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Mobile phone industry could do better says GI

A GI Insight product story
Edited by the Marketingservicestalk editorial team Jun 3, 2008

GI Insight's latest study has found that when it comes to directing targeted, relevant offers to customers the mobile phone sector is well ahead of the credit card sector but lags behind retail.

The research, which looked at public and private sectors, examines the level to which the British consumer/citizen feels that the most important organisations they deal with on a day-to-day basis are communicating with them.

At an individual sector level it found that mobile phone companies, a sector which experiences massive annual customer churn in the region of 30 per cent, has also recognised the need to treat customers on an individualised basis and sits at 101 on the index score - compared to 94 for credit cards and 81 for central government.

However, the sector still needs to do more to rise significantly above average and match the mature techniques of British supermarkets, which stand head and shoulders above the other sectors studied at 119 on the index score.

Andy Wood, Managing Director, GI Insight, commented: "Research we conducted last year proved the correlation between relevant communications and customer satisfaction; and customer satisfaction is the absolute pre-requisite for improvements in customer retention and spending.

"This current study, which has asked consumers about the relevance and targeting of communications they receive, shows a clear disparity between database marketing standards in different industries.

"Customers have come to expect that they will be dealt with in a meaningful and personalised fashion.

"This expectation has meant that when companies do talk relevantly to their customers the rewards, in terms of customer retention and increasing value to the firm, are often stellar.

"The research serves as guidance to sectors like the mobile phone industry that need to improve their targeted marketing strategies.".

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