Wednesday, May 18, 2011

Study claims telcos can overtake cable

With the caveat that consumer satisfaction scores are not always an especially accurate predictor of consumer behavior, a new consumer satisfaction study by the Cloes Fornell International Group suggests that consumers will consider a service bundle sold by a telecom company over one sold by a cable company.

The study was conducted by Michigan-based CFI Group. It finds higher customer satisfaction scores for telecom players, based on their history of providing better customer service, said Phil Doriot, one of the study’s authors.

That is consistent with other studies, but might be of limited predictive value. Cable "satisfaction" scores generally are low, but that has not lead to wholesale abandonment by consumers, even when satellite and telco alternatives are available.

"Not so happy" does not lead directly to switching behavior, it would seem.

4 comments:

txpatriot said...

Your link points to a 2007 study -- is there anything more recent?

Gary Kim said...
This comment has been removed by the author.
Gary Kim said...

Check out the ACSI surveys published by the University of Michigan every year. They always show cable ranked poorly in terms of satisfaction, with mobile and telcos higher.

I'm personally unconvinced the "satisfaction" scores mean much, in terms of cable or telco sales upside. Satellite TV, though, seems to score pretty high, and the satellite3 players are gaining share.

txpatriot said...

gary: thanx for the referral to the UM ACSI surveys.

But that kinda begs the question: why a blog post about a 2007 study in the first place? Kinda old news isn't it?

No need to answer -- justa rhetorical question.

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