telecom

Mobile Churn: Everything's Amazing; No One's Happy

Mobilephone-Teenager-

Thanks to their multitude of different devices, people are using their telecommunications and data services more and in many different ways, leaving operators confused and a little unsure how to best maximize revenue while cutting down on customer churn.

According to a survey of communications service operators by the CMO Council, 83% feel they need to get a better handle on the resource and support challenges that come with a more diverse and demanding customer service base.

"What's happening is consumers are living a multi-screen, always on lifestyle. They want to get what they want, when they want it with a [retention] of speed and flexibility," Liz Miller, vice president of programs and operations at the CMO Council, tells Marketing Daily. "The experience becomes this make-or-break scenario in the space."

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It's not as if executives within the carriers don't know there's a disconnect between their companies and the customer experience. More than two-thirds (68%) said their corporate mindset is out of sync with new forms of service delivery, and nearly three-quarters (72%) said there's poor alignment among marketing, sales and IT within their organizations. As such, 81% said they struggle with launching new services quickly and cost-effectively.

"They're still coming up against that legacy mindset," Miller says. "There isn't a [corporate] mandate that puts the customer experience on senior management's lists."

This disconnect has led to many marketers being frustrated with the lack of customer insight and intelligence to provide a personalized user experience. Three-quarters said they need better integration between disparate data sources and 52% said they don't have good capabilities for segmented offers and promotions.

They're also having trouble optimizing new revenue streams. While nearly 60% said they are considering over-the-top services for new revenue, much of that seems to be focused on increasing bandwidth and providing flexible pricing plans, rather than by exploring new revenue-sharing partnerships.

"They know revenues are on the line, and improving customer experience will lead to revenue increases," Miller says. "[But] it's a change-resistant culture that's stopping innovation from taking hold."

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