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Price increase

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I have been very satisfied with the Tado system.
My subscription has just increased from £25 to £30. This is a 20% increase. In this country inflation is about 3%. How can you substantiate this increase when there is no support costs?
Thank you
Martin Rayner

Best Answer

  • samd
    samd ✭✭✭
    Answer ✓
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    @davidlyall Change of property;

    Current - Included in price is fully featured tado auto heating system

    Proposed - Yes I know you would prefer Hive but you can have this house if you pay an extra £x per week before you turn the heating on.

Answers

  • davidlyall
    davidlyall ✭✭✭
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    Hi @Marrayn

    This is a community forum for Tado users. You'll need to contact Tado directly with your complaint

  • SteveIreland
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    @Emcee is a Tado employee on this Forum so @Marrayn is right to ask.

  • davidlyall
    davidlyall ✭✭✭
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    @SteveIreland , has @Emcee actually positively contributed to this forum? I don't believe so

    I still maintain this isn't the place to try to get answers from tado on anything
  • SteveIreland
    SteveIreland ✭✭
    edited May 25
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    @davidlyall yes I believe I have seen many responses (257 posts so far). I suggest giving @Emcee a chance first, then, if they do not positively contribute, we can complain.

  • NeilJones
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    How many years is that 20% increase over?

  • royi
    royi ✭✭
    edited May 26
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    @NeilJones I also noticed under my Google subscription that the price is increasing from £21.99 to £29.99, this would be over 12 months. It would have been nice if Tado contacted me directly in the app or by email of the price increase. I've been using the service for the past 2 years and it's not worth it. I won't be renewing.

  • Emcee
    Emcee Admin
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    Hello @Marrayn,

    As you correctly stated, there has been an increase in the cost of Auto-Assist. This change was made for a number of reasons, most important of which was to help us sustain the quality of the feature.

    We have managed to make this the first price increase we have implemented since the launch of Auto-Assist in 2018.

    Could you clarify what you mean by "there is no support costs"?

    Thanks, and happy to keep the conversation going 🙂

  • SteveIreland
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    I have to admit to bing rather tired of the "subscription business model". Subscriptions are a blight on the landscape of the hard times we are going through and I actively try to avoid products tied to a subscription. It's great for businesses, as its a sustainable business model, but for customers, its another cost on top of all the other subscriptions we are practically forced into taking out more and more.

    Microsoft now charge yearly to use Word. There was a time I bought Microsoft Office and I owned it.

    Ring (alarm and cameras) monthly subscriptions have doubled in 2 years with no increase in available features.

    Luckily Tado subscriptions are only for the automation of three (that I can see) fairly pointless tasks; Open Window detection (which I turned off) , Geofencing (again, I turned it off) and Incident Detection (which still appears to be working anyway). So I won't be subscribing at all.

    The first two automations revert to a push notification, which I prefer. After all, I don't really want the heating to come on automatically when I'm nearly home but it's just a flying visit for lunch or something. And turning off the boiler just because the other half burnt the toast and opened a window to clear it is a bit pointless in my book.

    All this said, if Tado were to add what is currently a free option into the list of subscription options, then I would be taking a very dim view as this would be downright extortion and no better than a drug dealer getting you hooked and then upping the price (like Ring did). So please Tado; don't start playing dirty…..and make this the first, and last price rise for many years. After all, inflation is coming down, so there is now no good reason to increase prices much more, if at all.

  • Marrayn
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    Thanks for the feedback. It is much appreciated to see an active community. I will give Taco the benefit of the doubt this time. Otherwise I appreciate the efficiency of the Taco system.

    Thanks

    Martin

  • royi
    royi ✭✭
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    @Emcee If this is the first time in 3 years there's been a price increase. Why is there a price difference between mine and @Marrayn. Is there a two tier pricing system.

  • Emcee
    Emcee Admin
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    Hello @royi,

    Prices might differ if you are subscribing to Auto-Assist on a yearly or monthly basis.

  • davidlyall
    davidlyall ✭✭✭
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    Personally, I don't have an issue with subscriptions and would support if Tado offered the entire service (including hardware) on subscription. Obviously as an existing hardware owner, I'd expect the subscription to be heavily discounted since they're not having to send me anything

    This would provide Tado with an income stream to cover support and development. I would expect in this scenario that hardware failures would result in replacement equipment being shipped out following troubleshooting. This model works in other industries so I can't see why it couldn't work for Tado

    The problem with the current model is that once they sell you the hardware, they have no income stream and as we've seen, the support can be lacklustre with out-of-warranty failures requiring a hardware purchase to resolve.

  • SteveIreland
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    But I already bought and paid for the system, I don't expect to keep paying for it on a monthly basis as well. They're not offering a subscription because its good for us, they are doing it because its profitable (meaning more money coming in than going out).

    As for hardware failure, here in the EU, we have an up to 6 year warranty on all products, so there's no need for any additional cover. Its unfortunate that the many still do not realise this, and these businesses take advantage of it to supply a service, at a cost, that the customer already has by law. Thankfully a law has just been passed that will require packaging to, by law, display the Warranty information for that product in a way not unlike that of the Energy Label on many electricals. It's not perfect, but it will help people understand that their product does not just have a one-year guarantee, despite what the manufacturer says. Of course, this is just in the EU, I guess UK customers will still be under the assumption everything has a one year guarantee until something similar is passed there.

    Ring have used this business model and recently increased their subscription charges, but sadly for Ring (according to their Forum) large amounts of people are swapping out their Ring Doorbells for one that has no subscription attached as its only taking 10 months to recover the cost from the saving on paying the subs. Again, thos new doorbells come with the same up to 6 year cover. I also cancelled my Ring subscription, and the difference in service is actually negligible, making me look stupid for taking it out in the first place.

    Yes, its a brilliant business model, but its only good for the business. Especially during a cost of living crisis, when people can ill-afford to eat, shoving more subscriptions in their faces add insult to injury. Luckily I realised this fairly quickly and my bank account thanks me for it every month.

  • rafm5
    rafm5 ✭✭✭
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    I personally don't fancy anything that requires a subscription, however I do understand that the cloud systems so well liked previously for its savings compared to onsite systems also generate costs and these are widely going up. I have recently worked on a project where a minimum of data had to be logged and the project had to be amended to include the financial aspect. The good thing is that tado° is still a viable product without a subscription.

  • FFM
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    @SteveIreland What part of the EU do you have 6 year warranty? Isn't it two years? Or, to be precise, one year and after the one year the buyer has to prove that the defect was there when it was purchased. But most, if not all do two years. Still, not 6 years….

    Also, not everybody is experiencing a cost of living crisis. I'd rather have a subscription and everything is taken care of (whatever happens).

  • SteveIreland
    SteveIreland ✭✭
    edited June 8
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    @FFM that's why I said "up to 6 year warranty" as it very much depends on the product. For example a cheap brand telly might only sensibly be expected to last a couple of years, but an expensive Sony or Samsung telly would be expected to last the full 6 years.

    There is an element of proof that the fault pre-existed, but decent brands are unlikely to question it as they don't want their reputation damaged by bad publicity, but of course cheaper products will only be expected to last the two-year period you outline.

    I've worked in a 'department store' environment for years across several different high profile retailers as a compliance and quality assurance exec, it's something we have to know. People have rights, its just they often don't realise it.

    If you bought a Tado product in one of my stores and it packed up after 4 years, I would give you a new one.

    Well done to you for being unaffected by the cost of living crisis. But many are, and we have to remember that.

  • FFM
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    @SteveIreland True, you said up to. And now you added "depends on the product" and "expected to last the full 6 years". I think warranty was not the correct word. I suggest "life expectancy"?

    And you giving out a new Tado set if they returned it after 4 years is a business decision that you make. For you, it makes sense to keep the customer happy. Whatever the cost of the Tado set was, you can fully tax deduct it (still not free for you but I guess making the customer happy). I would not and I doubt many companies just give you two extra years of warranty out of the blue.

  • SteveIreland
    SteveIreland ✭✭
    edited June 10
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    @FFM Nope, Warranty, that's how the EU describe it across many official platforms. Please do a web search, you will see. I won't send you a link, I'm sure you're not that interested, but its all there if you are.

    And yes, of course its a business decision, based on the law and the policy of the business, what's your point? It's the same for Tado, they' do not want their reputation rubbished, so they would deal with my returns amicably, they want to retain my business.

    I'm not quite sure why you seem so obsessed to disprove my post, is it because you have not taken advantage of the law in the respect of warranties? Is it possibly because you've lost out because you didn't research the law in respect of a product failing and now you feel sore about it?

    Whatever it is, I feel sorry for you. But you are not alone, many peope don't know their rights, but that's not my fault. I do, and I will always do the right thing by my customers.

    Anyway, that's my lot. I'm just repeating myself now, believe me, don't believe me, your choice. If you choose to respond, please understand I won't be bothering reading it!

  • SteveIreland
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    @Emcee Please remove my profile from this Forum, thank you. 👍️

  • samd
    samd ✭✭✭
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    @SteveIreland Wow! Don't leave cos some poor loser can't accept your word squire. I appreciate what you said and welcome your contribution to this forum.

  • Emcee
    Emcee Admin
    edited June 10
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    @SteveIreland Is this really something you want me to do? I think @samd (and myself, for that matter) would like you to stay 🙂

  • FFM
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    Well, I am happy samd and Steveirland have found each other. The personal insult, not so much ("poor loser") but that tends to happen near the end of a discussion.