Telstra confident users won't abandon BigPond

By Darrin Barnett, AAP
21 October 2003 04:00 PM
Tags: darrin, barnett, telstra, abandon, bigpond, aap, users, switkowski
AAP

Telstra remains confident customers will not abandon its stricken Internet service provider BigPond, despite difficulties for its 1.5 million users dragging into a third week.

The onset of the Swen virus has crippled Australia's biggest Internet service provider in recent weeks, with some emails delayed by up to 48 hours.

While a widely-touted class action has so far failed to materialise, Telstra last Friday announced AU$25 million worth of rebates for e-mail service delays.

Some analysts have predicted Telstra could lose market share in both the residential and key small to medium enterprise (SME) sectors as a result of the problems at BigPond.

But chief executive Ziggy Switkowski said today that no sign of customers shifting to other internet providers, or churn, had been detected by the company, with brand loyalty a major factor when considering Telstra customers.

"We have not seen any churn yet and maybe that's not surprising," Dr Switkowski told an analysts briefing.

"Certainly, we've seen -- over this two week period -- a growing number of customer complaints and calls, which have now stopped, and that has got to be a leading indicator of customer frustration. "But our experience with Telstra customers is that we have quite a large deposit of trust there with them, providing that we can recover from the issues."

Dr Switkowski said last Friday the company would also provide customers with virus and spam filters and personal firewall software free of charge for three months.

He said the Swen virus had generated a 20 to 30 per cent increase in traffic on its networks in the past few weeks, with all of its e-mail customers affected by a slower service.

But by today, Dr Switkowski said today the service was retuning to normal.

"I'm determined to completely remediate the situation and ensure that we avoid difficulties such as this again in the future," he said.

"We have 33 out of 34 mail stores operating at 70 per cent or less load, which means we have now added substantial capacity headroom even as we are continuing to operate with much higher current levels of traffic."

Dr Switkowski said that all new e-mails were now "flowing normally" and levels of customer complaints to call centres were back to their usual levels.

"The residual customer concerns are now focusing upon old e-mails which are now circulating somewhere between various cyberspace relays," he said.

"These e-mails will be progressively delivered in the days ahead."


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Talkback 12 comments

    Why would customers stick with ...Anonymous -- 21/10/03

    Why would customers stick with BigPond? Look at the list of PLANNED outages:
    http://telstra.com/servicestatus/status.asp?product=5&productname=BigPondBroadbandADSL
    This is the list of problems that Telstra KNOW will occur in the future...who knows how many further 'unplanned' outages might hit their system...they're rubbish...avoid at all cost!

    Telstra probably won't loose t ...Anonymous -- 21/10/03

    Telstra probably won't loose too many meal tickets, I mean customers, simply because the majority of them are stupid and ignorant.

    They believe Telstra's crud about a virus causing the outages rather than a badly designed/maintained/secured network and believe that since Telstra advertises more than all other ISPs put together that they must be the best.

    They also buy into the 10% discount if you have your home/mobile/internet with telstra while in reality it seems to only be 10% off local telephone calls only and nothing else.

    They'd save far more than that 10% by switching any or all of their services to a provider that values its customers rather than just relying on its customers believing that top dollar equals top quality.

    Email have been deleayed for m ...MrDamage -- 22/10/03

    Email have been deleayed for more than 48 hours.

    I sent emails to clients over a period of weeks, and some of my emails still have yet to be delivered.

    So much for making my life easy.

    Telstra should not blame virus ...Anonymous -- 22/10/03

    Telstra should not blame viruses for their own network problems. Honesty is one of the key to maintaining customer trust and loyalty.

    I was wondering...isn't Bigpond users on a contract? If so, then maybe that's the ONLY reason they cannot switch service providers.

    It's not only Telstra's email ...Morris Otte -- 22/10/03

    It's not only Telstra's email service that's out of whack, but as any user of their online billing service knows, they're having major problems with page loading times. For instance, I can log into my account there, but upon clicking to view my bill, it simply sat there doing nothing. I could observe there was not even any data flow happening. So I reorted like a good little customer and asked them to forward me a hard copy to pay my bill on time, being assured I would receive it in plenty of time to avoid extra charges. So what happened?? Yep, that's right, I got it only just in time. By the way the troubles with their web pages I experienced about a week ago, and when trying to use it again last night it was only slightly improved. It took nearly 10 minutes (10 MINUTES!!) to be able to view the bill. That's unacceptable, and they're about to lose me as a customer for the second time - this time permanently. THEY ARE ABSOLUTELY PATHETIC.

    A lot of customers will stick ...Anonymous -- 22/10/03

    A lot of customers will stick with Bigpoo 'cos they ain't got no choice!!

    I've had enuf. I'm churning to ...Keith Styles (An irate user) -- 22/10/03

    I've had enuf. I'm churning to an ISP who doesn't rip me off every day. The dopey Dr & his management team can continue their Mad Hatters Tea Party. It's better reading than Alice in Wonderland. I don't care any more & that goes for all of my phone services. Oh! yes, I can name at least a dozen other dissatisfied users who are doing the same. T(H)elstra ignores the dissatisfaction because it is a greedy monopoly. Hit em where it hurts. Go to an ISP who is interested in a solid service and satisfied customers. My choice is Netspace for Broadband,..More for less. Optus is looking good for my phone busines..Check out the opposition guys. Its worth the effort.

    I have been with Bigpond Cable ...Hans Schneider -- 22/10/03

    I have been with Bigpond Cable since it first became available in my area. Despite the occasional problems, especially the deficiencies of the Service Status information, I believe that Telstra has done as well as possible. For quite some time now, service has not been interrupted and support over the phone has improved and has always been friendly. Twice I had to query excessive traffic and got a satisfactory solution. People should accept that neither the Internet nor the e-mail system is 100% foolproof - not even snailmail is.
    The enormous increase in traffic and ever more sophisticated virus attacks are a challenge that will be with us for a very long time. Unless it can be established that Telstra's recent problems were due to neglect or incompetence on their part, I don't believe that changing your service provider will make your connection 100% trouble-free.

    I connected to Optus cable as ...Anonymous -- 22/10/03

    I connected to Optus cable as soon as it was available. To my knowledge (over 3+ years) it has been unaccessable for a total of maybe 24 hours (worst was 4 hours), but it may have been down during nighttime hours. I work in an office with telstra ADSL and it has been out for 30 hours in ONE hit. Probably out for 60 hours in the last three months, that is not a good record for the major Aussie carrier. Telstra would have to pay me to use their dis-service

    I guess Telstra is confident u ...Anonymous -- 23/10/03

    I guess Telstra is confident users won't leave the Stagnent Pond because the only people who use the service either have no choice (rural customers) OR they obviously don't care that they are being overcharged for a poor service - if they did care they would have left ages ago. I haven't had a Telstra account of ANY type for around 3 years and this sort of thing (and the management response to it) certainly confirms that I have made the right decision!

    Telstra confident users won't ...Anonymous -- 23/10/03

    Telstra confident users won't abandon BigPond

    Because we are locked on a contract that penalises us for their mistakes.
    I will take up their free offers AFTER my PAID virus etc, expires. After all I had to buy em to TRY to negate BIGPONDS stuff ups.

    PS: do I get a credit on the " downloaded SPAM " I get and a " credit " on the complaints ?

    Contracts keep customers with ...Anthony Abrami -- 14/11/03

    Contracts keep customers with Telstra in my opinion. I'd like to see Telstra put their money where their mouth is and offer its customer base the opportunity to leave Bigpond without having to payout for early contract termination. I seriously doubt Telstra would offer this as it would really show if customers are as confident with Bigpond as Telstra is.

    Even then some customers wouldn't leave immediately because they'd probably want to use up their current stationery.

    I think what we (customers) should push for is non ISP dependent e-mail addresses & web pages. I know we can achieve this with technical know-how at present. However, this isn't going to happen for average mums & dads without help or without technical know-how (and a little additional expense) - neither of which they should have to acquire.

    What we should lobby the federal government for is an infrastructure to be created that can assign an e-mail address such as firstnamesurname@state.com.au or maybe phonenumber@com.au to an ISP account. Should the customer want to change ISPs in this scenario, the only thing to consider is who's offering a better deal for your dollar.

    The proposed idea above is what we currently experience with our phone system. If we are unhappy with Telstra, we can switch to Optus or AAPT, etc without changing phone numbers. ISP switchovers should be no different.

    Finally, contracts for ISPs and mobiles should be prohibited. This statement isn't something that can't be achieved either! I am aware Vodafone, for instance is showing initiative here. It is an example of a mobile phone company that believes it can hang on to customers without locking them into contracts. That, to me, speaks volumes.

    Hmmm, no e-mail / web page upsets when switching and no contracts to lock people into. Let's see Bigpond hang on to its customers after upsetting them as much as they did in recent times.

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