The only problem with not counting the promo price is the savings for the 12 months outweigh the later 2nd year costs. For example, if directv(or anyone) is giving you are promo price saving 20.00 a month for a year, the first year you save 240.00. After the promo period is over, you say directv( or whoever) is 13.00 more. So for the 2nd year i pay directv 13.00 per month more=156.00 more. I still am ahead 84.00 after 2 years.(240-156=84). Now after 2 years my contract is up and i am free to shop around.Well I'm one of those guys that's going to be changing my programming here soon to HD and am not to thrilled to get hit with an increase that soon, but, it really doesn't surprise me as the cost difference between the two companies similar 200/HD DVR package definately favors Dish (Not counting the 12mth. promo price that Direct has currently) I have a tendency to look at what the package costs 'after' the deals are gone. And now that difference is about $13 a mth. Will be interesting to see if it remains that much after BOTH companies raise their price.
So what is to prevent Dish from raising the price $15, or $20, or why not $100? If I'm "stuck" in a 2 year committment, am I helpless? How can dish just change the price whenever they feel like it?
You can get out of your contract at any time by paying a cancellation fee -- it starts at $240 and decreases by $10/mo until your 24 month commitment is done.So what is to prevent Dish from raising the price $15, or $20, or why not $100? If I'm "stuck" in a 2 year committment, am I helpless?
The only problem with not counting the promo price is the savings for the 12 months outweigh the later 2nd year costs. For example, if directv(or anyone) is giving you are promo price saving 20.00 a month for a year, the first year you save 240.00. After the promo period is over, you say directv( or whoever) is 13.00 more. So for the 2nd year i pay directv 13.00 per month more=156.00 more. I still am ahead 84.00 after 2 years.(240-156=84). Now after 2 years my contract is up and i am free to shop around.
Competition keeps Dish from raising their prices too much, if they go too high customers will bail to alternate services like cable or DirecTV. Content providers keep demanding higher fees, and that shows up as price increases across the board. For example:
Cox announces spate of price increases effective Nov. 1 | HamptonRoads.com | PilotOnline.com
Comcast Systems Eyes 3.7% Rate Hike - 10/13/2008 8:09:00 AM - Multichannel News
Mediacom cable rates on the rise
I'm not thrilled about the increases myself, but even with the price bump I'm still paying less than I would for comparable programming from DirecTV or Comcast.