This is fairly typical of many business. Most customers stay with the company for a long time if they're happy with the service they get, so it's worth it for the company to offer incentives to join. Think loss leaders in a grocery store. If they offer the same incentive year after year to existing customers they could run at a loss. Of course, there are those who have no loyalty and hop from company to company each year. Speaking for myself, when it comes to renewal I go by how I've been treated and the quality of service (waf factor is important). And, yes, it there's a substantial difference in price I might be tempted but I would mention that to my current provider before I take any steps.
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