3 ms·
This works out to ~$4 per affected customer. The issue is that they advertised other Verizon services to customers without giving them an option to opt-out. Th
by delecti 12y ago
This works out to ~$4 per affected customer.
The issue is that they advertised other Verizon services to customers without giving them an option to opt-out. They effectively paid $4 per sales lead, and for leads to customers they already did business with, that's a pretty phenomenal deal considering the breadth of services they could then try to sell.
Figure 1/10 of those customers got a $10 monthly service and kept it for a year. That's $24m in revenue on a conservative estimate.
- eli 12y agoI agree in principle with the idea that the fine should always be more than the potential profit, but I think it would be really hard to implement such a rule. Anyway, I don't agree with your math. Surely many/most of the affected customers would not have bothered opting out even if they had been given proper notice. Opting out is kind of a hassle. And a 10% sales conversion is ridiculously generous by like three orders magnitude. I'd be surprised if 10% of people even open their messages.