That does make sense that you need take rate when you are spending dollars per foot of network built. You've spent $1k to cross that lot, might as well get a customer hooked up at any price (assuming a comfortable ROI length).
----- Mike Hammett Intelligent Computing Solutions Midwest Internet Exchange The Brothers WISP ----- Original Message ----- From: "Mark Radabaugh" <m...@amplex.net> To: "AnimalFarm Microwave Users Group" <af@af.afmug.com> Sent: Thursday, July 16, 2020 7:06:36 PM Subject: Re: [AFMUG] OT: Details on the Starlink router The fiber builds are targeting a different market than our fixed wireless. We have to build out fiber to our tower sites that are predominantly in small villages that have cable systems. The pricing and marketing is all aimed at competing with Spectrum and taking market share from them. I need the take rate more than I need the ARPU when we are competing with cable. Mark On Jul 16, 2020, at 12:16 AM, Darin Steffl < darin.ste...@mnwifi.com > wrote: Wouldn't you be better off selling one plan like Google? A gig for $70. Or at least get rid of the $50 plan. Do 50 Meg for $60 and gig for $70. That way it's almost a no brainer to go with the gig. 20x more speed for only $10 more!!! I bet your profit would be higher overall, even with slightly fewer customers. I don't think it's about the highest market share, but rather highest profit. We've been working on raising our ARPU for the wisp and we're over $82 right now. Yes we lose a handful of customers from price increases but we overall make more money since most don't cancel. Our customer count has increased every month since we started in 2012. Back then our arpu was about $54 and it's increased to $82 now. I've talked to wisps that are even higher in the triple digits. Any business not raising their prices when demand is this strong is leaving money on the table. This is totally dependent on competition I understand. For us, we try to be the most reliable with the best customer service. This allows us to sell a premium priced service compared to dsl and other wisps. Word of mouth from our existing customers drives our sales. On Wed, Jul 15, 2020, 7:35 PM Mark Radabaugh < m...@amplex.net > wrote: <blockquote> <blockquote> On Jul 15, 2020, at 6:55 PM, Ken Hohhof < af...@kwisp.com > wrote: So you’re selling 25M of bandwidth and 975M of bragging rights? Yep, exactly. And that’s all it is really. <blockquote> Gamers probably use the gig speed for awhile whenever a new gigantic game comes out. But that’s not like video streaming which I swear some people do 24x7. </blockquote> Once in a blue moon somebody manages to peg it out long enough to show up on a 5 minute average. I found this interesting in that statistics: We offer 100Mb, 250Mb and GigE plans at $49.95, $59.95, and $79.95 Of those plans 41% take the 100Mb plan, 38% select 250Mb, and 20% take the Gigabit plan. The typical distribution would be that the middle plan having the highest percentage - and it doesn't. To me that says that customers are seeing value and plenty of speed at 100Mb. A few guy who need bragging rights take the Gigabit plan. We thank them for the contribution to the retirement fund. Mark -- AF mailing list AF@af.afmug.com http://af.afmug.com/mailman/listinfo/af_af.afmug.com </blockquote> -- AF mailing list AF@af.afmug.com http://af.afmug.com/mailman/listinfo/af_af.afmug.com </blockquote> -- AF mailing list AF@af.afmug.com http://af.afmug.com/mailman/listinfo/af_af.afmug.com
-- AF mailing list AF@af.afmug.com http://af.afmug.com/mailman/listinfo/af_af.afmug.com
