Advertised vs Actual Internet Speeds: Understanding the Discrepancy

Let us guess: you've conducted an internet speed test and are fussing now that you've discovered your internet connection speed is significantly lower than what you're paying for. Your internet service provider (ISP) isn't entirely at fault, so lay down your pitchfork—we'll tell you why actual speeds differ from advertised ones and how you can fix it.

Actual vs Advertised Internet Speeds

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Your actual internet speed is slower than what you're paying for for several reasons, including your hardware and distance from the ISP's infrastructure, network congestion, and the time of day. The advertised speeds represent the maximum achievable speed under ideal conditions.

Why Is My Internet Speed Slower Than Advertised?

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First, consider the accuracy of the speed tests you conducted. They can vary depending on the server, location, and usage in your area. To properly assess your actual speed, conduct several tests throughout the day, especially outside peak hours.

If you're consistently getting slower internet connection speeds than you're paying for, then some of these issues could be at play.

Network Congestion

Internet service providers allocate a certain amount of bandwidth to a specific area or neighbourhood depending on how much they have and the demand. You'll experience slower speeds when many users are online. For residential connections, peak hours stretch from after work to midnight.

Distance From ISP Infrastructure

Your internet speed slows down when you're further away from your ISP's infrastructure because data experiences signal latency and degradation when it travels long distances.

That's why internet users experience faster speeds in urban cities but terrible ones in rural regions. Most internet providers allocate more bandwidth to the former due to demand, and that's largely where the infrastructure is.

Sign up for a better rural broadband plan if you live in a remote area in New Zealand for a faster connection speed.

ISP Network Equipment and Configuration

Some ISPs use outdated or damaged network equipment that can impact your internet connection speed. Your internet service provider may also be throttling your internet speed to manage network congestion and charge more for premium bandwidths.

Whichever the reason, contacting your provider about your issue or signing up with a better internet provider are solutions.

Signal Interference

Wired connections are faster than wireless connections, which are susceptible to signal interference.

Obstructions between you and your wireless access point will lower your signal and connection speed, so stay close to your Wi-Fi whenever possible. Electronic devices and competing Wi-Fi networks in your area can also degrade the signal.

Use an ethernet cable to eliminate latency and signal interference, or buy a Wi-Fi range extender if your Wi-Fi is in a room you don't regularly use the internet at.

Network Setup

Your home network configuration and performance can be behind your internet speed issues. Buying a better, more modern router and diligently configuring your network can help improve your internet speed.

Also, multiple devices consuming bandwidth can cause slowdowns. Using bandwidth monitoring tools and limiting activities that use a lot of bandwidth are great ideas.

How Fast Should My Internet Speed Be?

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We're referring to download and upload speeds when talking about internet speed. The average internet speed in New Zealand is 14.7 Mbps. That's more than the average user needs.

Focus on improving your download speeds, as it's what'll handle most of your common internet needs. Higher download speeds will allow you to stream better and download data faster, including games, files, updates, etc.

However, upload speed is also vital. It dictates how fast you can send data to the internet: uploading files, voice and video chatting, messaging, and online gaming.

So, to answer what a good download and upload speed is: it depends on what you use the internet for. For starters, you'll need a higher internet speed for streaming; 25 Mbps is required to stream 4K seamlessly. Almost everything else will work just fine with that speed.

Gamers and streamers may need much higher than that, though. So it never hurts to have a higher bitrate!

What Should I Do If I'm Experiencing Slower Internet Speeds Than Advertised?

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There are many ways to improve your internet speed and performance. Here are a few.

Use an Ethernet Cable

Wiring your laptop or desktop to your Wi-Fi using an ethernet cable will eliminate common wireless issues, like signal interference and latency.

Review your Bandwidth Usage

Your internet will slow down if other family members are using it. Use a bandwidth monitoring tool to review what's causing slowdowns. Common culprits include downloading or uploading large files and streaming in high resolutions.

Troubleshoot Your Router

Sometimes, your router could be acting up and affecting your internet speed. Shutting and leaving it off for a few seconds before turning it back on can solve most technical issues.

You can also reset and reconfigure it if you're tech-savvy. Otherwise, contact your ISP to send a technician.

Upgrade Your Hardware

It could be that your router is outdated, damaged, or incapable of handling your current bitrate, resulting in a slower internet speed. Buying a more modern router and investing in a Wi-Fi range extender can help improve your internet speed.

Check for Internet Congestion

There isn't much you can do if you're using your internet during peak hours. Heavy network usage in your area could be the culprit if you're consistently experiencing a slow internet speed during specific times of the day. The only way to manage it is by upgrading your plan.

Review Your Internet Plan

There could have been a miscommunication or error while signing up for your internet plan, and you're actually getting less than what you've paid for. In this case, contact your ISP to make sure everything's okay.

Alternatively, consider upgrading your internet plan if you're dissatisfied with its speed. A higher bitrate is always better.

Switch to Fibre

Cable internet and DSL are much slower than fibre. Yes, switching to fibre is more expensive, but the blistering-fast speeds it offers are more than worth it.

It's also more reliable, faces less interference and throttling, and provides balanced download and upload speeds. Many ISPs in New Zealand offer generous fibre plans, too.

Related: DSL vs Cable vs Fibre: Comparing Internet Options
Change Internet Service Provider

Change Internet Service Provider

Consider switching your ISP if nothing else works out. Research the ones in your locale and sign up with one that's reliable and will provide the marketed internet speeds. Ensure they have excellent coverage and customer service, though!

Conclusion

The advertised internet speed is the maximum speed achievable under ideal conditions, so it's normal to have a slower internet speed than what you're paying for.

Thankfully, you can do many things to speed up your internet, from troubleshooting your hardware to upgrading your internet plan. Thankfully, New Zealand is among the leading countries in internet speed; many individuals have access to remarkable speeds and fibre.