Telecommunications Purchase Motivations
To inform your strategy recommendations, you would like to understand how US consumers of telecommunication services make their purchasing decisions. Specifically, you want to learn the decision-making criteria that are most important to consumers in this market.
- Nokia's 2016 Acquisition and Retention Study found that in mature markets, such as the US market, 46% of customers choose a mobile operator that offers the best prices.
- Some 26% of consumers look for the best network quality and 23% are interested in the best geographical network coverage.
- Friends and family being on the same network is a strong motivator for 21% of consumers, while the best customer care was important to 17% of respondents.
- Complementary products and services are important to 15% of consumers, the latest mobile technology to 13%.
- Finally, the choice of mobile devices was valued by 11% of respondents, while 9% valued data protection and security.
- When choosing a telecommunications provider online, 46% of consumers think that real-time assistance is the most important factor to making the decision.
- As much as 43% of consumers value a mobile-friendly experience, and 23% put great importance on being able to speak to a brand expert if needed.
- Consumers that signed up for bundled services (mobile and broadband for example) were less likely to change their telecommunication providers.
- Some simple services like getting a notification when they exceed their plan limit are very important to consumers in the telecommunication market, according to a report published by Bain & Company.
- Various industry experts list the most important factors to consider when choosing a telecommunications provider. For example, the non-profit TechSoup created this list of the 10 most important factors to consider when choosing a telecommunications provider.
Proposed next steps:
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Since quantitative data on the purchasing decisions of telecommunication customers is hard to come by, we suggest continuing this research by analyzing the most common expert recommendations of things to consider when choosing a telecommunications provider. We believe this could be a good proxy for the actual purchasing motivations because consumers are likely to search for these factors before making a purchasing decision.
Alternatively, we can also dive deeper into the few studies identified and try to extract as much quantitative data from the three studies as possible.