Leatherman
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- Mar 25, 2013
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We've been pretty open since the iOS release that we were struggling with demand, and I think it was very prudent to monitor at first before incurring a huge cost that could affect clients in the long term (it may not be a price increase, but it could ultimately affect the degree to which we can plan future price cuts, etc). While we did make significant improvement as demand subsides and network efficiency was improved, we did also accelerate our planned network capacity upgrades as quickly as possible. Due to the nature of our agreements with our upstream providers, we obviously couldn't promise upgrades until they were approved.
You know what I see happened is this: You got the extra capacity, but not enough for future growth or maybe enough for growth without exhilarated growth campaigns. You received the said capacity and immediately gave back to your customers in the form of double your cap for free. Fantastic marketing strategy so much so that the capacity you bought got eaten up in a very short period of time.
It is almost as throwing a party for 20 of your closest friends and ten of those friends go and post on Facebook that their will be a party for all to join, and 200 people rock up for the party.
I guess what I want to say is your giving away of double your capped attracted way more customers than you could cope with.