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August 10, 2015

Walmart’s Got the Lowest Priced Unlimited Cell Plan?

Filed under: Electronics,Retail — Edgar (aka MrConsumer) @ 6:13 am

  Joe S. wrote to Mouse Print* last week about a Walmart television commercial for cell service that he thought was misleading. Here’s the commercial (and listen very carefully to their lowest price claim):



It says “and at $29.88, it is the lowest price unlimited plan that includes 4G LTE.” That is an unambiguous, unqualified lowest price claim.

But wait, there’s some hard-to-read fine print.

*MOUSE PRINT:

Walmart lowest claim

The fine print qualifies the blanket lowest price claim saying that it is the lowest priced among the offerings that one can buy at Walmart. That is a far different, and narrower claim, and certainly not what any reasonable consumer would understand listening to the commercial.

So we wrote to Walmart’s PR folks and asked two questions:

1. Do you recognize how a viewer could misconstrue the oral claim in your current commercial to mean that your $29.88 plan is the lowest priced 4G LTE plan IN THE MARKETPLACE because you do not qualify the claim?

2. Will you change the commercial, such as by saying “OUR lowest priced plan” instead of “THE lowest price plan”?

Walmart did not respond.

And just in case some of you are saying that maybe their claim is true that they are the lowest price in the market. Nah. Boost Mobile just announced a switching promotion to offer a $20 plan with unlimited talk, text, and data, with 2.5 gigs of high speed LTE data.

Boost $20 plan

Now it is not as if we were asking Walmart to do something difficult — change one word in the commercial so it wouldn’t be deceptive. And it is not as if they had never done it properly before. Here’s a similar commercial from last year where they clearly say orally that this plan is “our lowest priced family unlimited plan.”



You have decide what it says about a company that won’t fix a misleading advertisement when it is brought to their attention.




  ADV


• • •

July 13, 2015

With New LED Light Bulbs, Be Careful Watt You Buy

Filed under: Electronics,Food/Groceries,Retail — Edgar (aka MrConsumer) @ 5:13 am

  Light emitting diode (LED) light bulbs are poised to become the bulb of choice for many shoppers. With a recent price drop announced by GE, it is predicted that LED light bulbs might in coming years make compact fluorescent bulbs (CFLs) obsolete.

But not all LED bulbs are created equal.

Here is a conventional incandescent 60-watt bulb and its CFL equivalent:

60-watt incandescent     cfl

The conventional 60-watt bulb has a life of about 1000 hours, and is rated at 870 lumens (the brightness or amount of light it gives off). But the CFL uses only one-quarter of the electricity (15 watts), lasts eight times longer, and produces slightly more light — 900 lumens — at least initially. That CFL cost a dollar or less.

The new GE bulb, called the GE LED Bright Stik, comes in packs of three at Home Depot for $9.97.

GE Bright Stik

*MOUSE PRINT:

While it uses one-sixth of the electricity of an incandescent, and a third less than the CFL, it only provides 760 lumens of light versus 870-900 lumens for the other two. It also provides a paltry 15,000 hours of life — short for an LED.

It appears that GE has sacrificed longevity and light output for a lower price. Compare the specs of some of its competitors:

*MOUSE PRINT:


60-Watt Equivalent LED Bulb Comparison
chart
“Conventional” refers to bulb shape

As you can see, prices and specs vary widely. The point of this comparison is to show that you shouldn’t assume that all LED bulbs of a certain wattage equivalent provide the same amount of brightness or have the longest possible life.




  ADV


• • •

July 6, 2015

Sprint’s New Pitch: (Not Quite) All-In Pricing Plan

Filed under: Electronics,Internet,Telephone — Edgar (aka MrConsumer) @ 5:44 am

  Could it be that some of the top executives at the cell and cable companies have been reading our latest rants in Mouse Print* about deceptive low-ball pricing and unexpected additional charges and terms. Probably not. But, as if to say “we can hear you now,” Sprint started a big promotional campaign last week touting its new “all-in” pricing plan.

Sprint’s CEO put it this way:

“If you went to a restaurant that advertised a cheeseburger for 99-cents, but when you show up, they said it’s an extra $2 for the bun or $1 for lettuce, you would feel misled. Yet, that’s what the industry has been doing with its wireless plans. Why can’t everyone just advertise the full price of both the plan and the smartphone – an All-In plan? That was the idea behind what we’ve created.”

As part of the campaign, Sprint produced this extended commercial that pokes fun at its competitors who double-talk customers about all the extra charges they impose.



Wow. One monthly price for service and the phone.

Not so fast.

*MOUSE PRINT:

Sprint $80 a month

The $80 price you see is not the price you pay. Taxes, surcharges [including USF charges of up to 17.40%(varies quarterly), up to $2.50 Admin. & 40¢ Reg. /line/mo. & fees by area (approx. 5-20%)], roaming fees are still extra, and there is a $36 activation fee. Although this screen doesn’t say it (a prior one does in small print), this is for the lease of a phone. So you don’t own the phone, and will have to pay $200 at the end of two years if you want to keep it.

And here’s a new one: apparently Sprint is capping/throttling the speed of streaming videos to just 600Kbps — more like the 3G speeds that it uses on its prepaid service for videos.

So much for advertising a price that is “all-in.” Thanks, Sprint.

UPDATE: This video streaming restriction caused outrage among Sprint users and watchers, and within 24 hours Sprint backtracked removing that throttling of video speeds.




  ADV


• • •

June 29, 2015

You May Not Own Your New Cellphone

Filed under: Electronics,Telephone — Edgar (aka MrConsumer) @ 6:07 am

  If you are about to get a new cellphone from Sprint or T-Mobile, you better read the fine print, because you may not actually be buying that phone. You may only be leasing it.

MOUSE PRINT*:

Sprint ad

That’s right. Sprint is turning back the clock to the 1950s when you paid a monthly rental fee to Bell for your black landline Western Electric telephone. The difference: you are responsible for repairs if you don’t have a costly protection plan or warranty, and that old phone really sounded good.

For the iPhone 6, $20 of your monthly payment for 24 months is a lease payment, because under this plan, Sprint owns the phone. What happens after the lease ends?

  • You can turn in the telephone, get a new one if you want, and pay its monthly lease payments.

  • You can continue leasing it at an undisclosed monthly cost.

  • You can buy it outright for an undisclosed “purchase option price.”

  • The first option assumes your phone is in “good working condition.” If it isn’t, or if you lose the phone during the lease term, you owe the balance of any yet-to-be-paid monthly installments plus the “purchase option price.”

    If you opt to buy your Sprint iPhone 6 at the end of the lease, they will charge you $200 according to a local Sprint representative. That makes the phone slightly more expensive than buying it outright to start.

    Not to be outdone, effective this week, T-Mobile joins the leasing world also, by offering Jump on Demand. It is an 18-month lease program that allows you to upgrade your phone up to three times a year. T-Mobile, however, adds all kinds of penalties if the phone you turn in is not in working order.

    *MOUSE PRINT:

    You could be charged up to $750 in fines for the following:

    Cracked Screen Damage fee – $250
    Liquid Damage fee – $250
    Device does not power on fee – $250

    There are a whole bunch of other terms and conditions in both the Sprint and T-Mobile lease programs. It is getting to the point that you need a Ph.D. in cellphonery to understand all the choices, options, and terminology.




      ADV


    • • •

    June 8, 2015

    The Price They Advertise is Not the Price You Pay

    Filed under: Electronics,Internet,Retail,Telephone — Edgar (aka MrConsumer) @ 6:08 am

      Enough is enough. Isn’t it time that cell and cable companies stopped advertising seemingly low monthly prices for their service, while tacking on a multitude of junk fees, undisclosed charges, and taxes that significantly boost your bill?

    Recently the Huffington Post did an exposé, using Verizon FiOS’ new pick your own channel bundle for $74.99 as an example. When you added all the other charges, you actually had to pay over 60% more than the advertised price.

    *MOUSE PRINT:

    Huffington Post
    Click to Enlarge

    There were equipment/HD fees, FDV administrative fee, broadcast TV fee, regional sports fee, franchise fee, USF fee, federal/state/local taxes, etc. There could also be installation fees, activation fees, and early termination fees depending on the offer.

    Verizon is certainly not alone in tacking on all these fees. Comcast and Time Warner are equal opportunity offenders, as are the wireless cell companies.

    Is it any wonder that these types of companies rate low in customer satisfaction surveys and on trust indices?

    Maybe there needs to be a requirement, like airfares, that a single all-inclusive price must be the amount advertised, and not these bait and switch prices.




      ADV


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