How to reduce your broadband bill
Why pay a penny more than you have to? These are our top tips for reducing your broadband bill
Broadband is more affordable than ever but in many cases, it’s still possible to pay less without having to switch providers. While changing your service is easier than ever, it’s still a mild hassle, which means that haggling should be your first port of call if you feel like you’re paying too much.
We’ve been listening to customers’ stories and documenting deals for many years and there are always accounts of how regular customers like you can end up with a much better deal simply by asking.
Of course, nothing has a 100% success rate but there’s no harm in trying. And, if all else fails there are many other great broadband providers to choose from.
Why switching isn’t always the best way to save money
Since the government and Ofcom (the UK’s telecoms regulator) have made it easy to switch to other providers if you aren’t happy with either your bill or your service, common wisdom holds that you should regularly shop around.
This is certainly a valid approach but being less hassle doesn’t make something hassle-free, so it’s worth exploring your options with your current provider first. If they can make you happy and save you the effort of hopping over to another internet service provider (ISP), everybody wins.
Research the best deals before you pick up the phone
Before you let your current service provider know that you want to negotiate a better deal, it’s a good idea to arm yourself with examples of superior offers from competitors. Your ISP won’t be in the mood to negotiate if you don’t actually have anywhere else to go.
So the first thing that you should do is spend some time checking out the best broadband deals in your area that you could choose instead of your current provider. When you’re actually in the middle of negotiations, you can then point out what you could get for the same, or less, money.
Pick the time when you have the most leverage
When you sign a contract with a service provider, you have different levels of pull with them depending on where in the contract you are. If you’re on a month-to-month contract you can try to haggle for something better pretty much whenever you like but, if you’ve signed a three-year contract and you’re just a few months into the first year, your provider has far less incentive to negotiate a better deal.
The most common reason for wanting a better deal in the UK is most likely mid-contract price hikes. Nearly half of all broadband customers have been stung by these increases, and they can be a nasty surprise.
The good news is that Ofcom’s rules make it so that if the contract doesn’t clearly state that there will be mid-contract increases, the provider must give you 30 day’s notice [of any increase], and the option to end the contract without penalty, as per Page 7, Footnote 5 of Prohibiting inflation-linked price rises.
If your contract falls into this category, then you have a strong case for having the increase reduced or reversed, under threat of simply leaving for greener pastures.
Talk to a human
So, armed with knowledge of the best deals you can currently get and your consumer rights in the UK, it’s time to get in touch with your ISP.
These days, that’s easier said than done. The first line of contact is usually a chatbot of some description, and many companies don’t even have phone numbers you can call. For our money, the ideal channel to haggle is a phone call with a real human being on the line – as they said in the Terminator movies, you can’t negotiate with a machine.
If talking on the phone isn’t an option, or you’d simply prefer not to, then the next best thing is a live chat with a real human being.
Whatever communication channel you choose, make sure you insist on speaking with a real person. More importantly, you want to speak to someone who actually has the power to give you a better deal. The rank and file customer service agent may not even have the authority, or a very limited number of token concessions they can make. So ask to speak to someone who can actually do what you’re asking for, as a matter of principle.
A simple haggling playbook
Now that you have a human being on the line (or in a chat window), it’s time to put your preparation to work. First, make it clear why you aren’t happy with your service. If you’re aggrieved at the price increase, or you’ve found a much better deal elsewhere, make that plain. The goal here is to have your current provider try and match your alternative offers.
Be sure to mention any other reasons you can’t afford the price increase, or why you need to look for an alternative. If you have a technical or service issue that makes you feel like you’re not getting your money’s worth, that’s absolutely something you should include as the overall case you’re building to get a discount or a reversal of an increase.
Ask upfront what they can offer you to make up for the shortcomings of the service, or if they can match a competitor’s offer. Make it clear that if not, you’re ready to walk. Believe it or not, the provider would rather get some money from you than nothing and there are many reasons to retain current customers beyond pure profit.
There are other compensations than money
While the idea here is to pay less for your broadband, an alternative is to get better value for the money you’re already paying. So perhaps you can accept an upgrade to better speeds, less throttling and a generally higher tier of service. Anything to make your money go that little bit further.
The Retention Department is your friend
If the service consultant or supervisor feels like calling you on your bluff, there’s one more angle of attack. Indicate that you want to cancel your contract (with or without penalties, depending on your contract) and you’re likely to be routed to the “retentions” department.
Their job is twofold. First they want to prevent customers from leaving, and second they want to know why customers are leaving. As such, retention department agents have more leeway, and more tricks in their bags to keep customers in the fold.
You’ll have to restate your case to the retention agent, and make it clear that you are willing to stay if they can give you a better deal. The retention agent may try to convince you that you’re already getting a good deal. They will also try to convince you that their competitors have issues beyond the on-paper deal you’re considering. After all, they want to retain you.
Your only job here is to remain politely steadfast, and be firm that unless you get a better deal you’re leaving. If the agent makes you an offer, you’ll have to decide for yourself if it’s good enough to stay.
Don’t get duped
Getting a better offer can potentially be a double-edged sword. So if you get a lower price, beware that it doesn’t come with hidden downsides – the most obvious of which is being locked into an even longer contract.
As a general rule, the longer you’re locked into a contract, the less favorable it becomes over time. At least when it comes to broadband contracts.
So, just as with a new contract, carefully scrutinise the fine print of your new offer, and make sure that what you’re being offered is actually a better deal.
When in doubt, take the leap
If your provider just won’t budge and even the retention department can’t sweeten the deal enough, then you really have no reason to stay with your current provider. While being mindful of any penalties you might have to pay, it’s probably time to go with one of the alternative providers you researched before taking your shot.
Any one of our award-winning broadband providers would be a fine choice but Three and Hyperoptic, in particular, stand out for offering great value and some of the lowest prices on the market. Even better, Hyperoptic doesn’t have mid-contract price increases and delivered brilliant speeds in our testing, backed up by sentiments from our broadband survey.
There’s plenty of competition in the broadband provider market, so there’s no reason why you should settle for anything but the best value for your money.