Friday, August 26, 2016

Expected Phone Ownership Duration Affects Customer Satisfaction

With the caveat that consumer satisfaction with mobile service is not the same as satisfaction with the buying process, AT&T and Consumer Cellular garner top marks from buyers.

Also, overall satisfaction with the mobile purchase process increases as the expected duration of mobile device ownership decreases.

Overall satisfaction with the purchase experience is higher among wireless customers who purchase a mobile device and expect to use it less than one year.

Among full-service customers who purchase or upgrade a mobile phone with their carrier, overall satisfaction is 853 (on a 1,000-point scale) among those who plan to use it for less than a year; 843 among those who plan to use it between one and two years; 809 among those who plan to use it between two and three years; and 817 among those who plan to use it three or more years.

Mobile full-service customers who expect to use their phone less than a year tend to be younger and early adopters of new technology.

More than half (58 percent) of customers who expect to own their phone for less than one year are 18 to 34 years old.

Just 28 percent of all customers expecting to own their phone for three or more years are in the 18 to 34 age range.


As you would guess, customers who expect to own their device for less than a year are early adopters.

Some  79 percent of customers who expect to own their phone for less than a year say they “strongly agree” or “somewhat agree” that they are among the first to try new technological products, compared with 37 percent who expect to own their phone for three or more years who say the same.

“It’s surprising to learn that the expected length of mobile device ownership can influence the purchase experience process,” said Kirk Parsons, senior director and technology, media & telecom practice leader at J.D. Power. “However, the study suggests that cost and service coupled with offerings, such as more data plan minutes or unlimited usage plans, are significant reasons overall satisfaction is above average among younger subscribers.”

Overall purchase experience satisfaction is 834 among mobile full-service customers and 807 among non-contract customers.

Full-service mobile customers who purchase a phone and expect to use it less than one year pay an average of $188, compared with $279 for those who expect to use it between one and two years; $312 for those who expect to use it between two and three years; and $313 for those who expect to use it three or more years.

About 78 percent of full-service customers indicate they made a purchase in a wireless retail store, while 54 percent purchased over the phone and 61 percent purchased online.

Some 62 percent of non-contract customers bought a device in a store and only 38 percent made the purchase by telephone.

AT&T ranks highest among wireless full-service carriers, with an overall score of 845.

Consumer Cellular ranks highest for the first time among wireless non-contract carriers, scoring 899.





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