Tag: Pricing

Fusion Product Changes

Today we have made changes to our Fusion service in order to further simplify the product, to improve service delivery, and to lower costs.

Previously Fusion was a bit confusing – it’s one product, but was offered four different ways: residential single-line, residential dual-line, business single-line and business dual-line. This meant four different price points, and business users basically paid more for less: a $10 to $20 higher monthly fee, plus a penny a minute for all their calls. (More on this below!)

We have also found that residential dual-line service was rarely purchased, with only one out of twenty customers selecting this product. When it was, there were more delivery challenges due to the household wiring, and more cancellations due to delivered speed concerns.

We often found that these residential customers didn’t actually want the two phone lines, and instead were hoping for more speed, generally seeking 20-40Mbps. While bonded Fusion is double the speed of a single line, it was sometimes being purchased by folks located at longer much longer distances who were desperate for more performance. For a speed-hungry consumer on a very long loop, they frankly might be better served by a cable broadband service at those locations.

On the other hand, even at longer lengths and slower speeds, the single-line service is a compelling value: unlimited and uncapped broadband at the maximum speed that we can deliver plus home phone with unlimited usage for $39.95. It’s a very nice deal. Two lines for seventy dollars plus the applicable voice taxes just isn’t a very good fit, and it shows in the signup and churn numbers.

We have also been studying resource usage by our business customers, and we’ve found that from the perspective of voice usage, they actually use less than the average home user! This was a surprise to us, and it created an opportunity: simply eliminate the $0.01 charge that our business customers have been paying for calling. So, that’s in effect from today – Fusion phone service is now very simple: free calling, regardless of location type.

Based upon all of these findings, today we have reduced the Fusion service to two very simple products:

  • For Residential customers:
    • Unlimited broadband and home phone for $39.95
  • For Business customers:
    • Two phone lines plus double speed broadband for $89.95

Of course both of these products include all of our free features like FaxLine electronic fax, a free domain name with Personal Web Hosting, 15 email accounts, Free International calling, Voicemail and voice features like Caller ID.

For currently users of the two products we have eliminated (residential two-line service, and business one-line service) we will continue to provide the service to these customers at the current price points, so nothing changes for these established customers. (One bonus: for the business customers, they will no longer be billed for their voice usage!) For a new home customer who really wants the two line service, we will deliver the faster business service to a home location.

We are also changing the way that we provide equipment. We found that when customers re-use a modem from another provider, they often spend a lot of time get it set up, and it is always in question if there is trouble with the circuit. Is the problem the modem, or the line? If it’s the modem, who is responsible, and how much time does the customer have to spend with us to get that worked out? With an older ADSL1 modem that lacks ADSL2+ support, the customer’s speed will be limited to 8Mbps, potentially much slower than it would be with a modern unit. Also, does that old modem have a full set of the necessary filters, for all the regular telephone devices in the home?

So, equipment is now provided free for every new customer. The basic kit for residential customers includes everything that’s required, including new phone line filters, a splitter, Ethernet and phone cables and the modem itself. This should make getting set up with Fusion easier than ever, and if there is trouble – our staff know the product well, if there is trouble, we can easily swap or replace it if the modem is at fault. Of course, even things that are free there is a catch: sales tax, and shipping and handling. However, we know that the provided equipment and setup kit will make setup and support much easier for our new customers.

For those who want a device with Wi-Fi, an advanced kit is also available. It includes a modem with four-port Ethernet router and Wi-Fi access point, now offered at a discounted price of $19.95.

For our business customers, we now provide a ZyXel dual-line bonding ADSL2+ modem which has four Ethernet ports and built-in Wi-Fi. It’s a great small office solution, delivering dual-line Fusion speed and convenient Wi-Fi access.

Finally, in an effort to keep monthly recurring costs as low as possible, we are now charging a line activation fee of $35 for the residential service, or $85 for the two-line business service. This keeps most of the one-time costs of circuit ordering and provisioning in a one-time payment, so we don’t have to amortize these one-time expenses into the monthly rate that customers pay forever.

Over the last couple years, we have made many changes to improve our Fusion service, and I’m excited to be continuing the product evolution. Our team is working hard to make the product easier, faster and more useful for you, at the best possible price point.


Fusion Broadband + Phone Price Drops Again

We just dropped the price of our Fusion Broadband + Phone service for residential customers! Previously $50.00, Fusion Broadband + Phone is now priced at just $39.95!

This is an unbeatable deal for Broadband at up to 20Mbps plus land line voice with unlimited nationwide calling. If you’re not already a Fusion Broadband + Phone customer, you can check for service availability here.

Two line residential Fusion (up to 40Mbps and two phone lines) has also dropped, from $100.00 to $79.95. Sonic.net has reduced Fusion prices twice before, opposing the trend of annual price increases by other carriers.

Existing customers will automatically see the new rate reflected in their bill shortly. We appreciate your selection of Fusion at the $50.00 rate, and I know you’ll like it even more at $39.95.

This is part of our commitment to continue to improve our flagship Fusion service. We would certainly appreciate it very much if you’d tell your friends (online and offline), neighbors, blog readers, Yelp/DSLReports reviews, etc. Your positive endorsement is the best way for us to grow. As you can see, we’re passing along cost savings as rate reductions to you!

This new rate applies to Fusion Broadband + Phone. If you have a Fusion “Standalone” service that doesn’t have voice, you can retain that product at your current rate. If you would like to take advantage of the new rate, you will need to activate voice. If you’d like to do this, please call us now to start the process. You can reach our customer service group at 707-547-3400.

We have decided not to add voice automatically for all customers for a number of reasons. First, we can port a number from another carrier for you, or let you choose a new telephone number, and we would like you to make this choice. Second, there are taxes and fees associated with voice, and we’d like to assure you understand them. Estimated voice tax and fee information is available, listed by city. Third, Fusion Broadband + Phone requires a credit, debit or pre-paid debit card for payment, so we need to collect that information if we do not already have it. Finally, and most important, we must validate that your physical address is accepted by the 911 system when we activate voice.

I’m very happy to see the customer excitement about our Fusion product. I really appreciate everyone’s positive feedback and the great reception we have had for the service. Thank you! Please spread the word.

Fusion Pricing Reductions

fusion-logoI’m happy to announce that we have reduced pricing for many of our higher speed Fusion Broadband products.  This, plus increases in speed are part of our goal to bring additional value to these exciting new products.

For existing customers, price reductions will be reflected automatically on your next billing cycle.

With these price reductions, existing customers should consider upgrading their speed if their location is qualified.  If you’d like to upgrade an existing circuit, please write to sales@sonic.net to get the process underway.

Residential locations, dynamic IP:

  • 1.5Mbps/1Mbps $35/mo
  • 3Mbps/1Mbps $40/mo
  • 6Mbps/1Mbps $45/mo
  • 10 12Mbps/1Mbps $65/mo $50/mo
  • 18Mbps/1Mbps $80/mo $55/mo

Residential locations, 8 static IPs:

  • 1.5Mbps/1Mbps $60/mo $55/mo
  • 3Mbps/1Mbps $65/mo $60/mo
  • 6Mbps/1Mbps $70/mo
  • 10 12Mbps/1Mbps $90/mo $75/mo
  • 18Mbps/1Mbps $105/mo $80/mo

Business locations, dynamic IP:

  • 1.5Mbps/1Mbps $60/mo $45/mo
  • 3Mbps/1Mbps $65/mo $50/mo
  • 6Mbps/1Mbps $70/mo $60/mo
  • 10 12Mbps/1Mbps $90/mo $70/mo
  • 18Mbps/1Mbps $105/mo $80/mo

Business locations, 8 static IPs:

  • 1.5Mbps/1Mbps $70/mo $55/mo
  • 3Mbps/1Mbps $75/mo $60/mo
  • 6Mbps/1Mbps $80/mo $75/mo
  • 10 12Mbps/1Mbps $100/mo $85/mo
  • 18Mbps/1Mbps $115/mo $100/mo

I am very pleased with the growth in customer signups for Fusion and FlexLink products on our new network, and I appreciate everyone’s continued patronage. Please tell a neighbor about Sonic.net Fusion!

Note: Product speeds noted above are delivered as a range from the next lower product up to the maximum, for example 18Mbps/1Mbps service may be delivered as any speed greater than 12Mbps (the next product down) up to 18Mbps, with upstream of up to 1Mbps. Actual delivered speed is based upon copper line quality and distance. If the delivered sync rate does not meet the range of the product ordered, a downgrade and pricing reduction to the lower speed product tier is applied.