The ICE Monopoly may have its problems providing a good customer service.
Beginning this week the new Apple, iPhone G4 will start selling in Costa Rica. Instituto Costarricense de Electricidad (ICE) the state’s telephone, and Internet monopoly, officially became the NEW monopoly distributor and exclusive seller for Apple’s new iPhone G4s. Retailers who have iPhones for sale in Costa Rica, unless it is an ICE authorized agent, are not authorized by Apple to sell them!
Was this a surprise, not really?
Back in Feb, 2011 we wrote how ICE has been under threat since the signing (Jan.2009) of Central American Free-Trade Agreement (CAFTA) when they suddenly found themselves in a competitive world of the telecom market; something they knew little about and not prepared for like the demand for high-tech phones and service.
So it wasn’t a surprise (when we also speculated in Feb) that Apple had Costa Rica in their business plan and they are preparing to open up a few more Apple Mac service Centers.
Obviously, ICE saw a big opportunely to cash in on Apple’s demanding iPhones and obviously made a sweet-heart deal.
I do have to give ICE credit when they made the deal with Apple; it used to be that any Apple product was almost twice as expensive, but in ICE’s case, the cost of selling the phone comes with maintaining the ICE service plan is within reason of US iPhone customers.
One of the biggest problems of Costa Rica is their import tax and luxury items such as cars, boats and electronics get nailed. In some cases, the tax can be doubled of what the item originally cost. So, blackmarketing electronics with hacks and jailbreaking technology makes phones more a demand. However, the latest firmware installed on iPhones helps prevented jailbreaks, which resulted in locking up the phone. With ICE at the control and with competitive prices, Blackmarketed phones should not be just another competitor.
Right now there are three Kölbi service plans. For example, the Kölbi 750 plan (most expensive with 750 minutes of calls, 300 SMS, 100 MMS and unlimited data downloads) will cost about ¢ 39,278/month or $80USD. With this you get a iPhone G4 with 16 GB with 12-month contract for $466, and/or a contract of 24 months for $275.
A new iPhone in the US will cost $599 for the 16-Gbyte model and $699 for the 32-Gbyte version and a monthly service is around $80, or the same.
Under Apple’s SERVICE guidelines, will Apple terminate the contract if ICE screws up?
One thing about Apple, they pride themselves on providing the best support and service available on earth. It is a huge priority whether you buy any branded product like an iPad, Mac, and/or iPhone. If you Google “best tech service” Apple is listed as one of the top.
However, everyone in Costa Rica knows, ICE has never operated in this manner, it has the worst customer service.
The level of customer support that Apple will require and/or demand may cause ICE to have a melt down.
So the big question, Will the leopard in ICE be able to change its spots and provide an excellent customer service?
Interesting!
I picked up a pay-as-you-go phone recently in Costa Rica, and the area we stayed suddenly had NO 3g coverage. I’m told that ICE is scrambling to ‘reconfigure’ their network to fight the new competition. Had a good signal in September and later in February, but now almost nothing. The new company ( don’t know who it is) is putting up towers and running fiber at a blazing pace. Six months to a year and we should be good.
Hey, thank you for that great article. Do you know, how many iPhones will be available? I assume by writing this questions there is no one available anymore…*lol*
Sorry I have no clue, I assume that will be controlled by Apple