Business issue
Our client had been the most successful new entrant in a highly competitive telecoms market with many successful, established brands. However, it was struggling to increase market share beyond 2-3% and was suffering from low retention rates. Clear direction was needed to understand how to increase retention rates and attract new customers.
Precise insights
Using the ConversionModel we explored the comparative strengths and weaknesses of the brand at a regional level, including retention, trial and conversion rates, as well as image perceptions. We found that the low retention rates were due to weak signals and late delivery of SMS’s. These issues were also a barrier to acquiring new customers. Those who stayed with the brand were predominantly very young and willing to trade off low prices and financial incentives against quality issues. The client was not addressing the important drivers in the market which included value for money and network efficiency.
Precise plans for growth
The client’s market share doubled. Although still lower than competitors, retention rates improved by 50%.
For more information please contact Lesley van der Walt.