I’ve written several times about the significant savings you can achieve if you haggle with your media providers like DirecTV, be it broadband internet, telephone, or cable/satellite TV. A simple phone call can save you hundreds of dollars per year. This is as true today as in past years, and below is a collection of all related tips as well as some new information.
Why does it work?
Media service is like banking. People tend to stick with who they have, and the companies make tons of money from it because they can raise prices and most people just accept it. As a result, competing companies have to offer rather juicy deals to make people switch. But since customer acquisition is so expensive, if you let your existing company know that you’re shopping around, they will gladly give you a temporary incentive to stay. Media is so profitable that they can give you a discount of $20-$40 a month and still make money.
Of course, they don’t offer this to everyone because your neighbor is probably paying full price without complaint. In behavioral finance terms, this is called price targeting.
Negotiating Tips
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