• Share
  • Email
  • Embed
  • Like
  • Save
  • Private Content
Consumer Survey United States
 

Consumer Survey United States

on

  • 604 views

Telecom Consumer Survey United States

Telecom Consumer Survey United States

Statistics

Views

Total Views
604
Views on SlideShare
604
Embed Views
0

Actions

Likes
0
Downloads
37
Comments
0

0 Embeds 0

No embeds

Accessibility

Categories

Upload Details

Uploaded via as Adobe PDF

Usage Rights

© All Rights Reserved

Report content

Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

Cancel
  • Full Name Full Name Comment goes here.
    Are you sure you want to
    Your message goes here
    Processing…
Post Comment
Edit your comment

    Consumer Survey United States Consumer Survey United States Presentation Transcript

    • IBM Institute for Business ValueFebruary 20122011 Global Telecom Consumer SurveyCountry Data for United States Communications spending priorities, perceptions, expectations and attitudes of today’s smarter consumer © 2012 IBM Corporation
    • IBM Institute for Business ValueThe digital revolution is changing the relationship betweenCommunications Service Providers (CSPs) and their customers Consumers become increasingly instrumented The are using technology to get information from a multitude of sources Consumers become increasingly interconnected They are connecting with each other to exchange information Consumers become increasingly intelligent They have clearly defined expectations of what they want2 © 2012 IBM Corporation
    • IBM Institute for Business ValueConsumers are becoming smarter and have new avenues to connectwith each other to influence large corporations, including CSPs 12/29/11 Press Release: “Starting January 15, a new $2 payment convenience fee will be instituted for customers who make single bill payments online or by telephone” Within 24 hours, more than 100,000 people had Greetings, signed a online petition: I am disappointed to learn that Verizon Wireless plans to institute a new $2 fee for paying bills online…. Your company should not assume that it can do anything to your customers and that we will allow it to happen… 12/30/11 Press Release: “Verizon Wireless has decided it will not institute the fee for online or telephone single payments that was announced earlier this week. The company made the decision in response to customer feedback about the plan…”3 © 2012 IBM Corporation
    • IBM Institute for Business ValueTo evaluate the impact of the age of consumerism the IBM Institutefor Business Value conducted both a Consumer ánd a CMO survey IBM Global Consumer Survey IBM Global CMO Survey (25 countries;13,237 consumers) (131 interviews with telecom CMOs)4 © 2012 IBM Corporation
    • IBM Institute for Business ValueCSP CMOs indicated they feel underprepared particularly in areas thatare key for connecting to customers, identified as most critical for them Global Marketing Priority Matrix 1 Customer collaboration and influence Underpreparedness 6 2 Growth of channel and device choices Percent of CMOs reporting underpreparedness 370 3 Social media 10 4 Data explosion 9 5 Decreasing brand loyalty 11 5 6 1 7 6 Shifting consumer demographics60 7 ROI accountability 2 8 Regulatory considerations 4 8 9 Emerging market opportunities 750 11 10 Financial constraints 12 11 Privacy considerations Factors impacting marketing 12 Corporate transparency40 Percent of CMOs selecting Telecom (CSPs) as ‘Top five factors’ 13 Global outsourcing 0 20 40 60 MeanSource: Q7 Which of the following market factors will have the most impact on your marketing organization over the next 3 to 5 years? n1=131 Q8 How prepared are you to manage the impact of the top 5 market factors that will have the most impact on your marketing organization over the next 3 to 5 years? 5 © 2012 IBM Corporation 5
    • IBM Institute for Business ValueTo understand consumers’ attitudes towards CSPs in the world of todayIBM conducted a survey of over 13,000 consumers in 25 countries Mature Emerging B R France UK US Brazil Russia I C Greece Italy Japan India China South Korea Portugal Australia Czech Republic Poland Netherlands Spain Sweden UAE Mexico Belgium Germany Canada South Africa 6 Cyprus © 2012 IBM Corporation
    • IBM Institute for Business ValueThe survey covered many topics, including spending priorities, serviceadoption trends, customer advocacy and adjacent market opportunities Customer Spending Customers’ Adoption of, Customer Sources of priorities for 2011 – Experience with, comms Information for communi- 2013 products and services cation products/ services Customers’ Attitudes Customer Advocacy Adjacent Market towards Comms Providers and Antagonism Opportunities7 © 2012 IBM Corporation
    • IBM Institute for Business ValueMore than 100 slides describe the characteristics of US consumersin their perception of CSPs and their products and services Customer Spending Customers’ Adoption of, Customer Sources of priorities for 2011 – Experience with, comms Information for communi- 2013 products and services cation products/ services Customers’ Attitudes Customer Advocacy Adjacent Market towards Comms Providers and Antagonism Opportunities8 © 2012 IBM Corporation
    • 1241 respondents were drawn from across the US and subscribe toat least one service from a wide range of service providers US : 1241 Proportion of sample identifying one of the providers respondents; 12.2% of below as their Primary Communications Provider total sample (weighted distribution 22.4%) 31 % 29 % 8% 7% 7% 6% 4% 3% 2% 2% *Services are  Fixed telephony (landline)  Mobile/Wireless Broadband  Mobile Telephony  Pay TV (Cable, Satellite, IPTV) 1% 1%   Fixed Broadband (Cable, DSL, FTTx)- Internet Telephony9 © 2012 IBM Corporation
    • IBM Institute for Business Value Some Results10 © 2012 IBM Corporation
    • As in most mature markets, more than less consumers in the US expect to reduce spending on mobile telephony and broadband Netherlands Germany Net Increase/Decrease Australia Canada. Portugal Belgium Sweden Greece Cyprus France Japan Spain 38% 40% 44% USA Italy UK 31% 20% 22% 25% 25% 16% 1% Czech R. Russia UAE China Poland India Korea Brazil Mexico South Africa -9% -9% -8% -8% -7% -5% -4% -17% -12% -22% -19% -18% -30% -29% -56% Spending MOBILE Telephony (Voice, SMS, etc) (2012 – 2014) Emerging Markets Netherlands Germany Czech R. Australia Canada. Portugal Belgium Sweden 45% GreeceNet Increase/Decrease France Cyprus Japan Spain 35% USA 31% Italy UK 12% 15% 15% 5% 6% 8% -7% -7% -6% -6% -3% -2% South Africa -10% -9% Russia UAE China India Korea Poland Brazil Mexico -15% -13% -12% -20% -16% -25% -32% -43% Spending MOBILE Broadband (2012 – 2014) 11 © 2012 IBM Corporation Source: 2011 IBM Global Telecom Consumer Survey, Global N= 13237; Mature Countries N=8865; Emerging Countries N=4372
    • IBM Institute for Business ValueUS consumers are increasingly using over-the-top internetcommunication services Daily Usage 1 Mobile Telephony 80% 2 3 Email/IM/Chat Social Networking 73% 65% 65% of under 25s use 4 Video Streaming 46% social networks UNDER 25s 5 Fixed Voice 31% daily 6 VoIP 15% 1 Email/IM/Chat 72% 2 Mobile Telephony 65% 46% 3 Fixed Voice 47% of under 25s with Internet stream or 4 Social Networking 41% download video ABOVE 25s 5 Video Streaming 19% daily 6 VoIP 7%12 © 2012 IBM Corporation Source: 2011 IBM Global Telecom Consumer Survey, US N=1241 S06 How often do you use the following communications services?
    • About half of the consumers access rich content/media services ona daily basis, claim to do that via mobile devices High Q08. Which of the following do you use to access the media/content services Media/Content in the last question users 100% 4% 4% 3% 3% 4% 4% 2% 2% Other smart phone 6% 6% 4% 7% 7% 7% 6% 6% 7% 7% 8% 8% 8% 7% 5% Android device 5% 6% 80% 4% 6% 6% 6% 7% 11% 13% 12% 14% 15% 14% 12% Blackberry 16% 60% 20% 18% 18% 18% 17% 18% 20% Tablet PC 17% 40% iPhone 48% 48% 49% Laptop/Netbook via 46% 45% 43% 44% 44% Mobile Broadband 20% Via Fixed Broadband Fixed 0% Online Live video User Online Online Online TV Full movie audio broadcast generated Music News sports Programs content video video clips video clips videos13 © 2012 IBM Corporation Source: 2011 IBM Global Telecom Consumer Survey, USA N=1241
    • Almost three-fourth of American consumers do NOT complain to their CSP when disconnected from the network Do you ever complain to your service provider when you are disconnected from the network during a conversation, a voice call or internet session? 100% 90% 25% 33% 31% 80% 38% 35% 35% No 45% 44% 50% 48% 48% 47% 54% 70% 59% 57% 56% 63% 61% 61% 60% 67% 67% 71% 69% 60% 50% Yes 40% 75% 67% 69% 30% 62% 65% 65% 55% 56% 50% 52% 52% 53% 46% 20% 41% 43% 44% 37% 39% 39% 40% 33% 33% 29% 31% 10% 0% Mexico USA UAE Italy Germany India Japan Australia Greece South Africa UK Netherlands Poland Spain Korea France China Russia Brazil Sweden Canada Czech Portugal Belgium14 © 2012 IBM Corporation Source: 2011 IBM Global Telecom Consumer Survey, Global N= 13237; Mature Countries N=8865; Emerging Countries N=4372
    • One third of consumers find it too much hassle to get through tothe call center, another 1/3 don’t believe it make any difference Q12 Why do you not complain to your service provider when you are disconnected from 40% the network during a conversation, a voice call or internet session? Reasons for NOT complaining 30% 20% 32% 33% 10% 11% 13% 7% 1% 3% 0% Telco Dont believe it Too much Have to wait My Provider My Provider is Don’t know networks make any hassle to get too long in charge for unable to how to contact unreliable, difference through to the queue to calls to Call resolve my my Provider to variable Call Centre speak to Call Centre problems complain service Centre expected 13 % believe that it will take too long to reach the call center15 Source: 2011 IBM Global Telecom Consumer Survey, USA N=1241 © 2012 IBM Corporation
    • However, the majority of consumers exchange theseexperiences with their friends/family Q10. What happens when you are disconnected from a mobile, landline or broadband during a voice call or when accessing the Internet? What happens when being disconnected? Attempt to re-dial/re-connect 47% 45% 8% 92% Attempt Redial/Avoid providers with whom friends/family had a poor experience 21% 58% 21% Reconnect Tell friends/family about my poor experience 12% 60% 28% 72% Tell friends/family Contact Customer Service 5% 38% 57% about their poor experience My Provider proactively contacts me in case of 6% 27% 67% poor network experience 79% Avoid Providers with Switch network providers - e.g. replacing SIM 4% 25% 71% poor experience Always Most/Sometimes Never16 © 2012 IBM Corporation Source: 2011 IBM Global Telecom Consumer Survey, USA N=1241
    • IBM Institute for Business ValueFamily/Friends and Internet search - and for under 25s SocialMedia - have become the preferred sources of information What are you preferred sources of information when you are looking for communication products and services? 53% Recommendations/ advice 56% 53% Internet search 51% 32% Social media 17% 31% Websites of communication providers 31% 28% Retail stores 24% 17% Traditional advertising 22% 11% Emails/ promotional offers 13% Under 25s All Ages 7% Shopping portals/ auctions 5% Source: IBM Institute for Business value 2011 IBM Global Telecom Consumer Survey, USA N=124117 Question: What are you preferred sources of information when you are looking for communication products and services? © 2012 IBM Corporation
    • IBM Institute for Business ValueCSPs should focus on this new trend and mine digital channels, suchas blogs, tweets, social networks and peer reviews • Get in tune with today’s digital consumers by listening to the digital dialogue • Become part of the dialogue and to be Blogs prepared to proactively respond to negative chatter Social Tweets Networks • Encourage a two-way dialogue and Peer embrace customer input by building online Reviews and offline communities • Find the influencers, and target them with appropriate messaging By capturing viewer insights from social media sources, RTL Nederland was able to gather timely feedback from viewers on the television programmes X Factor and So You Think You Can Dance. This helped the entertainment company to better understand audience needs and preferences and increase viewer satisfaction and involvement.18 © 2012 IBM Corporation
    • IBM Institute for Business ValueBharti Airtel understands how important it is to participate in thedigital dialogue and how it can help solving problems Having the official verified Twitter profile @Airtel_Presence, they are scanning for every tweet which contains the word “airtel” in it and giving appropriate replies to the customers and solving the issues. Airtel uses social network analysis to determine customers facing problems. Any mention on social media is captured and they get in touch with the customer to get the issue resolved.Abhilasha Hans, CSO “We take the business of customer satisfaction very seriously. Source:http://www.buzzom.com/2011/07/airtel-adopts-social-media-strongly-customers-can-live-chat-in-facebook-and-orkut/19 http://telecomtalk.info/airtel-impact-on-social-media/51645/ © 2012 IBM Corporation
    • IBM Institute for Business ValueTo establish a stable or growing market share, or to improve margins,CSPs should focus on customer binding In a world where people • are becoming increasingly informed, empowered and demanding Key Questions • trust family, friends and peers more than their CSP • have a wide range of providers to choose from how can CSPs Improve Customer Binding? • What does a true Advocate look like? • How valuable are they? • Which elements of the customer experience are most important to consumers? • How well is the CSP positioned when it comes to being focused on what the customer wants? • How can providers use Advocacy to drive growth and customer loyalty?20 © 2012 IBM Corporation
    • IBM Institute for Business ValueA new approach for Customer Advocacy:Customer Focused Insight Quotient (CFiq) The Net Promoter Score (NPS) is the traditional measure of word of mouthNPS advocacy. The score is calculated by simply asking consumers on a scale of 1 to 10 their likelihood to recommend a specific company or brand. The IBM Customer Focused Insight Quotient (CFiq) utilize an approach that looks at key client perceptions and organizes them in a manner that captures more than demographic or behavioral data. Using statistical analysis and multiple regressionCFiq techniques it isolates predictive attributes that are highly correlated with positive commercial behaviors. The CFiq measures the level of advocacy of a customer by analyzing customer responses to three key statements as stated in the next slide. CFiq categories: – Advocates: loyal clients who refer new business, consolidate more of their portfolios with their primary provider, and resist competitive offers – Antagonists harbor negative opinions about their provider, and potentially will bad-mouth the company – Apathetics: could be described as those who show no strong feelings either way, and may be prime candidates to “sweeten” into advocacy. Or, they may leave their firm if a more appealing option comes along.21 © 2012 IBM Corporation
    • IBM Institute for Business ValueA consumers’attitude is shaped by cumulative experience anddirects future behavior and suggestions for improvement Consumer Attitude Advocates Apathetics Antagonists An Advocate is defined by three criteria A willingness to recommend one’s Likelihood to Recommend primary provider to friends and family AND A willingness to increase one’s purchases if one’s primary provider Purchase Intent expanded its assortment and offered products currently found only at other providers AND A willingness to stay with one’s primary Staying Rate provider, even if other providers begin offering competitive products or services22 © 2012 IBM Corporation
    • IBM Institute for Business ValueUnderstanding who is an Advocate and who an Antagonist, and why,is important for driving growth and improving customer retention Advocates have a higher “I have recommended my Higher wallet share and are highly provider to several people” Shareholder Value complimentary of the “They have amazing customer service” provider capability “They are more expensive but I hardly get disconnected or have calls dropped” Advocates Apathetics are generally Apathetics passive participants susceptible to competitor offerings “I think my telco over-charges me Antagonists but how can I prove it; my credit runs out too quickly after I top-up” “The promotions lack any Antagonists have low relevance to me” Lower wallet share and high “ I am looking to switch to the new Shareholder support costs and are provider offering cheaper rates” Value prone to bad-mouth the provider23 © 2012 IBM Corporation
    • IBM Institute for Business ValueUS CSPs have too few advocates and too many antagonists,though a bit better than the global average 100% 4% 4% 3% 9% 13% 19% 17% 17% 17% 17% 16% 22% 20% 19% 20% 19% 26% 25% 24% 23% 19% 36% 34% 25% 80% 22% 14% 19% 25% 14% 16% 20% 23% 23% 25% 22% 56% 26% 31% 21% 23% 29% 36% Advocates 60% Apathetics 17% 18% 22% 25% 40% 77% Antagonists 70% 69% 71% 62% 61% 64% 62% 60% 53% 52% 59% 58% 55% 58% 57% 60% 52% 49% 49% 46% 20% 39% 41% 0% Canada Netherlands China Japan Germany Australia South Korea Czech Republic Brazil Portugal Mexico Spain Poland France Russia Sweden South Africa Belgium UK US Italy Greece24 © 2012 IBM Corporation Source: 2011 IBM Global Telecom Consumer Survey, Global N= 13237; Mature Countries N=8865; Emerging Countries N=4372
    • CSPs do not account for the extreme gap in emotive attributesof their customer base Advocates Gap Antagonists % strongly agree % strongly agree 79% Values me as a customer 28% 80% Offers me relevant products and services 31% 79% Displays consistent level of knowledge 33% Listens and collects information necessary to meet 76% 32% communication needs 76% Prompt correction of errors when they occur 34% Give the CSP Find credit for 78% Does not request for existing information repeatedly 38% fault doing with “everything” 66% Resolves problems fairly 26% “everything right ” CSP 69% Listens and proactively follows-up on issues 30% does 67% Provide advice to improve my user experience 28% 71% Allows me to customize products and services 33% 87% Allows multiple ways to interact with them 52% Seeks input to develop new communication 45% 17% 25 Products/services © 2012 IBM Corporation Source: 2011 IBM Global Telecom Consumer Survey, USA N=1241
    • IBM Institute for Business ValueThe survey did uncover a number telecom-enabled services majorityof consumers are willing to use /pay for Retail/Shopping Banking/Insurance Healthcare #1 all consumers Nbr 1: Receive Mobile Nbr 1: Location-based Nbr 1: Reminders for coupons/Discounts (40%) insurance claims (45%) medications/appointments (49%) Public Services Travel & Transport Utilities Nbr 1: Find nearest public/ Nbr 1: Geolocalization (46%) Nbr 1: Receive warnings about government offices (38%) weather condition (46%)26 © 2012 IBM Corporation Source: 2011 IBM Global Telecom Consumer Survey, USA N=1241
    • IBM Institute for Business ValueFebruary 2012Contacts Bob Fox Rob van den Dam Global Telecom Industry Leader Global Telecom Industry Lead, Global Business Services IBM Institute for Business Value robertfox@us.ibm.com rob_vandendam@nl.ibm.com WWW.IBM.COM/IIBV27 © 2012 IBM Corporation