Enhancing telecommunications customer satisfaction with analytics

Industry Marketing Manager - Communications, IBM

Quick question: out of a total of 43 industries surveyed, where did the telecommunications industry—fixed line, internet service providers (ISPs), subscription television and wireless—rank in last year’s American Customer Satisfaction Index (ACSI) survey? Any guesses? Consider that the survey included banks, gasoline (petrol) stations, hospitals, insurance companies and even municipal utilities and the US postal service. the telecommunications industry players earned lower customer satisfaction ratings compared to most other industries: 

  • Fixed line ranked 36
  • Wireless ranked 38
  • Subscription television ranked 42
  • ISPs ranked 43

Note that the ISP ranking also earned the lowest score—63 out of 100—in customer satisfaction ratings. How can the industry solve this low customer satisfaction problem?

Dublin, Ireland–based Eir (formerly eircom) shows us the way. Competition for wireless and broadband services was heating up in Ireland, and Eir experienced customer turnover that was costing the company millions of euros every year. Eir deployed an advanced analytics solution to consolidate and analyze structured and unstructured data to gauge subscriber sentiment and predict subscribers who are likely to churn.

In addition, Eir analyzed Net Promoter Score (NPS) survey results including subscriber comments along with network data to build a comprehensive picture of network experience for all subscribers and their likely satisfaction with the companys services. Eir integrated its campaign management system with the insights gleaned from the analytics solution to reach out and prevent subscriber churn. It then invoked proactive retention tactics. The results were impressive; Eir increased NPS by 40 points and reduced subscriber churn by 6 percent.

Organizations interested in achieving impressive improvement in customer satisfaction, increasing NPS and reducing customer churn can follow Eir’s lead. IBM has distilled learnings from Eir and hundreds of successful deployments to create the IBM Behavior-based Customer Insight for Telecommunications industry solution. It correlates NPS surveys with subscriber experience to uncover problems that can lead to subscriber dissatisfaction and eventual churn. Subscribers are also categorized into hundreds of micro-segments based on their usage. These micro-segments will be used for marketing offers that are tailored to individual subscriber preferences and needs.

To learn more, you are invited to register for a live demonstration of this innovative solution for the telecommunications industry.