Wednesday, January 24, 2007

Watch What People Do, Not What They Say They Will Do

People often tell researchers they might do something, buy something, use something or switch something. Such responses tend to exaggerate actual changes in user behavior, as our recent experience of wireless number portability suggests. Canadian consumers, for example, suggest they are fairly likely to switch providers once number portability becomes law. History suggests they really won't change.

Wireless number portability, in fact, has not proven effective in creating more competition in the wireless market, says Analysys Research. There are few countries where more than 10 percent of mobile phone customers have taken advantage of number portability, but for the most part number portability hasn't been destabilizing.

Alastair Brydon, Analysys researcher, said that in Britain and Italy, just under 10 percent of mobile phone users had taken advantage of number portability, while in France and Germany the number of people keeping their numbers when switching carriers was negligible. In the United States, about 5 percent of cellphone users have taken their numbers to a new operator. One country that stands out is Finland, where about 55 percent of cellphone users have transferred their phone number in the four years since the service was introduced. The survey covered 25 countries.

"The concept of losing your mobile number in Finland is more painful to people because 35 percent of households do not have a fixed-line phone and 70 percent of all phone traffic is on mobiles," says Brydon.

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