Capture Market Share from Brand-Name Competitors by Betting on Your Customers
First Published Thursday, 31st May 2012 02:31 pm from TIBCO Software : Kenan Frager
The opinions expressed by this blogger and those providing comments are theirs alone, this does not reflect the opinion of Automated Trader or any employee thereof. Automated Trader is not responsible for the accuracy of any of the information supplied by this article.
href="http://www.thetibcoblog.com/wp-content/uploads/2012/05/bulb-right.jpg">
class="aligncenter size-full wp-image-3157" title="bulb-right"
src="http://www.thetibcoblog.com/wp-content/uploads/2012/05/bulb-right.jpg"
alt="" width="625" height="81" />
href="http://www.thetibcoblog.com/wp-content/uploads/2012/05/4928050073_c4dbd1e19a.jpg">
class="alignright wp-image-3263" title="4928050073_c4dbd1e19a"
src="http://www.thetibcoblog.com/wp-content/uploads/2012/05/4928050073_c4dbd1e19a.jpg"
alt="" width="363" height="198" />How does the
sixth-largest mobile carrier compete with brand giants such as
AT&T and Verizon? They come out swinging with a
counter-intuitive stroke of brilliance by sticking to the belief
that attrition is best fought by completely eliminating contracts
for all existing customers. Think about it: a
strategy to keep customers in contract by dropping the penalty
for breaking out! It's the perfect irony. Turns
out, it is also perfect marketing.
The
majority of Americans in the mobile phone market already have a
mobile device and contract so carriers are resorting to stealing
customers from each other. 82% of American adults
own a cell phone, Blackberry, iPhone or other smart phone.
The customer's question has evolved to: what can
you do for me that my current provider doesn't? The mobile market
is changing drastically, leaving carriers scrambling for ways to
stay ahead of one another. Many carriers are finding out how
beneficial it can be to use loyalty programs to invigorate your
network of customers and ultimately increase growth.
Teaming up with TIBCO Loyalty Lab, U.S. Cellular brought
to fruition its visionary concept, called the "Belief Plan,"
powered by enterprise functionality that orchestrates a complex
landscape in which most users own multiple lines in different
stages of contract cycles.
"Customers can
get emotional about their devices. We couldn't ask
associates to play 'Solomon' when redeeming
points for upgrades, accessories and other rewards," says John
Coyle, Senior Director, Customer Strategy for U.S.
Cellular.
The nation's sixth-largest mobile operator saw
exponential growth in customer participation for their "Belief
Plans." Of their nearly six million customers, over 2.3 million
signed up for the plan in less than a year since the program's
launch in October 2010. In an independent survey of over 1,000
wireless customers, 90 percent say that carriers
should earn their loyalty, not require it through a
contract. If carriers should take one thing from
U.S. Cellular's loyalty program, it's that customers come first.
The market is wide open and diverse, so treat your loyal
customers with loyalty or another carrier will.
No related posts.
