Auckland, New Zealand – NZ Compare, New Zealand's leading comparison website has found a majority of Kiwi households, specifically 6 out of 10, are currently facing challenges in managing their household finances. Despite this, only 2 in 10 are considering switching broadband providers in the coming year, even though a switch would see average savings of more than $360 a year.
The NZ Compare survey, conducted by independent market insights agency, The Interpreters, found that the majority of Kiwis are now feeling some sort of financial stress. With New Zealand officially entering recession last week, the cost of living crisis, rising interest rates and the corresponding impact on personal finances, this is not surprising. What was surprising, however, were how many households simply accepted the situation. In reality, Kiwis can take some simple steps to save significant money on their household bills.
In particular, the NZ Compare survey, which involved 1,452 nationally representative respondents, unveiled intriguing insights into the relationship between New Zealand households and their home broadband providers. Notably, the survey revealed that a significant portion—more than 1 in 2 households—had either not changed their broadband provider in over 5 years or had never changed at all.
The survey found that, while the price of their broadband plan was the most important factor, once they were connected, unless something went wrong or they were moving home, a customer was unlikely to look to change providers. This behavior was mostly driven by the belief that changing providers is a complicated, time-consuming hassle. However, this belief is entirely contradictory to another finding from the research, which showed that of those who had switched in the past 2 years, 84% rated the process as “easy”.
Asked about the process of switching broadband providers, Gavin Male, NZ Compare CEO said, "Changing broadband providers, really, is not very hard at all. This is especially true if you are already on a fibre broadband connection. Your new provider will take care of most of the setup behind the scenes and you can often stay on the same router meaning you won’t even need to change device passwords. The changeover can be scheduled in advance which means there is often very little, if any, time without a connection. I find it incredibly frustrating seeing struggling households paying more than they need to when the savings you will make over the course of a year will pay for household groceries for a week or two!"
Male continued, “If you have been with the same provider for more than a year or two then chances are you have seen a number of price increases on your bill. Being blunt, you’re now being penalized for your loyalty and paying more than you need to. There were increases applied by all the big broadband providers at the tail end of 2023 and they followed a raft of increases that happened in 2022. This has led to a significant price gap between longer standing customers and new subscribers who are getting some great new customer deals. All this just highlights the critical importance of regularly assessing and comparing your broadband plan”.
NZ Compare advocates for consumers to utilize its user-friendly comparison platforms, facilitating easy comparison of various providers and plans to uncover potential savings.
"We aim to empower consumers to make informed decisions for themselves and their households," Male emphasizes.
"Switching providers or renegotiating existing contracts can yield significant savings, which in the current times, could make a real impact on your pocket. Through comparing broadband plans on NZ Compare, customers can secure the best value without compromising service quality. I implore you to jump on the site and check how much you could be saving." he adds.
For more information or to explore the latest broadband plan offerings, please visit www.broadbandcompare.co.nz.
About NZ Compare:
NZ Compare operate a number of New Zealand comparison websites including Broadband Compare. Broadband Compare is New Zealand's leading broadband plan comparison website. Dedicated to helping consumers find the best broadband plans to suit their needs and budget, Broadband Compare offers an extensive selection of broadband providers and plans. The platform simplifies the process of comparing and choosing broadband plans, ensuring users make informed decisions about their broadband services.
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Further Reading:
The Psychology of Money: Why We Make the Decisions that We Do
