US customers with unlimited bolt-ons ‘highly satisifed’

New research in from JD Power. Check this out:

Wireless customers who subscribe to plans that offer additional services such as in-network calling and unlimited text and picture messaging are typically more satisfied and exhibit greater loyalty than subscribers without unlimited plans, according to the J.D. Power and Associates 2008 U.S. Wireless Contract Regional Customer Satisfaction Index (CSI) Study(SM)-Volume 1 released today.

I can well believe this. It’s much better having an ‘unlimited text bundle’ or ‘unlimited calling package’ rather than ’4,000 minutes’. It just feels better – to me, anyway.

Here’s a little more from the survey:

The study finds that more than 25 percent of current wireless customers purchase plan upgrades, which typically offer unlimited use of text messaging, downloads, and picture and video services for a flat rate. Overall customer satisfaction with wireless carriers is notably higher among these customers, compared with those whose plans have usage limits. On average, unlimited messaging plan customers are 33 percent less likely to switch service providers in the next year compared with limited plan customers.

“Considering that these plans seem to boost overall satisfaction as well as lower switching intent, it’s not unexpected that more carriers have expanded their unlimited service plan options to include flat-rate pricing,” said Kirk Parsons, senior director of wireless services at J.D. Power and Associates. “Wireless customers who are high-volume users typically benefit the most, as they are more likely to exceed their monthly plan minutes, and unlimited plans solve that issue.”

Wireless carriers also benefit, as typical customers of unlimited messaging upgrades tend to spend almost twice as much on their monthly service than traditional calling plan customers, on average — $92 versus $57, respectively.

The semiannual study measures customer satisfaction based on six key factors that impact overall wireless carrier performance. In order of importance, they are: call quality (32%); brand image (17%); cost of service (14%); service plan options (14%); billing (12%); and customer service (11%). Carriers are ranked across six regions in the United States: Northeast, Mid-Atlantic, Southeast, North Central, Southwest and West.

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Ewan is Founder and Editor of Mobile Industry Review. He writes about a wide variety of industry issues and is usually active on Twitter most days. You can read more about him or reach him with these details.
  • ollysk2

    As someone with both unlimited internet and unlimited text (and I use the hell out of each of them), I can certainly agree with this study. However, there is a flip side — perception of what's “enough” starts to get skewed after that. I'm looking at Mobile Broadband options right now, and Verizon looks attractive to me (only for broadband because of their coverage). However, it's capped at 5gb — which is more than enough for my mobile needs I'm sure, but every time I think about the cap I panic — I have so many minutes and unlimited texts and 'net that I never think about my bill anymore — I don't even look at it anymore, it's direct debit since I *know* I'll never go over it. But with a cap of any kind, it makes me really nervous to sign up.

  • http://www.mobileindustryreview.com smstextnews

    You've really got to be hammering the downloads to rack up 5GB of usage
    though ollysk2… what kind of usage do you predict?

  • ollysk2

    LOL that's just it — I'll use it for two to three hours a day for web
    surfing, email, and the occasional streaming radio session (that's where it
    may add up). When I test drove AT&T's HSDPA, I did about 700mb in a week,
    but that was heavy on the streaming radio (which is probably a TOS violation
    anyway).

    In the end, I KNOW it's enough, it's just that whole pesky perception of
    unlimited.

    -olly

  • http://www.mobileindustryreview.com smstextnews

    It's a fair use policy. I don't reckon it's actually CAPPED at 5gb.. does
    it actually STOP at 5.05GB, for example? As long as you don't take the
    mickey I'm sure they will be fine?

  • ollysk2

    It doesn't stop — what they do, from what I can glean from their website,
    is they throttle you down to the speed of their slower 1xRTT network
    (200kbps or so real world) — that I could deal with, but it also has a $.99
    cents per meg rate after the 5GB — which could add up VERY quick! At that
    rate, I'd rather they just shut me down.

  • ollysk2

    Sorry, actually .49 cents per minute, but same problem

  • http://www.mobileindustryreview.com smstextnews

    Hmmm. In that case ollysk2, I feel your pain…

  • http://www.mobileindustryreview.com Ewan @ MIR

    Hmmm. In that case ollysk2, I feel your pain…

  • http://www.mobileindustryreview.com Ewan

    Hmmm. In that case ollysk2, I feel your pain…

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