Optus, Vodafone, Acer: I've had it with dishonest tech marketing!

Send to a friend Print

Help more people find out about this story

Del.icio.us
StumbleUpon

Dan Warne18 December 2007, 6:32 AM

Why don't tech companies just say what they mean? As a journalist, I'm sick of receiving essentially dishonest announcements from big tech companies.


Why don't tech companies just say what they mean? As a journalist, I'm sick of receiving essentially dishonest announcements from big tech companies.

Take, for example, Optus' press release announcing its cable speed upgrades, which stated:

"Optus has announced a speed upgrade on its Optus Cable Network. New and existing customers on the MyHome Broadband Cable and Optus ‘yes’ Fusion Cable plans accessing the network in Sydney, Melbourne and Brisbane will be able to enjoy speeds of up to 20Mbps."

Many journos reporting on this story fell into the trap I almost did; they thought Optus was offering the speed boost automatically to everyone on the cable network.

Indeed, one major publication reported:

"Customers on the upgraded cable network, which operates in Sydney, Melbourne and Brisbane, would not be slugged with additional charges, the telco confirmed.

“We're not charging customers a premium to receive this additional speed ... existing and new customers would experience the upgrade automatically," Optus consumer group marketing director Michael Smith said.

That could not be further from the truth. The only people who will get the new speeds are people on Optus' very latest set of plans that were only introduced in the last month or so.

Everyone else, including people on the original Fusion plans which didn't have excess data charges, would be forced to switch to one of the new, considerably inferior value, plans.

I was only alerted to this because I said in my original story that people on 'Fusion' plans would get the speed upgrade automatically, and one of Optus' PR people contacted me to advise that only people on the 'Yes Fusion' Plans would get the free speed upgrade.

The email exchange went like this:

"One small thing: the upgrade is eligible for Optus ‘yes’ Fusion customers not Optus Fusion Cable. Simple wording thing," the PR person wrote.

"Is that a different plan to the Optus Fusion plan? I was just trying to differentiate between Optus Fusion ADSL and Optus Fusion Cable..." I wrote back to her.

"We call them Optus 'yes' Fusion," was her response.

"So will people who signed up to the original Optus Fusion plan which had no excess usage charges automatically get the speed upgrade?" I asked.

"New and existing customers on the MyHome Broadband Cable and Optus 'yes' Fusion Cable plans accessing the network in Sydney, Melbourne and risbane will be able to enjoy speeds of up to 20Mbps^," she said.

"Were the original Fusion plans called Optus 'yes' Fusion Cable? I'm just trying to get a straight answer out of you on whether ALL 'fusion' customers will be able to get the new speeds, or only the ones who have the excess usage fees on their plans," I replied.

"Only the customers on the new Optus 'yes' Fusion plans," she said.

"And the Optus 'yes' Fusion plans are the second iteration of the Fusion plans, right? The ones with excess usage fees?" I replied.

Finally, came the response I needed -- a single word email, "Yes."

I'd spent half my day trying to nail down Optus to admit that only people on the very newest plans would get the speed upgrade.

This is so typical of telcos. They make extremely minor changes to the names of plans to cover themselves legally, rather than making it clear that they are offering dramatically different plans.

Legally, technically, Optus wasn't dishonest in its press release, because it did name the applicable plans in one paragraph of its release.

But the overwhelming message from the release was that new and existing customers would get the new speeds at no extra cost, and that was supported by numerous quotes from an Optus executive saying just that.

What Optus neglected to point out is that the very vast majority of its customers would not be on these brand new plans, and therefore they'd have to change plan to get the new speeds.

Vodafone's faux pas

Vodafone is competing for the prize of dodgiest press release of the day today, issuing one with the headline, "Vodafone customers get unlimited data access on mobile"

What would your reading of this be? Could it be ... unlimited data access on your mobile if you're a Vodafone customer?

No, don't be silly.

It's a $5 per month deal for unlimited email and instant messaging, and another $8 per month package that provides unlimited access to YouTube, eBay, MySpace and RSVP. You can get both together for $9.95 a month.

While this is a very attractive deal -- $5 for unlimited email and instant messenger is actually very cheap -- it's not what the headline says it is. It is not unlimited data on your mobile, as it can't be used with any application installed on your phone.

According to the press release: Arthur Panos, Head of Infotainment at Vodafone Australia said, “It’s simple: customers want access to their favourite sites on their mobile, without paying a fortune, and this is what we’re delivering. With simple pricing and unlimited monthly access, Vodafone customers will be in control of their monthly spend.”

Well no, Arthur, actually, if customers want access to their favourite sites, they will get no benefit at all from this 'unlimited data' plan unless they happen to like the same few sites as the ones included in this deal.

Vodafone fails to point out anywhere on its press release that if you were to use a third party application like the Opera Mobile web browser, for example, you'd be paying data usage charges as per normal.

So much for "unlimited data on your mobile".

Meanwhile, Acer's ads have the endorsement of an IT journalist...?

Computer maker Acer is also taking its advertising to new limits with the voice of an "IT journalist" on its radio ads waxing lyrical about how great Acer laptops are.

Except it's not an IT journalist speaking. It's someone commisioned by the advertising agency to say they're an IT journalist.

Apparently the words in the ad are from a journalist called Xu Rong En, an IT journalist in Taiwan. The ad was created for the Taiwan market and then translated into English for local use.

To me, that transcends a certain boundary. Following Acer's logic, you could get a CIO of a company in an impoverished economy to say that some company's servers were by far the most reliable servers, and then 'translate' that into English and have a "CIO" speaking about how reliable the servers were.

What's my point?

These are just three cases of what I consider to be essentially misleading communications from big tech companies in the last few days. I'm not picking on these companies particularly -- journalists get sent announcements like these constantly from all over the place.

My point is it's one matter to be technically, legally correct, and another matter to present the facts plainly, honestly and completely.

In my opinion of the three cases above, none of them presented the facts without trying to obfuscate their true meaning.

As a tech journalist, I can spot where facts have been massaged to say something other than what they literally say. But many mainstream journos who aren't techy and are simply looking to fill column space with a quick tech story won't spot it, and ultimately the wrong message will be conveyed to consumers.

Australian tech companies have a duty to be more open and honest with the buying public. One has to wonder how the advertising standards regulator, the ACCC, would view these ads in light of the Trade Practices Act.


Post your comment



Comments

RSS feed Email alert

An IT Guys:

As an IT guy on the coal face, Acer laptops are either forced by Silver City (Education Department for WA) or when the budget doesn't extend to the HP or Toshiba, or in some special cases, Asus.

I don't believe there is anyone (besides a paid shill) who would recommend an Acer unless there were some extenuating circumstances.

Lastly, I've learnt to steer away from companies that name their products or plans similarly or ambiguously. When you look through the terms and conditions, you'll find most of the references easy to confuse and especially hard to compare once an upgrade or plan change comes in to effect.

Take the Asus P5N32-E SLI Deluxe (nForce 650i motherboard with one 16x PCIe slot and one 8x PCIe slot) and compare it to the similarly priced Asus P5N32-E SLI (nForce 680i motherboard offering 2 full 16x PCIe slots). The P5N32-E SLI is actually the no-frills (ie no wanky LCD, etc) version of the Asus Striker Extreme. Almost every reseller pushed us towards the deluxe, because people get confused and buy the board with a higher margin and wankier title. In fact, one reseller asked for a copy of my parts list because the parts looked lesser quality on first glance, but after research were much better (performance and/or value) than the competition.

29 February 2008, 8:32 PM (1 year ago)report abuse Send to a friend reply

Anonymous19:

you are blaming optus for not getting it right? that's weird...

29 February 2008, 8:32 PM (1 year ago)report abuse Send to a friend reply

Dan Warne:

I didn't get it wrong (apart from referring to Optus 'yes' Fusion plans as 'Optus Fusion', which seems reasonable to me but because of shifty wording on Optus' part, turns out to be a completely different plan). 

However, many other journos did, reporting that all customers would get the speed upgrade automatically at no extra cost. Not surprising at all, considering Optus' press release actually stated:

"Optus is not charging its customers a premium to receive this additional speed with existing and new customers experiencing the upgrade automatically."

There was, in fact, only one paragraph in the press release that mentioned plan names, and it did very little to make clear that only customers on these plans would get the speed upgrade, given the extensive comments in the press release about "all" customers getting the speed upgrade automatically, at no extra cost.

Optus could have made it clear by saying "customers on currently advertised plans will get the speed upgrade automatically" but it went out of its way not to say that.



29 February 2008, 8:49 PM (1 year ago)report abuse Send to a friend reply

Anonymous12345678:

Do I hear a lawsuit? Is that the ACCC at the door?
Same crap different day, nothing will happen yet again they will get away with it.


29 February 2008, 8:49 PM (1 year ago)report abuse Send to a friend reply

Anastasia:

Dan, I liked it better when you going for Telstra!!

29 February 2008, 8:49 PM (1 year ago)report abuse Send to a friend reply

Dan Warne:

Ha! :-) I go for whoever is doing the dodgy at the time. Telstra often accuses me of being biased but the reality is they just give me a lot more to work with than any other telco. 

29 February 2008, 8:49 PM (1 year ago)report abuse Send to a friend reply

Claudia:

Note: this post was lightly edited by APC staff to comply with our comment rules. 

Classic Telstra. This is quite the odyssey, gentle readers, so come with me now as I chart the voyage of why, in my opinion, Justin Milne should be sacked.

I signed up for Telstra Next G Broadband and was told that I had to get the device from a Telstra shop. Went into 400 George Street and stood for 8 minutes whilst the Team Leader ignored me and OJT'd one of her staff.

Finally, someone served me who had NO knowledge of the Next G product and kept tyring to sell me Next G for my phone, not my laptop.

Then I couldn't sign up at the store but had to do it on the website. I could have also saved myself a trip to the store and pruchased the device from www.telstra.com

Alrighty. The device was faulty. I spoke to three different departments, none of whom knew how to send a replacement, and finally got someone who sent a replacement device.

1. That replecement was the wrong device.
2. The next replacement was the wrong device
3. The third and fourth replacements never turned up although Telstra charged me an additonal $299 for one of them.

Went into the Pitt Street Mall store to get a replacement device. They had none and told me to walk over to George st. I asked them to ring there,w hich they did reluctantly, and lo, that store had no devices.

No one could help me.

Assistant manager refused to swap deivces and refused to take the two I had in my possession back and actually accused me of stealing the devices and trying to sell them on eBay!!! Blood letting ensued and I was ordered from the store after he refused to show me who the actual store manager was.

Rang the call centre who could not tell me how to return the devices except by use of a return mail bag which they would send immediately and which to this day has never turned up.

Emailed the BigPond MD Justin Milne.

So, Justin does not respond to my email but does get a customer service minion to ring me. She sets me up on the wrong plan, with wrong device, using the wrong email address (claiming later that I had insisted that the domain I quoted was "bigponds" as opposed to "bigpond" which is the company she actually works for but clearly doesn't know the name to).

That device never, ever showed up.

Still with me? Gets worse. Another device is sent to me and goes to the wrong address even though I had her confirm the correct delivery address three times.

Finally, the right device arrives and you guessed it, it was faulty. Not only that but the first plan that was attached to the first faulty device is continuing to acrue fees even though I was told by two call centre operators that the plan was closed and the fees refunded.

So, finally get hold of two tech guys from Townsville who were both excellent. I had to reconfig my USB ports (I have a Portege R500 and there is some speculation that the laptop specs are not compatible for this device) and do a few other things and finally it started working and has been reliably working ever since.

I finally received a return envelope and returned the devices. The promised "Sorry for inconviencing you" complimentary account credit has never hit the account and I have to this day heard nothing from dear ol' plodding Justin.

The store employee who accused of stealing these devices when I was trying to just hand them back (I didn't want money, I just didn't want to hold on to them any longer) and who ordered from the store, is still employed by that store.

I'm ravingly happy with the service now. I travel extensively for work and the technology has so far been reliable and fast but the process to get to that point was excrutiating.

Technology has most likely allowed God to finally see what he’d created close up. And, then he boggled at how there isn't a website called www.howcantelstrabesoincompetent.com. 



29 February 2008, 8:49 PM (1 year ago)report abuse Send to a friend reply

Jarrod Spiga:

Perhaps Optus should revert to the unabbreviated version of the name for their broadband plans - CONfusion...

29 February 2008, 8:32 PM (1 year ago)report abuse Send to a friend reply

Oz Dogan:

At last a fair dinkum ausie speaking his heart out.
Let me thank you for showing the rest of the world the truth behind some of the wrong and misleading advertising done by large corporations.

I NEVER ever take any of the TELCO's advertising serious enough to make a move on their offers.

There are so many thousands and thousands of common folk out there in the world who fall into this sort of trap.

The Telco's phone deals are one of the industries worst examples where old technology is flogged out to the poor unsuspecting buyer that the phone they are buying is actually out of FASHION and out of date. They (Telco's) have a sale because the TELCO's or who ever is offering them have OBVIOUSLY purchased them at a discount price from an overseas outlet most probably CHINA. It is all about MARKETING and getting unsuspecting and un-thinking common folk to part with their money.

NO Telco or any other company does anything to benefit anyone other-than themselves. This final point is the truth since all businesses operate on the principle of

"buy low sell high".

And don't tell me it's about covering costs. No business is out there to cover costs.

Ta.


29 February 2008, 8:32 PM (1 year ago)report abuse Send to a friend reply

Kelvin:

I think telecommunications salespeople have replaced the second hand car salesman as the "Dodgy Brothers" for the 21st century.

I don't know anyone who takes phone/internet plans at face value, and everyone assumes there is a catch in the fine print. It's just sad that we now all assume this is normal practice.

29 February 2008, 8:32 PM (1 year ago)report abuse Send to a friend reply

Slippery Jim DiGriz:

The mere fact that we are reading this coloumn proves that yes, we (and probably many of our friends/colleagues) are exactly the type of people who will never take a Telco at their 'word' but unfortunately a lot of people do.

What does the recently retired granny who wants broadband so they can skype/messenger/ichat with their relatives around the globe know about deciphering techy small print. It really is bending the rules of legitimacy to the very edge of breaking point.

29 February 2008, 8:49 PM (1 year ago)report abuse Send to a friend reply

Peter B:

ISP's and mobile phone providers have been like this since the beginning. After catching many unsuspecting people out early on, it has since come to be expected.

This is part of the reason why I'm so happy with using Internode as my ISP. Whilst their broadband plans are not the best value per GB, they always make an effort to communicate clearly, without obfuscation or deliberate trickery to their customers. If a business or technical change is going to affect some of their customers negatively, then they'll explain why their doing it. They'll attempt to justify why they're bringing a price increase, removing a favoured service, or changing the way they handle excess downloads.

Every technical maintenance job that may in some way affect customer's service (slow net connection, no help desk via phone, authentication issues, etc) is available via RSS feed to all customers including a time frame, likely problems that may be experienced and what exactly is being done. Even a slow down affecting just one exchange for 5 minutes whilst a router is being rebooted is reported.

This kind of transparency is gold. I want all of the companies I form high-value relationships with to communicate so openly with their customers. Unfortunately, businesses seem to be so entrenched in the idea of snatching every available dollar from blind customers, that they consider no other option than to keep their customers in the dark. To them, it seems the best plan.

If businesses didn't fear the exposure (to consumers, competition, and regulators) of their own behaviour and practices, then there'd be less need to hide the plain truth from their customers. Such deceptive press releases and advertising are only one part of this problem.

There needs to be an easier way to identify and patronage honest and communicative companies.

29 February 2008, 8:49 PM (1 year ago)report abuse Send to a friend reply

thepowersgang:

These tactics should be against the law because they are all trying to mislead the customer. If you have to go through obscure and long channels to find the information then it is akin to being conned.

29 February 2008, 8:32 PM (1 year ago)report abuse Send to a friend reply

David Urquhart:

I can well understand the irritation journalists feel.

I think there will be a backlash against big tech companies for behaviour that for want of a better term I would simply call 'evil'.

My pet gripe at the moment is aimed at Microsoft. How pathetic is it that they don't allow you proper and clear means to have your hotmail forwarded to another email address. It's akin to locking your wife in and it's ugly to try to force people to stay with you.

I don't think Microsoft is going to succeed with 'Live' or any other online service marketing until they show some basic decency to people. Long term profit depends on customer trust and Microsoft has really blown it. But it's never too late to change. Their development tools, operating systems, content creation tools, online services including search, games and every other source of revenue is going to be retarded until they do change. Neither can they expect to hire their share of the best and brightest until they stop acting so last century.

Meanwhile every fund I know is shorting MSFT. I am interested to hear an official Microsoft reply instead of the deafening silence in response to this and many many other complaints. Then I will start evaluating the features in Microsoft products without a massive discount for the 'trap' factor. I bet it was the risk of loosing government sales for this reason that MS Office adopted the XML based document formats.

Come on Mr Balmer, you guys have got to start leading again - the market is punishing you for defensive behaviour that offers nothing but reduced future returns.

29 February 2008, 8:32 PM (1 year ago)report abuse Send to a friend reply

McBanjo:

There's only one thing you can do in situations like this.

Ditch M$.

Any Apple fanboy haters cover your ears, but this has to be said. I bought a two year old Macbook Pro off of eBay. Upon arrival the battery didn't work properly. Being way out of warranty I thought it would be worth a try to try and get the battery replaced. I got a new battery, no questions asked on a TWO YEAR OLD LAPTOP exactly one week later!

I was blown away! Now THAT is service.

29 February 2008, 8:49 PM (1 year ago)report abuse Send to a friend reply

tin:

Apple has the same problem as MS... It's proprietary and closed. Only Apple is worse because they lock you in on the hardware too.

29 February 2008, 8:49 PM (1 year ago)report abuse Send to a friend reply

Renegades:

I wish I could say the same for my iPod which has probably been lost. I gave apple the iPod, which was still covered by warranty, almost two months ago now, and it only needed a battery.

29 February 2008, 8:49 PM (1 year ago)report abuse Send to a friend reply

Draicone:

"Microsoft Windows ® did not fit within our budgets and was unusable for any of our desktop needs." — Industry-leading CIO of a multi-national corporation.

29 February 2008, 8:32 PM (1 year ago)report abuse Send to a friend reply

graham.lv (User):

".voice of an "IT journalist" on its radio ads waxing lyrical about how great Acer laptops are. ."

My Acer laptop lasted a year. I'll never buy another laptop, as I can build and service desktops easily.

24 April 2009, 5:30 PM (2 months ago)report abuse Send to a friend reply

anonymous user Anonymous user


Tags