Amazon has truly revolutionized the way consumers shop. While the changes brought about by Amazon (NASDAQ: AMZN) have been astonishing, the company is far from finished. Earlier this year, they teamed up with Xfinity to begin selling Internet, cable and home phone on their marketplace. Meanwhile, Frontier Communications Corporation (NASDAQ: FTR) has relied on Amazon several times in the past to generate new customers. Just this year, Frontier made a decision to begin providing new high-speed Internet customers with a free one-year subscription to Amazon Prime. The two companies have now collided with the end result being Amazon peddling Frontier’s services to consumers in their service area.
At this point in time, Amazon’s cable store or Internet service provider marketplace is only home to two companies, Xfinity and Frontier. When visiting Frontier’s Amazon page, consumers will be able to compare their packages. The infographic provides a breakdown of the company’s Internet speeds and usage recommendations. For instance, the infographic suggests consumers opt for the 150-MBPS package should they intend to use 6 to 8 devices in their home. The signup process is fairly basic and should feel very comfortable for frequent Amazon users.
At this point in time, a limited time offer allows Frontier newcomers to obtain a $50 Amazon.com Gift Card when they sign up and remain with Frontier for at least 45 days. Frontier’s Internet packages are available in 29 states and the Amazon marketplace will accommodate all newcomers, who reside in one of the company’s service areas. Details regarding the deal struck between the two companies remain sparse. However, it is likely some type of affiliate revenue stream makes the arrangement worthwhile for Amazon. And of course, Amazon can easily convert visitors interested in Internet service to invest in a new modem.
However, there is one slight drawback for service providers such as Frontier and Xfinity. Amazon’s marketplace platform makes it possible for current and previous clients to leave their reviews for the company’s performance and services. When Comcast joined Amazon earlier this year, the associated Amazon page was quickly ambushed by angry consumers. Even today, Comcast’s Amazon page has 85% 1 stars, yet the service miraculously maintains a 3.7 out of 5 stars rating. Amazon is widely known for having excellent customer service and it has been clear the company will not allow its reputation to be tarnished by others.
Those that partner with Amazon have agreed to establish exclusive customer service channels for leads generated by Amazon. Comcast has already set up two call centers to specifically handle Amazon inquiries. At this point in time, Frontier’s addition to Amazon has flown under the radar. It has only accumulated three reviews, 1 5-star rating and 2 1-star ratings. It is unknown what Frontier has done to better accommodate Amazon customers.
Nonetheless, choosing an Internet or TV provider has evolved into selecting between the lesser of two evils for many consumers. Making their services available through the Amazon platform should be a good move for Frontier Communications. This comes at a time when the company begins to expand to new areas. The additional visibility may be beneficial for slowing down the company’s customer churn rate.