New research says Telco companies need to transform to survive

Published 1 Min Read

Original research recently carried out by The BIO Agency reveals that customers think of their Telco provider as a utility company, and that their lack of switching behaviour is more down to apathy than loyalty.

The survey of 1500 people in the UK was unveiled at the recent Digital disruption & transformation telecoms conference in London. It found that although 76.6% of people would not switch their Telco provider if they had the opportunity, only 27% are likely to recommend them to others.

There was some cheering news for the traditional players. 72.6% of people said they wouldn’t be interested in switching their telco service to a Tech company such as Google or Apple.

Meanwhile, 37.4% said their interactions with their Telco providers were neither good nor bad, and 64% of respondents find little or no difference between Telco companies.

Telco was also placed last in a question about which industry is the best at delivering a service that meets customer needs – below banks, utility companies and airlines.

This general sense of apathy should sound a warning for the industry. In a world full of economic, political and environmental change and uncertainty, customers turn to brands they trust and who deliver purpose and meaning to their lives.

Telcos have some considerable work to do to cement more positive and fully engaged customer loyalty. If they don’t, they may find themselves wrong-footed by new players in the market.

The message is clear. Telcos need to transform to survive…The key differentiator is customer experience. Those who build new services around the customer, unlocking data to provide seamless, personalised experiences, will find themselves best positioned for success Justin Small, Chief Strategy Officer, The BIO Agency

Read more on telecoms in our article Call centres still favourite for broadband issues

The BIO Agency have worked with BT EE and are currently assisting another telecoms brand develop their customer experience.

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