(Graham Brown mobileYouth) Increase Youth Loyalty, Reduce Churn - how can mobile do it?

Why do youth churn and what can you do about it? FLICKR PAOLO_SIGNORINI GRAHAM BROWN YRP UK BENJAMIN LEIS YRP USA mobileYouth @ The Young Ideas Salon twitter: grahamdbrown www.mobileYouth.org

5 Key insights into why and how youth churn One case study example of how to fix it PIC FLICKR KATIE_TEGTMEYER What are you going to learn today? mobileYouth @ The Young Ideas Salon twitter: grahamdbrown www.mobileYouth.org

Stick Around for Access to my FREE tip sheet “Top 10 Tips on how to reduce Youth Mobile Churn” Link at end of presentation PIC FLICKR KATIE_TEGTMEYER What are you going to learn today? mobileYouth @ The Young Ideas Salon twitter: grahamdbrown www.mobileYouth.org

Have you ever influenced a friend to switch cellphone network?
“ Actually I have converted a few people … about 5 of my friends switched to Vodacom and they have never looked back.”
Emma 24, Capetown

“ I've switched from Cingular to Verizon. Generally, Cingular was an awful service that constantly dropped my calls or wouldn't connect me, had no service zones in the places that I needed them. Verizon essentially fixed that all and more. “
Steven 18, St. Louis

Have you ever influenced a friend to switch mobile phone networks - if yes, why?
Yes, one time I made this dude switch to Zain, coz I wanted to stay in constant touch with him. He switched and has never looked back. Not sure if it was me or if he liked the Zain service though.
Sarah 21, Kenya

Two Drivers of Churn Pull & Push PIC FLICKR BRUCELEY mobileYouth @ The Young Ideas Salon twitter: grahamdbrown www.mobileYouth.org

How one operator reduced youth churn by 45% with 2 simple measures PIC FLICKR CARLO_NICORA mobileYouth @ The Young Ideas Salon twitter: grahamdbrown www.mobileYouth.org

Nokia Youth Webinar by Youth Research Partners presented by Graham Brown and Ben Leis View the webinar www.YouthResearchPartners.com PIC FLICKR SHAVAR_ROSS mobileYouth @ The Young Ideas Salon twitter: grahamdbrown www.mobileYouth.org

Nokia Youth Webinar by Youth Research Partners presented by Graham Brown and Ben Leis View the webinar www.YouthResearchPartners.com mobileYouth @ The Young Ideas Salon twitter: grahamdbrown www.mobileYouth.org

Two Drivers of Churn Pull & Push PIC FLICKR BRUCELEY mobileYouth @ The Young Ideas Salon twitter: grahamdbrown www.mobileYouth.org

Churn Push: Pain Points PIC FLICKR MELLYJEAN mobileYouth @ The Young Ideas Salon twitter: grahamdbrown www.mobileYouth.org

Back to the 2 key drivers: Significance. When you make them feel insignificant PIC FLICKR CHAPENDRA mobileYouth @ The Young Ideas Salon twitter: grahamdbrown www.mobileYouth.org

YOUTH CHURN INSIGHT #1 Youth will tolerate most inconveniences about their network – price, handsets etc but NOT being made to feel insignificant FLICKR GWEN_MAHURIN mobileYouth @ The Young Ideas Salon twitter: grahamdbrown www.mobileYouth.org

Pain points drive churn not offers FLICKR PAOLO_SIGNORINI mobileYouth @ The Young Ideas Salon twitter: grahamdbrown www.mobileYouth.org

Have you ever switched cellphone network?
“ No, because even though vodacom has its problems , its still got the best network coverage and it was the first to page 2have 3G and HSPDA. And the fact that you can buy sms and data bundles is awesome.”
Somaya 22, Capetown

Have you ever switched mobile phone networks - if yes, why?
Yes, I’ve switched from Safaricom to Yu and then now am on Zain. Safaricom became just a bit too expensive for my liking and then Yu started becoming annoying with their constant smsing so I’m on Zain now.
Eddie 23, Kenya

“ Funny you should ask. I'm going to switch from Cingular to TMobile because they drop my calls like whoa and I have horrible service at my house.”
Mandy 24, Boston

YOUTH CHURN INSIGHT #2 Youth follow their friends not offers. Offers justify the decision rather than initiate it FLICKR GWEN_MAHURIN mobileYouth @ The Young Ideas Salon twitter: grahamdbrown www.mobileYouth.org

Churn Pull: Friends PIC FLICKR HEN3K HEN3K mobileYouth @ The Young Ideas Salon twitter: grahamdbrown www.mobileYouth.org

Youth don’t switch because they want to, they switch because their friends want to PIC FLICKR LAURENV. mobileYouth @ The Young Ideas Salon twitter: grahamdbrown www.mobileYouth.org

Have you ever switched mobile phone networks - if yes, why?
It’ll be hard for me to shift from my current network Safaricom as all my pals are on this network.
Alfy 16, Kenya

Nope, but my pals try convincing me to move to Safaricom which might just be my second option as most people are on this network so it’s convenient.
Eugene 15, Kenya

Have you ever influenced a friend to switch networks - if yes, why?
"Yes, I've influenced many friends to move to Comcel, because it has lower rates, better coverage and the possibility to pick two "elegidos" (selected contacts) to talk unlimited for free. All my family is Comcel, as well as my boyfriend, her mom and most of my friends.“
Carolina 25, Bogota

Yes,I have influenced some peoples to switch their mobile phone network.Coz, it would be a lot cheaper if I made a call or text someone who has the same mobile phone network as mine.So. that's why i influence friends around me to switch their mobile phone network to be the same as mine.
Jayani 21, Jakarta

“ One of my friends use to be on MTN and I managed to influence her to change to CellC. She was having problems with the services they provided as well as how expensive their packages and the network in general was. After showing her my package, how much it cost and the added sms bundle options she decided to move to CellC. I think in the end she decided to take a top up package which works perfectly for what she requires a phone for and definitely on a more cost effective plan.”
Ashleigh 25, Johannesburg

Have you ever influenced a friend to switch networks - if yes, why?
"Yes, I told my best friend to switch so we could talk with a lower cost and because it was cheaper for her to switch“
Alexandra 21, Bogota

“ Yes I have. My network was the first to introduce the free "please call me" service. I thought it was really cool for my friends to join this as we could just about sms for free. As back then you could change the "name" on your PCMs like 5 times a day. And then they introduced this thing where on certain days one could call other MTN numbers for free, but one would have to know when. I thought this was even more cool. Told my friends to join as we could call each other for free every now and then. And then later onwards I also realised that they had cheaper deals on prepaid and contract phones. Causing me to be even more loyal to the network.And then of cause because I think all the other networks are just dodge and expensive”
Asanda 22, Johannesburg

Yes, I influenced a friend to switch operators. That’s because we used to send SMS’ to each other a lot and, at that time, my mobile operator had a free messaging package.
Kubra 23, Turkey

YOUTH CHURN INSIGHT #3 As with marketing and activation, Churn is about leaders and followers. Multipliers are key to managing churn rates FLICKR GWEN_MAHURIN mobileYouth @ The Young Ideas Salon twitter: grahamdbrown www.mobileYouth.org

Churn average: Super Multipliers 20+ friends a year Multipliers 8.5 friends a year PIC FLICKR LILIVANILLI mobileYouth @ The Young Ideas Salon twitter: grahamdbrown www.mobileYouth.org

YOUTH CHURN INSIGHT #4 Churn is ever-present: Most of your young customers are considering leaving you at any given time FLICKR GWEN_MAHURIN mobileYouth @ The Young Ideas Salon twitter: grahamdbrown www.mobileYouth.org

Revealed insights 52% of your customers are thinking about switching in next 3 months mobileYouth @ The Young Ideas Salon twitter: grahamdbrown www.mobileYouth.org

Yes, I have influenced friends to switch because my current operator is getting to be quite expensive with monthly fees and taxes. One of the operators has a plan to call everyone and it has lower prices than my current operator. I’m planning to switch and have been talking about that to my friends too.
Aysegul 28, Turkey

Not really. The YU offers are a bit tempting though. But it’ll be unlikely for me to shift to this network especially with all the hustle of SIM registration.
Doris 17, Kenya

Case Study Operator “X” PIC FLICKR KATIE_TEGTMEYER mobileYouth @ The Young Ideas Salon twitter: grahamdbrown www.mobileYouth.org

54% annual churn rate on Campus Micro project of 200 students PIC FLICKR KATIE_TEGTMEYER What was the problem? mobileYouth @ The Young Ideas Salon twitter: grahamdbrown www.mobileYouth.org

YOUTH CHURN INSIGHT #5 Customer Service Department didn’t feature in their Operator Relationship FLICKR GWEN_MAHURIN mobileYouth @ The Young Ideas Salon twitter: grahamdbrown www.mobileYouth.org

83% didn’t use customer service Used Google, Friends instead PIC FLICKR KATIE_TEGTMEYER What do you do when you want something fixed? mobileYouth @ The Young Ideas Salon twitter: grahamdbrown www.mobileYouth.org

51% BBM 42% FnF Plans PIC FLICKR KATIE_TEGTMEYER What kind of churn pressures in last 6 months? mobileYouth @ The Young Ideas Salon twitter: grahamdbrown www.mobileYouth.org

“ Yes i have actually quite recently. i have a friend who is on the virgin network? i know ryt! hehe but anyway turns out virgin doesn't support the blackberry services and she just got her self a brand new bb and couldn't use the network she has been using, well she could but it would just be an ordinary phone by just receiving calls and text.she couldn't use the unlimited internet access, black berry messenger nothing. so i influenced her to switching networks to vodacom as it is my favorite and has been working well for me. so she did and now she can use her blackberry to its full potential :)”
Bentolina 22, Capetown

Churn Solution? 1) Youthsourcing 2) Fanspotting PIC FLICKR _AMBROWN mobileYouth @ The Young Ideas Salon twitter: grahamdbrown www.mobileYouth.org

Elite FnF Plan Co-created Microsites to manage customer service PIC FLICKR KATIE_TEGTMEYER Details of Case Study in newsletter mobileYouth @ The Young Ideas Salon twitter: grahamdbrown www.mobileYouth.org

= NO CHANGE Details of Case Study in Full Powerpoint (Full Details in the Newsletter) mobileYouth @ The Young Ideas Salon twitter: grahamdbrown www.mobileYouth.org

Details of Case Study in Full Powerpoint (Full Details in the Newsletter) = REDUCE 45% mobileYouth @ The Young Ideas Salon twitter: grahamdbrown www.mobileYouth.org

http://bit.ly/youthchurn PIC FLICKR KATIE_TEGTMEYER More Insights in my Free Newsletter: Top 10 Tips to Reduce Youth Mobile Churn By Graham Brown mobileYouth Youth Research Partners mobileYouth @ The Young Ideas Salon twitter: grahamdbrown www.mobileYouth.org

(Graham Brown mobileYouth) Increase Youth Loyalty, Reduce Churn - how can mobile do it?

by Graham Brown (mobileYouth) on Jul 14, 2010

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(Graham Brown mobileYouth) Increase Youth Loyalty, Reduce Churn - how can mobile do it? — Presentation Transcript

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