This post is by Liron Golan, head of CEM Portfolio Marketing, from Nokia Siemens Networks.
Churn is on the rise. The first results from the Nokia Siemens Networks global Acquisition & Retention study show that more than one third of the customers is likely to leave their providers in the next 12 months, an increase of almost 10% from last year.
Every year, since 2005, Nokia Siemens Networks has conducted a global Acquisition & Retention Study to identify the key drivers for customer loyalty and experience in mobile markets around the world. The study investigates the main reasons for churn and successful steps that operators have taken to build customer loyalty. Based on more than 8,700 interviews across mature and emerging markets, the initial results for 2012 showed a continuing trend: customers care about quality. Network coverage, voice and data quality have the greatest impact on retention.
As in the previous year, dissatisfaction with their providers has been the most common reason to leave them. Customers are unhappy with network coverage (where expectations are high and increasing), service quality (mobile internet, voice calls, etc) and rate packages. Significantly, the results also showed that 23% of the users of advanced services would be willing to pay more for special mobile services – and a staggering 32% of customers believes that their operator should offer excellent network quality, even if it costs them a bit more.
So what can the operators do to meet these demands? On Valentine’s Day, Nokia Siemens Networks launched CEM for LTE, our latest innovation for Customer Experience Management. LTE predominantly supports services running over the Internet, which is a fundamental change and blurs the lines of responsibility for service quality. CEM for LTE will help operators ensure that their LTE customers enjoy the best service quality and experience from day one. The new capabilities in the CEM portfolio will be commercially available in June 2013 either as stand-alone deliveries or upgrades.
The enhanced offering will enable operators to monitor and analyze the quality of their customers’ experience in real time. With CEM, operators will be able to track customer quality by location down to a single subscriber level in an LTE network, and use the insight to take proactive action to solve possible issues, and compare with competitors’ network quality. CEM can help operators upsell LTE as it enables them to identify customers with LTE capable phones, and proactively offer them an LTE service package.
Furthermore, the insight about the subscriber experience, based on key performance indicators and needed improvement actions, is all available through the CEM on Demand portal. Having one single entry point to the holistic insight makes it easier than ever for operators to manage the customer experience, while driving loyalty, efficiency and revenue streams. For subscribers, this is the key to a much more immediate and relevant customer experience.
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