发布时间:2008.8
摘要
Retaining customers is one of the most critical challenges in the maturing mobile telecommunications service industry. This report addresses what is the next major battle for mobile operators. It defines what mobile churn is and establishes key issues in minimizing churn and achieving optimum customer loyalty and retention strategies
Key Questions
• Why did Churn Management take a strategic dimension among mobile operators?
• What are the costs and causes of churn?
• How to tackle customer churn?
• What are the main actions to leverage customer loyalty and reduce churn?
目录及图表
1 - Churn definition
1.1 Mobile markets issues
•Mobile markets saturation
• Fierce mobile competition is increasing
• ARPU levels are still falling or stagnating
1.2 Defining Churn
• Churn definitions and types
• 2 major categories of churn: Involuntary & Voluntary churn
• Prepaid/post-paid churn and Rotational churn
• Churn comparison limits and costs
- churn tracking
- different definition and calculation lead to comparison difficulties
- customer value and customer segmentation
- reducing a high or a lower level of churn
2 - Churn landscape and analysis
2.1 Churn landscape
• Worldwide churn levels and trends
• Western Europe focus
- churn performance between operators and markets
- West-European churn levels
- performance in post-paid and prepaid
2.2 Churn analysis
• Churn is pervasive
• Churn is inevitable
• Churn is expensive: the loss of revenue, the cost of (re)acquisition
• Customer Lifetime Value (CLV)
• Churn is manageable: the increase of subscriber retention costs (SRC)
3 - Churn drivers
3.1 Deregulation and increased competition
3.2 Inadequacy between customer expectations and experience
• Price
• Handset renewal
• QoS
• Lack of carrier responsiveness
• Brand disloyalty
• Privacy concerns
• Lack of features
• New product or technology
• New competitors enter the market
• Billing or service disputes
4 - Minimizing churn
4.1. Churn management strategic approaches
• Offensive - continued expansion
• Offensive - predatory expansion
• Defensive - retention management
• Factors of effective churn management
4.2. Churn management tools and avenues
• Lock-in mechanisms
- contractual binding periods
- delay/price of cancellation process
- SIM-Locking and "locked" network provider settings
- handsets subsidies
- walled private garden
• Reactive management
- loyalty appeal campaigns
- parity campaigns
• Proactive approach
- data warehousing, mining, and visualization are key
- customer retention options
• Loyalty programs
- sponsorship
- clubs and chat rooms
- points and award programs
- preferred customer status
5 - Conclusions
Churn prevention initiatives
• Major pitfalls in designing and measuring retention programs
- targeting customers having high churn problems and ignoring acceptance patterns
- targeting customers having high acceptance problems and ignoring risk patterns
- using offer acceptance rates as a measure of effectiveness
• Key issues in designing retention marketing programs