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Network, service quality keeps customers loyal: Nokia

May 22, 2014  

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Mobile operators who lead in loyalty outperform their competition in network and service quality, as well as in customer care, says the 2014 Acquisition and Retention Study Report from Nokia.

While retention drivers vary by market maturity, delivering excellent quality keeps customers happy and loyal. The study results also show that churn continues to keep operators on their toes with 40% of customers globally planning to switch provider in the next 12 months.

The appetite for applications is not easing off. The share of heavy users of advanced services** keeps rising globally, currently covering 69% of all customers. The share of heavy users is specifically high in mature markets, reaching 75%, up from 67% a year ago, and is as high as 84% of users in very advanced markets with top notch LTE networks, like Korea.

But customers do not want quantity at the cost of quality. Showing a two percentage point increase from the 2013 report, now 41% of customers globally think an operator must offer excellent network quality, even if it costs more. Messaging and Internet service quality is below customer expectations in all markets with 60% experiencing problems with mobile data and application usage.