WebAfrica's view on MWeb offerings

Gatecrasher

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I thought this was quite an interesting post from Rupert Bryant (WebAfrica COO) on the WebAfrica forum:

"I doubt Mweb will be dropping prices further for a while:
1. Their new 10mbit uncapped pricing is 4.5x more than their 4mbit uncapped (yet its only 2.5x faster) - they have clearly realised they made a mistake with the 4mbit uncapped pricing @ R539.
2. They now offer R79 for 3GB (R26.30 per GB) - far more reasonable. Although we've been offering even better rates, bandwidth and service from R18 per GB on our Complete ranges for some time, and R13 per GB now if combined with Download Plus

What I find odd is the fact that Mweb launched a new 3GB capped product and are now aggressively advertising it, not 3 weeks after slating capped offerings:"

Jansen said that the excitement and uptake of its uncapped ADSL products showed the massive pent-up demand of uncapped services, and that anyone who thinks that one can go back to a ‘capped world’ is completely misguided. “You can never go back. You can never offer an inferior service,” said Jansen.

In defense of MWeb, I'd say:

The 10MB/s uncapped pricing is R1999/R539 = 3.7x (line excluded) or R2359/R899 = 2.6x (line included) Not 4.5x. However, I think Mweb's pricing of 10MB/s uncapped is still way over the top. On the other hand, at WebAfrica, for R1999 you wouldn't even get 50 regular gigs (R2259 for 50Gb Home Data)

R79 for 3 gigs was a big price cut from MWeb's previous per gig pricing, and is cheaper than the WebAfrica equivalent, which is R59 for the first 1 gig + 2 x 1 gig top-ups @R39/gig = R137.

The WA rates Rupert Bryant quotes requires that you move your line to WebAfrica. Which is not an option I'd recommend. Rather keep your line with Telkom, so that you can maintain maximum flexibility with your choice of ISP accounts.

Are Mweb pulling their uncapped offerings? No. Having and promoting an inexpensive 3 gig offering as well is far from odd. When new 3 gig clients find that 3 gigs is not enough for them, there is a very natural in-house upgrade option to uncapped waiting for them. I'd say it was smart, not odd.
 
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Let's look at it this way - I was a Webafrica client for a bit...then I stopped...then I joined again...soon I'm going to cancel again. They're up and they're down with their pricing model combined with value for money - sure their performance is good...but if I can get something almost as good for quite a bit cheaper without having to "scheduled" my downloads then sorry for them.

I can still only connect on a 4 meg line now anyway (maybe Telkom just skipped my exchange?) so 10MB/s really isn't even an option for me just yet. I guess at the end of it all I'm with you...MWEB uncapped (even if it's only the 384 offering) is better value for money for me in the long run (combined with a package from someone else for gaming if required). For downloads there are loads of options and W/A is hardly a competitor in that arena unless you're willing to take a bigger package together with their download "plus" option.

I gave WebAfrica this month to see if they'd change their minds (and not introduce "platinum better than unshaped" account options)...but it looks like they're content with what they're doing now so it's time for me to move on I guess.
 
Of course mweb under priced their 4Mbps offering. It's not even double the price of the 512Kbps account yet 4 times the speed. Mweb priced it as such so they could get the R999 price point with line rental included.

I still say they should release 6Mbps and 8Mbps offerings though...
 
Jansen said that the excitement and uptake of its uncapped ADSL products showed the massive pent-up demand of uncapped services, and that anyone who thinks that one can go back to a ‘capped world’ is completely misguided. “You can never go back. You can never offer an inferior service,” said Jansen.

Makes sense to me i don't know how i would cope with 50gb a month or something smaller. Obviously not everyone that has adsl will have uncapped, what is the point of spending 999 on uncapped to surf and check email?

What a fail from webafrica. Instead of commenting on other companies perhaps they should concentrate on their offerings.
 
when i think of webafrica i see complex, too many and touch of $$$.
 
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