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Economic models (Read 2,405 times)
lucaltmann
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Economic models
Feb 16th, 2007 at 1:40pm
 
Apologies if you have discussed this before.

New regualtions in Feb 2008 mean that 0870 will cost the same as an 01/02 number

0871 will be regualted by ICSTIS


These numbers are integral to the organisations business models and so they have 3 options

Lose the revenue share( 0870,0370, 0800), reduce the revenue share (0844/0845), maintain revenue share (0871)

Regradless of the option even moving to 0800, they will only pass on the loss to the consumer and retail prices will increase if only fractionally.

So even if a company switched from 0870 to 0800 this 'value' doesn't just disappear it only gets moved.


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firestop
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Re: Economic models
Reply #1 - Feb 16th, 2007 at 3:57pm
 
OK, so prices increase, but isn't it more open and honest to show this in your prices as opposed to 'hiding' behind a covert premium rate number??
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