From Stuff today:
"The television commercials failed to adequately disclose that, by sending a text to answer the initial question, participants were entering into a premium SMS subscription service, where they would receive five text messages per month charged at $3 per message received,'' the commission said."
This is more evidence that people have been "subscribing" to things without really knowing they were entering into a contract. Mobile operators here were vocal in protesting their innocence before, saying people willingly subscribed to these "entertainment" services.
However it seems clear that some of these companies fail to disclose subscription charges. The same type of problem was reported before by Facebook users who didn't get enough information about being "subscribed" to a service when adding a new application to their profile in the social network site.
I've read and heard of cases where people purchased brand new prepay numbers, which already had ongoing "subscriptions", which should point to people leaving their numbers to be recycled by the operators, which would just pass the number on without proper "desinfection".
There are plenty of cases on Geekzone, but each and everyone were greeted with a "the user subscribed to the service". Which could be the case, but was it an informed decision?
Mobile operators also say they keep the service providers under control, and any breach of their terms of services means termination of contracts. But it's evident that this is continuing to happening. I can only guess people calling to complain about this kind of problem usually reach an overseas-based help desk that's measured on number of calls taken and greeted with a "I am sorry, nothing we can do, our systems are broken right now, we can't see your SMS, you have to contact the content provider directly, anything else we can do for you? Thank you for calling, goodbye."
I wonder how much of the calls going through help desks are actually monitored to capture real problems as they happen? I know for example that calling a fixed line broadband provider and asking "I am having a problem, my neighbour is having similar problem, do you know if there's a fault in this area?" usually gets a reply of "I don't know, we don't track this information", which is exactly the opposite of I would expect them to do.
Anyway, back to SMS subscription services... Some are the real thing, but scams abound. Be careful when you send a SMS to a number you see on TV. Those messages in font size 5 only flash for one second or two.
It seems that, at last after seven months, TelstraClear will admit in a public forum they have a YouTube problem, and the fix is coming. Later today (17th Apr 2010 12:30pm ), John Bone, Head of Customer Experience at TelstraClear and I will be sharing comments about this problem on Radio New Zealand This Way Up.
The company will admit now there's a problem - one that affects mainly people accessing the popular YouTube service through TelstraClear's network. Some may say "is that a problem? Seriously, people complain about not being able to watch videos of cats playing with iPads?"
But then you have to realise that TelstraClear holds the #2 ISP spot in New Zealand, and YouTube is the fourth most visited site in the country. Add to the mix that some people do have business interests on YouTube (training, new product releases, social media interactions) and you realise that it does affect a lot of people.
We first saw comments about this problem back in September 2009. This is about seven months for TelstraClear to admit there's a problem, start a project to fix it, allocate a budget, and deliver. Will they deliver? Last night a tweet from the company said: "Caches to arrive in NZ on the 26th. They need to be optimised with expectation that YouTube experience improves significantly by mid May ^LP"
So this is pretty much confirmation of my previous post, when I explained the whole TelstraClear YouTube problem had to do with Google caches, local traffic and more.
What bothers me though is that although TelstraClear provides a great Internet service, and users are holding to it despite YouTube problems and bad customer service (I will get to that soon), the company seems to think talking to their customers is not necessary.
We have a discussion going on Geekzone about the TelstraClear YouTube problem since 8th September 2009. In about seven months the discussion had 30,600 views and 390 replies. The company didn't reply there once. Not a single line acknowledging a problem, or giving a hint of hope.
The same problem was discussed in blogs around New Zealand (not only here) but the company at best posted in a couple of blogs confirming there was an issue and that they'd do something.
Why, you ask, don't those users change providers? Because as bad as the YouTube problem is, the service overall is still good value for money, in terms of speed and reliability when comparing with other ISPs.
But TelstraClear don't stop here in "Bad Customer Communications Book, chapter 1". They also write "Bad Customer Communications Book, chapter 2" with their spectacular failure to provide decent customer services over the phone line.
Just this morning I read on New Zealand Herald how "A snapshot survey conducted by the Weekend Herald, which involved timing how long it took 10 of the country's internet service providers to provide human support, has uncovered some alarming waits. Of all the ISPs, TelstraClear proved the most inefficient."
They continue "During the first round of calls about midday on Tuesday, it took 30m 44s for a human voice to answer a call."
And the end is "[To its credit, TelstraClear warned on both occasions that the longest waiting calls were 36 and 65 minutes. Both calls were answered faster than warned - the first took 30m 44s when the warning was 36m and the second took 58m 8s when the warning was 65 - perhaps because some frustrated customers hung up."
But it's not just newspapers that have this problem. What about a tweet from Debra E Clark saying "OMG, another call to Telstra and the wait time is in excess of 1 hour... ever heard of hiring more staff!!!!!!!!!!!!!!! ^dc"
Then there's the transparent proxy cache systems in place at TelstraClear. It seems the norm for the system to fail every few days now, leaving web users with nothing but experiencing timeouts or empty pages when accessing content hosted on international sites. Although I have to say there's at least one person I know inside the company that seems to look at this seriously when we complain.
I should just have summed it all up with "TelstraClear please listen and talk to your customers. Don't send newsletters only. And don't think posting on Twitter is all that matters for customer communication".
It seems my previous post about innovation in New Zealand got some interesting comments. I also have to say it actually should be a bit clearer in the fact that most of the comments (and the post itself) is geared towards telecommunications companies.
One of the comments in that post was "I think the flaw isn't the innovation, it's the idea that large companies/corporations can innovate. I'd say it's a rare one that does. Real innovation requires cross-pollination, which is typically provided by generalists rather than specialists. That, and the lack of rigid business systems (large organisations require rigid systems to function) allow for the sort of dabbling (and provide the sort of desperation) that produces innovation, at least in my experience." (lightweight)
What a great comment. To celebrate it I will post below a few links to New Zealand companies I believe are creating innovative solutions, models and businesses:
Aptimize: Ed, Derek and their team created a piece of software every web admin should look at - even more now that Google confirmed page load speed is a factor in search results ranking. Obviously you should start with a good set of database model, scripts coding, but Aptimize will automatically apply best practices to website pages.
Powershop: The first marketplace for electricity where users can purchase power via a web interface, plan usage, set goals, work through consumption.
Silverstripe: They've done a brilliant job of creating a true open source CMS product and exporting the product all over the world.
Xero: Bussines accounting with style. Rod Drury came up with a vision (which he share a little with us months before going live) and is taking over the word (New Zealand, Australia, United Kingdom) with their easy to use, intuitive web-based accounting package.
What do these companies have in common? It seems they are all small companies, which seems to be in line with the comment above.
What companies you see innovating in New Zealand? Links drops are acceptable providing they are really to innovative businesses (spam as usual will be removed).
Disclaimer: We use Aptimize on Geekzone on a special license. The Geekzone case study in their website is based on actual numbers. I switched to Powershop a couple of months before it became public, while still in beta but get no special "mates rates". I use Xero for my company accounts, but get not special "mates rates".
UPDATE: Added Silverstripe to the list.
Sometimes I feel some of my tweets should come into a blog post. 140 characters are not long enough but also some topics don't deserve more than a few words.
Will keep this short: "I feel there's a complete lack of innovation in New Zealand companies."
There, that was the tweet I felt bad about today. To expand on that, specifically on telecommunications, what I see around is a bunch of dinosaurs ready to kill their customers and eat them - just getting closer to their own extinction. And we don't have any new companies to replace them.
New Zealand telcos live in the land of "let's charge as much as we can because we can, even though the services we provide lack quality in all levels."
I lost (the little) faith I had in this specific segment. Up until last year I thought Telecom New Zealand could do it. But now I know they tried but can't. TelstraClear seems to want everything for nothing and leaves customers in the dark - cable services haven't seen a decent upgrade for ages, they keep pushing their home entertainment options to next month, they don't communicate with customers about their problems, and so on. Vodafone seems to be plagued with customer services problems, which I am told we will always be solved by projects that never end. And they also seem to hold the keys that would allow us access to some interesting technologies that never arrive here (Amazon Kindle anyone?)
Only yesterday I was talking to Bill Benett about companies. I don't believe large companies are here to provide bad services and/or products. They don't select people to work there based on the evil they can commit. But New Zealand companies don't seem to get their act right. They seem to be infected with inaction and slow movements. What's going on? I don't see New Zealand companies, and telcos in particular, innovating. We will be behind for years to come. What do you think?
UPDATE: I will change the question... Instead, are there inspiring New Zealand companies out there?
UPDATE: Interesting article by Rob O'Neill on Computerworld: "When the status quo blocks innovation". Note the reference to TelstraClear.
UPDATE: I decided to list a few "good guys" in another post here.
And here is what Google Analytics tells me:
Looking at the % of New Zealand traffic reported by Google Analytics, it seems total Unique Visitors according to Google Analytics is about 38,661 - about 50% more than Nielsen is reporting...
The Wellington Declaration agreed by the PublicACTA Conference has now been released, and video coverage of the event will be made available as soon as possible.
The Declaration can be found online at http://www.publicacta.org.nz and members of the public can find a link to a petition where they can sign their support of the declaration.
"I urge everyone interested in protecting their digital rights online to sign this petition and endorse the Wellington Declaration," says Jordan Carter, a spokesperson for PublicACTA.
"The Wellington Declaration paints a broad picture of the need to limit ACTA to what it originally set out to do: tackle the problem of counterfeiting.
"It also makes some specific suggestions as to how the detailed provisions being negotiated in Wellington next week - that go far beyond counterfeiting - can be made more citizen-friendly.
"PublicACTA had over 100 people in attendance, and hundreds more observing the proceedings through a live video feed from many countries around the world. Keynote speakers included Professor Michael Geist from Canada, and Kimberlee Weatherall from Australia.
"The Declaration is a substantive and serious call on Governments to change their approach to ACTA. A discussion on ACTA is going on here on Geekzone.
Worse still, it's a company dealing in the online world. I can't even mention their name here otherwise I might get sued too.
This is the problem with defamation laws in New Zealand... Even if you are posting about something with accurate facts you still risk getting sued.
Unbelievable. These people should go read the Cluetrain Manifesto, even if ten years too late.
What we suspected for some time is real: TiVo sales in New Zealand are disappointing. The New Zealand Herald reports industry sources saying only 2,000 TiVo units were sold in New Zealand since launch, about five months ago. Hybrid TV, the local distributor, of course says this figure is not accurate but won't disclose the real numbers. At launch Hybrid TV planned to sell 120,000 TiVo within five years in New Zealand.
Compare this to Sky TV, which added about 6,700 new subscribers per month for the six months to December 2009. That includes having to pay a subscribption for the services, which are free with TiVo.
Now let's see the problems:
TiVo is only available through Telecom New Zealand stores. People don't buy TV sets or content boxes at Telecom stores - there needs to be a shift of tectonic proportions for this to happen. People go there to buy phones. Until Hybrid TV sells TiVo through HB Hi-Fi, Dick Smith, Noel Leemings, Harvey Normam there will be no chance for them.
Then TiVo offers Caspa, a legal movie download service. The service gives users unmetered download of purchased content. At 1.2GB for a two hour movie the unmetered download is a great idea. But it is only available if you use Telecom New Zealand as your ISP. Hybrid TV should offer Caspa to anyone and everyone. It will use 1.2GB of one's Internet connection to download a movie. Live with it. I do this all the time with Apple iTunes. If they can offer unmetered through Telecom New Zealand, fine. But don't limit consumers to that only ISP.
Next is the lack of Prime and Maori TV EPG. I don't blame Hybrid TV too much on that, it might be the people on the other side playing dead. I mean if I don't see Prime on my EPG I don't watch Prime. As easy as that.
Then comes support. From what read on Geekzone people have very bad experience with their support being inexperienced or not having answers. I can't attest to that, since I never had to use their support.
Lastly their desktop application. What an absolute piece of software (PoS). I have a TiVo review unit here, and I couldn't get any of my own content from my desktop or Windows Home Server into TiVo - either too slow to copy or not copied at all to the box. Worst user experience ever.
The TiVo experience on the TV is quite nice and I am sure users would quickly get used to that. But the whole package is broken and until Hybrid TV fixes these things TiVo won't be a third option between Sky and myFreeview|HD.
UPDATE Another thing that's wrong with TiVo in New Zealand: just read the comments below and you will see someone who doesn't know if TiVo is HD or not, and if it's DVB-T (Terrestrial) or DVB-S (Satellite). A lot of people probably thinks TiVo is a service on its own right, without realising it requires Freeview|HD coverage.
UPDATE July 2010: The Caspa On Demand service is no longer exclusive to Telecom New Zealand subscribers and can now be accessed by all users. Telecom New Zealand remains the only unmetered ISP partner though.
[ ] Apple iPhone
[ ] Symbian
[ ] Windows Mobile
[ ] Windows Phone 7
[ ] Palm Web OS
[ ] Maemo
- Windows Mobile is on its way out and nothing will really turn it around anymore;
- I haven't personally played with Windows Phone 7 but I don't like anything I've seen so far - Microsoft needs to give us a good surprise because my hopes are low;
- By the end of the year Symbian is going to power low end smartphones, or very high end feature phones;
- Palm is going to die very soon;
- Maemo gives me the impression of being is a good platform, from the little I've been playing with in the last few days - but lack of software will be a problem. MeeGo (Nokia and Intel) should get a lot of attention from the companies behind the effort (Nokia and Intel) but it will take some time to happen;
- Android is where things will be hot, but the fragmentation worries me - the platform may end up going the way of Windows Mobile with so many different models.
What do you see in the future for smart handsets? What platform you think will go up or down, and why?
Earlier this week I went to Sydney to attend the Nokia Forum Developer Conference 2010, invited by Nokia Australia/New Zealand. I have to say it was my first event with Nokia and it was interesting to see 300 developers discussing the current state and future of Nokia's smartphone strategy.
Present at the event were Emile Baak, Managing Director Nokia Australia and New Zealand, Purnina Kochikar, Vice Pesident Forum Nokia and Developer Community, Jan Ole Suhr, Founder of Mobileways.de and developer of Twitter client Gravitiy for Symbian.
Being a developer conference the push was obviously about creating content and applications that get the customers to enjoy their devices - and buy those little bits of magic called software and content. Nokia says there are more than 1 million downloads every day from their Ovi software store, which is now available in 180 countries, with integrated mobile operator billing in partnership with 60 operators.
It is obvious Nokia is pushing the QT application and UI framework, seeing it's cross platform (Symbian, Maemo, desktop) which would allow developers to scale their efforts even more. The company also said their main commitments are "increase total addressable market", "commit to open source", "combine mobile and web technologies" and "lower entry barrier to developers".
Jan explained how a one man company created one of the most used Symbian software these days, #5 in the top apps in Australia. He recommended developers try their software in different handset models to get the real "feel" - which is interesting because Nokia gave one N97 Mini to a lucky developer, when I thought they should have distributed those to everyone in the room, like Google did at MWC with their Google Nexus One.
Nokia gave some numbers too. For example in the last quarter Symbian represented 44% of smartphone shipments in the world, with BlackBerry behind at 20%, Apple iPhone in third with 12.8%, Android with 7.2%, Windows Mobile 7.2% and then the rest - which I guess is Palm and other Linux-based smartphones we never hear of.
But really, the question in the back of my mind is "will Symbian turn into a entry level smartphone OS, or will it be sold as a upmarket feature phone OS?". Only time - and Nokia's efforts will tell. Nokia counts more than one million daily downloads from their online application store, but how many more people have no idea their phones are actually "smart"?
Here is an update from Nokia on this: "We have multiple platforms to serve different purposes and address different markets. Symbian is more successful than ever in bringing smartphones to the masses: it has more than 40 per cent of the global smartphone market. Symbian is our choice for smartphones and we in fact see it deploying even more widely as the technology required to run it trickles down through the portfolio."
The Nokia Forum is running the Calling All Innovators competition, now in its third year. Prizes are US$30,000 for 1st spot, US$15,000 for second and US$5,000 to third - this is for each of the four categories. So far there are 27 Australian entries and six New Zealand entries.
In the afternoon Nokia hosted a press event to introduce the press to a couple of things. First was the MeeGo initiative with Intel announced last month, that will see joint efforts from these companies to develop a product based on both Maemo and Moblin platforms. And then the Nokia N900 Maemo 5 smartphone/tablet computer release for Australia, which will see the device available in stores soon. There isn't a release date for New Zealand yet though.
Nokia couldn't say which operators would carry the device, but seeing the Nokia N900 is a 900/2100MHz 3G device it won't work on Telstra NextG network. And it won't work on Telecom New Zealand XT network either. This is a bummer because everyone at the press event received a loaner Nokia N900 and I mainly use Telecom XT. I am using the loaner device here in New Zealand with a 2degrees SIM card, and it works really well on that network.
Which also brings us to the "review" side of the thing. I got the device on Tuesday, and Nokia confirmed I have it for a couple of weeks. I can say though so far that it's a very clever device, fast and had quite some fun using it - installing new applications, finding some features, etc. It worked flawlessly with my Microsoft BPOS Exchange account and in a matter of minutes I had my emails, contacts, calendar all synchronised over-the-air.
Because I haven't had that much time with it yet, I suggest you read what other Geekzone users are talking about it - a few people in our community bought the Nokia N900 as soon as it was released in Europe and the U.S. a couple of months ago so there are some knowledge on how it works, what to expect, etc. Check this very good Nokia N900 review, and follow the discussion in our Nokia N900 users thread. I will post my own review later.
Now for the "facepalm" moment... Some "journalist" present at the press event commented after seeing the Nokia N900 is a combined touchscreen and slider device: "You [Nokia] have no presence in the smartphone market at all. It's been proven by Apple that people want touchscreen devices, so why do you enter the smartphone market with this device?"