also got top marks for speed and reliability. Google Fiber was a close second in the ratings, the only other company to get a favorable mark for value.
Nearly three-quarters of the survey respondents who have a bundled plan -- TV, internet, and phone -- said they got a special promotional price when they signed up. And 45 percent were still enjoying that rate when they answered our survey.
Only 38 percent of pay-TV subscribers were highly satisfied with their service, meaning they were "very" or "completely" happy with the offerings. Armstrong, a smaller cable company that operates in Kentucky, Maryland, New York, Ohio, Pennsylvania, and West Virginia, earned the second-place slot behind Google Fiber, in part due to favorable scores for technical support, reliability, and customer service. Verizon and the two satellite-TV companies -- AT&T's DirecTV and Dish Network -- also rated better than Cox Communications, Comcast, Spectrum, and Optimum.
Top-rated EPB, a municipal broadband service run as a public utility in Chattanooga, Tenn., was one of the few bright spots for internet service. It was the only company to receive a top mark for value. It also got top marks for speed and reliability. Google Fiber was a close second in the ratings, the only other company to get a favorable mark for value.
Nearly three-quarters of the survey respondents who have a bundled plan -- TV, internet, and phone -- said they got a special promotional price when they signed up. And 45 percent were still enjoying that rate when they answered our survey.
I'd argue that the problem is too little competition. Especially if you're relying on your cable company for Internet service. In most places, the local cable company is the only Internet access provider or one of two providers. And by "local", I mean "giant cable company who serves your area." Without meaningful competition, a company doesn't need to invest in customer service. After all, customer service costs money and customers have few, if any, other options. For example, Charter's Spectrum is the only wired Internet provider in my area. So even if I hate them (I'd definitely say I'm highly dissatisfied), I have no other options. I can reduce what I pay them by cutting the TV service cord and not having a home phone via them, but I'm still tethered to them by Internet service. They know this and can engage in whatever trickery they like knowing that I can't switch without significantly impacting my home Internet usage.
Now, if there were four or five different providers, then Spectrum would be forced to either give me good service or see their customers flee to Providers 2, 3, 4, or 5. The providers with good customer service would increase their customer base while the ones with bad customer service would either be forced to improve or go out of business.
This would also fix issues with TV service. Providers with good TV service would thrive while those stuck in the past would continually lose customers.
My sci-fi novel, Ghost Thief, is now available from Amazon.com.
Think of all the industries with shitty customer service ratings:
1) Cable
2) Cellphones
3) Utilities
4) Airlines
5) Car dealers
What do they all have in common? They lack any real competition. In every case the customer has little or no choice of their service provider. With airlines the choice is fly or take the train or drive. In most cases the alternatives are impractical. With car dealers, unless you are buying a Tesla, you have to work through a dealer network. In most cases that is actually protected by law. The only viable alternative is to buy a used car or don't drive.
It's not much better with cellphones. Service generally sucks, service sucks, coverage sucks and it's expensive. At one time I remember rumors of Apple entering the cell service market. It turned out not to be true but I wish they had.
It's a little different with cable companies. With traditional cable you have the traditional oligopoly. But there is a viable alternative - cut the cord. Get an antenna, NetFlix and maybe Hulu or Amazon and you don't need the cable companies anymore. The cable companies know this and respond in typical fashion - by trying to punish their customers for leaving. Good luck with that strategy boys. Meanwhile their customer service ratings continue to stink and people are cutting the cord at an ever increasing rate.