Friday, October 5, 2012

[YG]: How to Keep Advanced Subscribers? (Hint - Speed and Service)

A new research by the Yankee Group shows why Speed/QoE-based tiered services could benefit MNOs, mainly by reducing churn.

The report, by Analyst Sheryl Kingstone (pictured), concludes that "Different customers have different needs and priorities, but some customers represent higher value than others. By tailoring pricing and packaging to the top users who value service and customization the most, MNOs will see long-term reductions in churn and upswings in profits .. When it comes to 4G, speed, personalization and care far outweigh price in the minds of at least one valuable customer segment: advanced users, or those who use advanced services such as Web browsing or online games daily".

"Advanced users want faster service. This group is 23 percent more likely than average users to say browsing speed needs improvement. Forty percent of advanced users are potentially at risk of churn, versus 29 percent of average users. Additionally, advanced users are more likely than average users to churn because of poor customer service (25 percent versus 15 percent)" 

See "Unlocking the Value of Advanced Users" - here.

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