Broad Soft

  • Subscribe to our RSS feed.
  • Twitter
  • StumbleUpon
  • Reddit
  • Facebook
  • Digg

Monday, 2 December 2013

Cable, Telco, ISPs Generally Score Very Low on Customer Service: Why?

Posted on 06:50 by Unknown
Many would not agree that it is simply a huge volume of customer interactions that causes most cable TV companies, fixed network telcos or ISPs to get very-low scores for customer service.

Comcast CEO Brian Roberts does.  "What unfortunately happens is we have about … 350 million interactions with consumers a year, between phone calls and truck calls. It may be over 400 million and that doesn't count any online interactions which I think is over a billion. You get one-tenth of one-percent bad experience, that's a lot of people."

Others might think there are other impediments. Installs require that someone be home. That often means a person has to take time off from work to activate service. That is a real cost, bound to increase irritation.

To be sure, most service providers work at getting better, and most arguably have done so over the past decade. But the need to take time off work to initiate service is bound to be an irritant. 

Install windows also have gotten measurably better, in some cases. Comcast now promises install windows of only two hours duration, where it once was standard for windows to be essentially four hours long (morning, 8 am to noon, or afternoon, noon to 4 pm). 

Recurring service bills can be horrendous, hard to understand and complex. That probably doesn't help, as it causes customer service representative interactions, with the chance that a consumer will be kept waiting "on hold." Online chat helps. Email queries arguably do not help very much, as the latency of a response is too high.

Communications and entertainment monthly bills also are likely an issue. Consumers are reminded every month just how much their service costs, and many likely are irritated by the many above the line or below the line taxes, fees, assessments that are part of most bills in the communications and video entertainment business.

It is hard to measure, but consumers might express frustration with customer service because they already are dissatisfied with the value and price relationship of the underlying service. 

ISPs get terrible reviews, for example, but the reasons might lie more with unhappiness about the service than the customer service. 

However, the 2013 Information Sector report from the American Customer Satisfaction Index shows that customers are happier with telecommunication services and technologies than they were a year ago.

The Information sector benchmark—the combined aggregate score for wireless telephone service, Internet service providers, subscription television service, cellular telephones, fixed-line telephone service and computer software—climbed 0.6 percent to 72.3 on a 0 to 100 scale.

“High monthly bills combined with problems across a broad spectrum of customer experience benchmarks—such as service reliability, data transfer speed and video-streaming quality—leaves customers less than satisfied with their ISP service,” the ACSI indicates.

Subscription television service ended a three-year run of stagnating customer satisfaction with a three percent gain to an ACSI benchmark of 68. While the boost is good news for cable, satellite and fiber-optic television providers, the industry remains the third worst of the 43 industries covered in the ACSI.

Among TV service providers, those offering service via fiber optics or satellite earn the best marks for customer satisfaction.

On average, fiber-optic/satellite service received an ACSI score of 72 compared with 63 for cable service.

While most cable providers did better in 2013, all remained below the national ACSI average.

ACSI director David VanAmburg noted that “the industry’s pattern of yearly price increases, coupled with sporadic reliability, keeps customer satisfaction low relative to other household services and vulnerable to new technologies that enter the market.”

ISPs earned a customer satisfaction benchmark of 65, the lowest score among 43 ACSI industries.

“High monthly bills combined with problems across a broad spectrum of customer experience benchmarks—such as service reliability, data transfer speed and video-streaming quality—leaves customers less than satisfied with their ISP service,” said Fornell.

Only Verizon’s FiOS and the aggregate of all other smaller ISPs break out of the 60s with identical ACSI scores of 71.

The mobile phone industry reversed a two-year trend of declining customer satisfaction with a 2.9 percent gain to an ACSI benchmark of 72. Despite matching its 10-year high, wireless service remains well below the national ACSI average.

“Barriers to switching, including contracts with cancellation fees, make the wireless industry less competitive,” said VanAmburg. “ACSI research shows that customer satisfaction is almost always lower when consumers have less choice and more headaches when it comes to switching to another seller.”

Fixed network phone service customer satisfaction increased  5.7 percent to 74. The paradox is that since unhappy customers are abandoning fixed network voice service, the remaining customers are those who value the service more, leading to higher scores.

The point is that unhappiness with the product tends to lead to unhappiness with opinions about customer service, even when providers are working to improve that element of the experience.
Email ThisBlogThis!Share to XShare to Facebook
Posted in | No comments
Newer Post Older Post Home

0 comments:

Post a Comment

Subscribe to: Post Comments (Atom)

Popular Posts

  • Seattle's Gigabit Squared Fails: Sustainability Remains an Issue for Muni Access Networks
    Seattle's Gigabit Squared  network appears to have failed, illustrating a recurring problem with all municipal or joint venture Internet...
  • Access Networks Increasingly are All About Video
    In North America, r eal-time entertainment is responsible for over  68 percent of downstream bytes during peak periods, compared to 65 perce...
  • Using a Drone-Mounted Camera to See what a Surfer Sees "In the Water"
    If you've ever seen a picture of a surfer (the ocean kind), shot from shore, you have one view of what's going on, but you can't...
  • New Report Confirms: Investment or Competition is a Real Issue for Access Networks
    The latest Ofcom report on U.K. broadband infrastructure illustrates the inherent tension between promoting investment in next generation ne...
  • Google Fiber in Provo Prices Same as Kansas City
    Google Fiber  in Provo, Utah will be priced the same way as Google Fiber in Kansas City. People will be able to sign up for free 5 Mbps down...
  • EC to Review Telefonica, E-Plus Merger: How Many Carriers are Needed in Germany?
    European Union antitrust regulators will examine deals such as the proposal by Telefonica and Royal KPN to combine their German assets, base...
  • AT&T Tower Sale Raises, Does Not Answer, Question of "Core Competency"
    What is AT&T’s “core competency?” That is a question observers might raise, in the wake of AT&T’s decision to sell its U.S. mobile t...
  • How Big a Phone Will You Carry All the Time?
    How big a device will you carry with you, all the time, like you carry a mobile phone? Samsung Mega is going to provide some real-world tes...
  • To Attack U.S. Mobile Pricing Structure, Sprint and T-Mobile US Will Have to AddressTheir Own Cost Structures
    If a mobile service provider wants to attack prevailing retail prices in a serious way, it also has to attack its own operating and possibly...
  • Market Disruption is a Game Verizon Can Play as Well
    One often tends to think that big market disruptions are caused by small, upstart firms. History might suggest something quite different. Y...

Blog Archive

  • ►  2014 (23)
    • ►  January (23)
  • ▼  2013 (476)
    • ▼  December (83)
      • New Sprint Nextel Business Offer Might Combine Fix...
      • How Much has the Internet Harmed the Telecom Busin...
      • What Device Sales Indicate About Next Era of Compu...
      • 10 things not to buy in 2014
      • Net Neutrality is Part of an Older Pattern of Tech...
      • Which Revenue Opportunity is Bigger for Mobile Ser...
      • "Near Zero Pricing" for Voice is Not the Problem i...
      • SoftBank Bid for T-Mobile US Could Reshape Thinkin...
      • Are Fixed, Satellite, Cable TV, Mobile Distinct Ma...
      • What's Upside for AT&T Gigabit Networks?
      • Some Things Won't Change in 2014
      • Cheaper to Manufacture in U.S. Than China, Firms Find
      • Will T-Mobile US (and someday Sprint) Achieve Ilia...
      • Internet Does Not Change the Fact that Most Commun...
      • Where Fixed Broadband Prices in Developing Nations...
      • 2013 Not the Year Video Subscription Business Breaks
      • The Year Broadband Access Prices Were "Destroyed"
      • Raising $20 Billion is the Easy Part of Potential ...
      • Freemium is Leading App Pricing Model
      • Rise of Ad-Supported App Firms Could Have Access P...
      • Can "Internet Access" Be More Than a Commodity?
      • Sprint, Dish Network to Test Fixed Wireless
      • EE Now Supports AT&T Customer 4G Roaming in United...
      • 4 and 3: Why Sprint Purchase of T-Mobile US Faces ...
      • Australia NBN Will Miss Target of 25 Mbps to All b...
      • Spectrum Exhaust? Not Likely
      • If Price Were No Object, Would Most People Buy iPh...
      • Could a Merged Spring-T Mobile US Change 600 MHz A...
      • Is U.S. Mobile Market About to be Rearranged?
      • Study Suggests Amazon Kindle Strategy Works
      • What Drives "UnCarrier" Success?
      • Is Utopia in Utah a Potential Investment Target fo...
      • How Important is Ownership of Mobile Access Assets?
      • The New Demand for Asymmetrical Networks
      • One Way Google Fiber Has Changed Regulator Thinking
      • Installment Plans are Similar to "Device Subsidies...
      • The Song that Eventually was Released by the Rolli...
      • Is A La Carte TV a "Farce?"
      • U.K. Consumers Pay Less for Communications, Ofcom ...
      • First Passive Infrastructure Sharing; Then Active ...
      • AT&T Essentially Will Pay its Austin Access Custom...
      • Sustainability a Key Issue for Public-Private Fibe...
      • We Forget that Transition to Optical Fiber Once Wa...
      • Why Economics Matters for the Supply of Broadband ...
      • The Fixed Network Business Case: An Illustration
      • Carriers Pursue Different 4G Business Models
      • Verizon Acquires Content-Delivery Firm EdgeCast Ne...
      • To Attack U.S. Mobile Pricing Structure, Sprint an...
      • Motorola Modular Phone Prototype "Almost Ready"
      • Usage-Based Billing Might be Good for Many Enterpr...
      • U.S. Smart Phone Penetration Reaches 63%
      • Enterprise Customers Say More Cloud, More Consolid...
      • Does the Telecom Industry have a Life Cycle?
      • Indian Mobile Market Illustrates Key Principle Abo...
      • Why Sprint is Certain to Launch a Price War
      • A Scary Bit of History
      • Video Traffic is Moving from "North-South" to "Eas...
      • Rare Earth Elements Underpin Modern Electronics, a...
      • U.S. Auction of Broadcast TV Spectrum by Mid-2015?
      • Another Cycle of Faulty Predictions and Forecasts ...
      • Regulators in Mexico, Brazil Act to Spur Competiti...
      • Two Views on Bitcoin
      • Mobile Broadband will be 81% of Total Broadband in...
      • M2M Might Represent 6% of Global Mobile Connection...
      • Chinese iPhone Buyers are Not "Average"
      • VoLTE Will Help Mobile Service Providers Shut Down...
      • New FCC Chairman Distinguishes Between "No Blockin...
      • Windstream Isn't the Company It Used to Be
      • More Trouble for 4G LTE Investment Models
      • Half of all Smart Phones Bendable by 2019?
      • Why Word of Mouth is Essential for Really Big Comp...
      • Will Change to Communications Act of 1996 Create N...
      • It's not Easy to Run a Carrier-Owned Over the Top ...
      • BlackBerry Says It Isn't Dead
      • Amazon Prime Air Will Need Approval from Federal A...
      • Most Additional Mobile Spectrum Has to Come from E...
      • Up to This Point, "New Services Revenue" Has Come ...
      • Cable, Telco, ISPs Generally Score Very Low on Cus...
      • Oddly Enough, it is Nearly Inpossible to Tell Whet...
      • Android, Windows Phone Shipments Grow Based on Price
      • Twitter More Popular than Facebook Among Users 15 ...
      • 24% of Thanksgiving, Black Friday Shopping Volume ...
      • What is M2M Internet of Things Impact on Mobile Ne...
    • ►  November (79)
    • ►  October (127)
    • ►  September (95)
    • ►  August (92)
Powered by Blogger.

About Me

Unknown
View my complete profile