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J.D. Power and Associates Reports: Satisfaction with Wireless Service Improves as New Service Offerings and Aggressive Pricing Plans Positively Impact21 April 2006
Overall customer satisfaction with wireless service providers has increased significantly from 2005 as customers react to new service offerings and aggressive pricing strategies, according to the J.D. Power and Associates 2006 U.S. Wireless Regional Customer Satisfaction Index (CSI) Study(SM)-Volume 1 released today.
(Logo: http://www.newscom.com/cgi-bin/prnh/20050527/LAF028LOGO-a )
The study measures customer satisfaction based on 42 specific service-related measures grouped into six key factors that impact overall wireless carrier performance. They are (in order of importance): call performance and reliability (26%); customer service (17%); service plan options (17%); brand image (14%); cost of service (14%); and billing (12%). Carriers are ranked across six regions in the United States: Northeast, Mid-Atlantic, Southeast, North Central, Southwest and West.
Over the past three-year period, overall satisfaction has fluctuated significantly as changes in the industry, such as the recent carrier mergers, have influenced the customer experience. The study finds satisfaction has improved 3 percent from 2005, with particular improvements in the areas where the industry has been aggressively marketing new services and offering more attractive pricing options. For example, the service plan options and cost of service factors receive the largest increase in satisfaction ratings from 2005.
"It's encouraging to see that industry-wide service improvements, especially expanded service offerings and aggressive service plan pricing have resulted in more positive overall wireless service experiences," said Kirk Parsons, senior director of wireless services at J.D. Power and Associates. "However, consumer expectations will continue to rise as cell phone users increasingly rely on the communication functions of their cell phones beyond voice calling."
T-Mobile ranks highest in all six regions (including five ties), performing particularly well in service plan options, cost of service and billing.
Verizon Wireless ranks highest in ties in five regions: Northeast, Mid-Atlantic, Southeast, North Central and West. Verizon Wireless's main strengths are in the areas of call quality and brand image dimensions.
U.S. Cellular ranks highest in a tie with Verizon and T-Mobile in the North Central region.
Study results by region are:
Northeast Region: T-Mobile and Verizon Wireless rank highest in a tie. T-Mobile performs particularly well in the areas of customer service, service plan options, cost of service and billing. Verizon Wireless receives strong ratings in call quality.
Mid-Atlantic Region: Verizon Wireless and T-Mobile rank highest in a tie. Verizon Wireless receives the highest ratings from customers in call quality and brand image. T-Mobile performs particularly well in the cost of service factor.
Southeast Region: T-Mobile and Verizon Wireless rank highest in a tie. T-Mobile performs well in service plan options, cost of service and billing. Verizon Wireless performs well in the area of call quality.
North Central Region: T-Mobile, U.S. Cellular and Verizon Wireless each rank highest in customer satisfaction in a three-way tie in the most competitive region included in the study. T-Mobile receives the highest ratings from customers in cost of service, service plan options and billing, while both U.S. Cellular and Verizon Wireless perform particularly well in call quality.
Southwest Region: T-Mobile ranks highest with strong ratings in customer service, service plan options, cost of service and billing.
West Region: T-Mobile and Verizon Wireless rank highest in a tie. T-Mobile performs particularly well in cost of service and Verizon Wireless performs well in call quality.
Volume 1 of the 2006 U.S. Wireless Regional Customer Satisfaction Index (CSI) Study is based on responses from 22,871 wireless users. The results are from the two most recent reporting waves, which were conducted in October 2005 and February 2006. Volume 2 of the study will be released in October 2006.
About J.D. Power and Associates
Headquartered in Westlake Village, Calif., J.D. Power and Associates is an ISO 9001-registered global marketing information services firm operating in key business sectors including market research, forecasting, consulting, training and customer satisfaction. The firm's quality and satisfaction measurements are based on responses from millions of consumers annually. J.D. Power and Associates is a business unit of The McGraw-Hill Companies.
About The McGraw-Hill Companies
Founded in 1888, The McGraw-Hill Companies is a leading global information services provider meeting worldwide needs in the financial services, education and business information markets through leading brands such as Standard & Poor's, McGraw-Hill Education, BusinessWeek and J.D. Power and Associates. The Corporation has more than 290 offices in 38 countries. Sales in 2005 were $6.0 billion. Additional information is available at http://www.mcgraw-hill.com.
J.D. Power and Associates Media Relations Contacts:
John Tews Peter Dadlani
Director, Media Relations Supervisor, Media Relations
Troy, Mich. Westlake Village, Calif.
(248) 312-4119 (805) 418-8103
john.tews@jdpa.com peter.dadlani@jdpa.com
No advertising or other promotional use can be made of the information in this release without the express prior written consent of J.D. Power and Associates. http://www.jdpower.com
Regions and Carriers Evaluated Carrier Ranking Highest
(in alphabetical order) in Satisfaction
Northeast Region
Cingular T-Mobile and Verizon Wireless*
Sprint Nextel
T-Mobile
U.S. Cellular
Verizon Wireless
Mid-Atlantic Region
Cingular T-Mobile and Verizon Wireless*
Sprint Nextel
T-Mobile
Verizon Wireless
Southeast Region
ALLTEL T-Mobile and Verizon Wireless*
Cingular
Sprint Nextel
T-Mobile
Verizon Wireless
North Central Region
ALLTEL T-Mobile, Verizon Wireless
Cingular and U.S. Cellular*
Sprint Nextel
T-Mobile
U.S. Cellular
Verizon Wireless
Southwest Region
ALLTEL T-Mobile
Cingular
Sprint Nextel
T-Mobile
Verizon Wireless
West Region
Cingular T-Mobile and Verizon Wireless*
Qwest Wireless
Sprint Nextel
T-Mobile
Verizon Wireless
* Tied for highest overall satisfaction performance.
Northeast Region includes: Connecticut, Maine, Massachusetts, New Hampshire, New York, Rhode Island and Vermont.
Mid-Atlantic Region includes: Delaware, District of Columbia, Maryland, New Jersey, Pennsylvania, Virginia and West Virginia.
Southeast Region includes: Alabama, Florida, Georgia, Kentucky, Louisiana, Mississippi, North Carolina, South Carolina and Tennessee.
North Central Region includes: Illinois, Indiana, Michigan, Ohio and Wisconsin.
Southwest Region includes: Arkansas, Kansas, Missouri, Oklahoma and Texas.
West Region includes: Arizona, California, Colorado, Idaho, Iowa, Minnesota, Montana, Nebraska, Nevada, New Mexico, North Dakota, Oregon, Utah, South Dakota, Washington and Wyoming.
Source: prnewswire
All trademarks and copyrighted information contained herein are the property of their respective owners.
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