Unlimited Plans Convince Consumers Network Works Better

“Perception is reality,” an old adage suggests. And that appears to be true for mobile customers using unlimited plans offered by all the four biggest national U.S. mobile services providers.

According to a new J.D. Power study, customers with unlimited data plans believe they experience a lower incidence of overall network problems, data problems, messaging problems, and calling problems than those with data allowances, even if J.D. Power suggests the type of plan actually should not make any difference.

Keep in mind that the J.D. Power ratings are self reported by consumers, and are not directly measurable. Still, the important fact is that unlimited usage plans seem to convince consumers other important attributes of their experience--network problems in general, internet access problems, voice problems and messaging issues actually are lower.

Customers with unlimited data plans report an average of 11 overall network quality problems per 100 (PP100) connections, compared to an average of 13 PP100 among customers with data plans that are not “unlimited.”

Users also report lower incidences of data problems (15 PP100 compared to  16PP100), as well as fewer  messaging problems (5 PP100 vs. 6 PP100). Customers on unlimited plans also believe they have fewer calling problems (12 PP100 vs. 15 PP100).

This trend holds true among both power users (100 or more network connections in the previous 48 hours) and lighter users (fewer than 100 network connections in the previous 48 hours), J.D. Powers says.

In many ways, the findings show the importance of perception. “Whether a customer has unlimited data or a data allowance on their wireless plan should not really affect their overall network quality, but our data shows that—consistently—wireless customers who are not worried about data overages have a much more positive perception of their network’s quality,” said Peter Cunningham, J.D. Power technology, media, and telecommunications practice lead.

Customers with unlimited data “are impressed with data speeds, which likely contributes to their perception of fewer problems,” J.D. Power says.

Unless mobile operators have come up with some new, unheralded way of prioritizing services for their “unlimited” customers, the perceptions of “fewer problems” could be among the actual business benefits for mobile service providers, as such plans apparently convince users other elements of service actually are better than when they used usage-based plans.

As hard as it is to convince consumers network quality has improved, unlimited plans seem to do so, even if engineers might say precisely the opposite should happen, all other things being equal.