Importance Of CX In A Democratized 5G Era

All things being equal; developing robust consumer experience (CX) program could help wireless telco carriers differentiate themselves in a democratized 5G era

All carriers will eventually offer 5G… now what?

As wireless telecom carriers gradually roll out their versions of Next Generation Network (5G) towards full commercial deployment; they may also need to prepare for the fact that their competitors will be offering similar 5G network & associated value propositions as well… at some point in time soon

So the billion dollar question is… all things being equal, how could wireless telecom carriers differentiate themselves in a democratized 5G era?

For the most part, competing on price alone would be a race to the bottom; impacting core financials (ARPU / CLV / Operating Margins) in the long run; particularly for carriers who want to highlight their ‘premium-ness’ in an otherwise “Look! I am cheaper” landscape

Enter Customer Experience (CX)

Why CX program?

CX is amongst the best time-tested acquisition, retention & loyalty levers… and when done right; has the potential to set carriers apart from their competitors in the long run

Akin to any other industry & business; exploring, developing a robust holistic CX program is equally important to 5G service providers for a multitude of reasons; 4 key ones being –

Everyone will offer 5G… so what sets you apart?

In domestic markets where 5G (network, devices & propositions) becomes democratized… creating a CX-centric business model may become a strong differentiation factor for carriers (read: competitive edge)

Avoiding ‘tit-for-tat’ price competition

Offering CX-centric solutions may also enable some carriers to highlight their ‘brand premium-ness’ in an otherwise ‘tit-for-tat’ price competitive market that could otherwise lead to potential brand dilution & margin erosion

Staying ahead of customer’s expectation curve

Offering value added CX services such as ‘white glove’ and/or same day delivery & setup service (particularly for complex multi-service/device IoT solutions) could enable the carrier to stay ahead of their customer’s expectations

Lock in customer loyalty… today!

Unlike many 5G-reliant value added services; many of the foundational customer retention & engaging CX initiatives may have already been or could be implemented today… thereby giving carriers the potential to lock-in long-term subscriber loyalty… Today!

Key CX focus areas for 5G service providers

Equally important is to understand what steps should carriers take today to ensure better CX, engagement & loyalty in tomorrow’s democratized 5G world?

There are a multitude of CX initiatives that 5G service providers can explore, innovate & develop; categorized under 4 key CX focus areas –

Network Experience
Product Experience
Provisioning Experience
Value-Add Experience

Network Experience

At the very least, carriers could differentiate by ensuring a seamless and un-interrupted access to their 5G network (read: reliable network experience)

Consumers & businesses segments alike already have very high expectations of an always-on and reliable 5G network

In a democratized 5G market, failure to ensure (perceivably consistent) high quality network experience wouldn’t only be detrimental to the brand; but could also result in a subscriber exodus to competitors

Any interruption to their SMB/E/G business customers‘ 5G-reliant services could even cost Tier 1 carriers their lead position in the market

Product Experience

5G unlocks the virtually limitless opportunities for carriers to develop & commercialize their own branded portfolio of consumer & industrial terminal devices & connected IoT solutions (think: 5G-enabled home automation ecosystem)

Having dedicated connected 5G/IoT product experience centers in apt formats (e.g. destination stores) that interactively convey their value propositions to end users could go a long way in securing effective subscriber acquisition , retention & promoter scores

Provisioning Experience

In an eSIM-enabled 5G & IoT era; carriers could stand out by offering a simplified multi-device & service provisioning experience for end users

Service providers could further differentiate by simplifying their 5G & connected IoT provisioning experience; particularly as it relates to multi-play services such as bundled family smartphone, fixed wireless internet plans & home automation plans

Initiatives could include optimizing truck rolls, in-store/home multi-device provisioning & setup, faster turnarounds for DOA replacements &a unified insurance + warranty offering

Proliferation of eSIM will coincide with commercial 5G rollout and when done right, could provide Carriers with a useful acquisition, retention & provisioning tool for the said multi-play 5G & connected IoT services

Ensuring apt channel availability for ‘in-demand products’ (5G smartphones, VR/AR, etc.) at the right place & at all times – read: omni-channel CX– could be another CX-focused initiative that 5G service providers could focus on

Value Added Services Experience

Post sale value-add services experience initiatives is crucial in ensuring subscriber retention and could entail front-end (customer facing) and back-end (logistics) business functions; both playing a crucial role

3 such CX initiatives:

1. Fulfillment Experience or simply put the time taken from the customer order phase to the (accurate) delivery of products & services (e.g. same day on-site delivery, setup & provisioning & omni-channel fulfillment)

2. Service Experience including post-install ‘education session’ & 24X7 omni-support (think: AI-based chatbots)to keep subscribers engaged & optimize support costs

3. Billing & Notification Experience specifically the simplification thereof in a multi-play IoT offering (e.g. real-time notifications, fraud alerts & even service downtime alerts with estimated time to remedy)

So…

Whilst 5G service providers will continue to differentiate on pure play core value propositions (triple/quad-play, zero-rated content, bundled IoT & cloud, cheaper pricing)…

…consumers & businesses alike are likely to evaluate them on their ability to provide unique CX-centric products and solutions designed to be cost-friendly & engaging in the long run

By exploring, developing & offering robust CX focused services across all of their business operations; 5G wireless telecom carriers would not only be able to exceed their customers’ expectations but also secure their their long-term loyalty… Today!