Verizon has finally confessed to overcharging 15 million wireless customers and is reluctantly making restitution of a reported $90 million. Verizon simply said the overcharges were “small”. Most consumers don’t consider $90 million “small”.
The refund comes only after a 10-month Federal Communications Commission’s investigation into what it called Verizon’s “mystery fees,” which affected over 15 million subscribers. Nothing was forthcoming about Verizon’s actions.
CEO Ivan Seidenberg should have gotten out in front of this. Instead, here is what he has done:
Employ the insurance company strategy of the 3 D’s – delay, deny and defend.
Release a terse statement on Sunday hoping it would not be noticed.
Keep any mention of it away from customers. For example: go to the website for Verizon Wireless and you will find no mention. www.verizonwireless.com/b2c/index.html — I didn’t as of this posting and I studied all the fine print on their home page. A company and a CEO leader would prominently post an apology on their home page and tell the customers they ripped off how to get their money back. Not Ivan.
We continue to be amazed at how company’s like Verizon go to great lengths to bamboozle their customers. For example, did you know that the wireless industry has a long history of rounding bills in its own favor. (A 61-second cellphone call typically counts as two minute of use, for example.)
Here is what you can do:
Contact a Verizon board member and demand that Ivan be replaced. The reason for his ouster should be because the board does not condone stealing from its customers. This wasn’t an honest mistake. It was strategic over charging that Ivan fought tooth and nail for two years.
If you are a Verizon customer, immediately return your equipment and discontinue your plan (in writing). The reason in your memo should be because the company breached its contract and has admitted to stealing from its customers. The company’s PR firm refers to stealing as a “software glitch”.
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