Acision Reveals More Than 70 Per Cent of Australians Are Affected By Mobile Phone 'Bill Shock'
from Acision
13/Oct/2009 14:10
• 71% have experienced bill shock locally or while roaming
• 75% do not know how much mobile data costs
• 87% think that mobile data charges are high
• 85% would welcome being able to set limits on their post-paid plan
• 55% would like to receive notifications when limits are reached
New research commissioned and unveiled today by Acision, the world’s leading messaging company, has found that more than 70 per cent of Australian mobile phone users have experienced ‘bill shock’ – a common industry problem which occurs when consumers receive a mobile bill which is significantly higher than expected. The research also indicates that consumers lack clarity on how much mobile data downloads cost, the leading cause of mobile bill shock.
With the increased adoption of smartphones, 46 per cent of users are now regularly accessing mobile email, enjoying an enhanced mobile internet experience and utilising mobile applications. However, when asked about the cost of mobile data charges under the terms of their plan, 75 per cent of respondents did not have a clear understanding of how charges were calculated. Of those that were aware of costs, 87 per cent viewed current mobile data costs as being too high. This suggests users have a strong interest in using mobile broadband services but are still cautious due to low visibility over costs and the perception that costs are too high.
“Today, most users have a good idea of their voice and text costs in relation to the actual usage. However, when it comes to understanding mobile broadband data costs, consumers struggle purely because these are relatively new services and it is harder to track the costs of downloading mobile data content and monitor charges being incurred,” said Chris Jenkins, Chief Marketing Officer for Acision.
Of those surveyed, 85 per cent of post-paid customers indicated they would like to be able to set a limit on their post-paid spend and 55 per cent would like a notification when the limit is approached or reached. 31 per cent also stated they would like the option to extend the limit once the limit is near breach. For customers on a ‘capped’ plan, nearly half, 48 per cent, said they did not know when they had reached their cap and only a mere 9 per cent received a notification from their network operator when they did reach their cap, but only upon request.
“With a credit card, consumers have visibility of their expenditure and are able to measure their spending against a credit limit. However, even with a mobile cap, most consumers have little clarity of the rates for downloading data when at home or abroad and have no way of estimating the true cost of these services until their bill arrives. This creates customer service headaches for operators, reduces brand loyalty and means the likelihood of consumers then shying away from perceived expensive services or reducing their mobile spend is very high.
“Today this issue of bill shock has become an industry-wide problem which is apparent across the globe. To stamp this out ideally requires a holistic approach by the operators which provides their subscribers with increased control and transparency over their mobile spend and enables them to avoid missing vital revenue opportunities. This type of solution is now available and will help curb the issue of bill shock,” continued Jenkins.
Designed to address these exact requirements, Acision Flexible Charger is a real-time rating and charging engine which enables operators to empower users with increased control over their mobile spend. Customers can set their own limits on their expenditure and build out their own monthly tariff plans, therefore always knowing where they stand with their mobile bill. Its notification functionality also allows operators to provide detail on when users have reached bundle limits as well as give the flexibility to top up the limit if they wish. Together, these features provide an improved user experience, ensuring further customer confidence, which in turn encourages increased usage of mobile services when at home and abroad, driving up revenue streams for the operator.
Acision Flexible Charger is a cost-efficient solution that operators can add-on to and evolve their existing billing infrastructure, to meet consumers’ preferences for greater control over spend.
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About the Acision Flexible Charger
Acision Flexible Charger is a real-time rating and charging engine, designed to address bill shock and enable operators to provide users with increased control over their mobile spend. Customers can set their own limits on their expenditure and build out their own monthly tariff plans, therefore always knowing where they stand with their mobile bill. Its notification functionality also allows operators to provide detail on when users have reached bundle limits as well as give the flexibility to top up the limit if they wish. Together, these features provide an improved user experience, ensuring further customer confidence which in turn encourages increased usage of mobile services when at home and abroad, driving up revenue streams for the operator. Acision Flexible Charger is a cost-efficient solution that operators can add-on to and evolve their existing billing infrastructure, to meet consumers’ preferences for greater control over spend.
About the research
The research was commissioned by Acision, the research was carried out by Toluna, the online market research panel provider in September 2009. The research polled 1,000 respondents nationwide. Respondents surveyed comprised of 52 per cent female, 48 per cent male, across an age range of 18 to 45 and over 50% were working professionals.
NOTES TO EDITORS
About Acision
Acision is the world’s leading messaging company, providing communication solutions for over 300 network operators and service providers globally. www.acision.com
Press Contacts:
Radha K Floerke
Acision
Tel: +65 6505 1021 / + 65 9863 1449
Emil: radha.floerke@acision.com
Scott Pettet
LEWIS PR
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Email: scottp@lewispr.com