ology and offerings. They do hold technology seminars and have speakers come out to talk about NPT and the services that are offered. This is good, because the highest response rate comes from direct contact with a customer involving the understanding of the services. Customers will stay loyal if a company emphasizes customer service quality.The biggest issue for pricing, if you are in a competitive pricing market, is to make sure that you stay relatively close to your competitors. The current strategy for NPT was to have each feature charged at a monthly rate. The list of features is shown below along with the cost per month:Features:Cost per MonthReturn Call (*69)$3.75 Select Forward (*63)$3.50Select Accept (*64)$3.50Call Block (*60)$5.00Priority Call (*61)$2.75Repeat Call$2.75Call Trace (*57)This is used for threatening calls, free of chargeThese are considered all of the CLASS features available from NPT. If customers subscribed to two or more of these services per month, there was a subscription discount given, on a monthly basis, ranging from 15% to 30%, depending on the number of features that were selected.For the rates, I would choose to charge a flat monthly rate for each service. The average amount of these services is $3.54, so charge $3.50 per service. Also, since the company does not have much research supporting the usage sensitive cost per feature used, I would choose $.50 initially, and then from there increase or decrease the rate accordingly. The number of uses per month per line is expected to increase over the five-year period, but is initially estimated to be eight activations per month per line. This would equate to a $4.00 cost per month per line. The first alternative for NPT is to do nothing and continue to subscription rates as a monthly charge. Customers would be charged a single rate payable each month and could be allowed to use unlimited services. Under this method, NPT will know what they are ...
