WIRELESS AND MOBILE NEWS

The J.D. Power and Associates 2010 U.S. Wireless Retail Sales Satisfaction Study-Volume 1 shows how smartphones have effected wireless retailers customer service.

T-Mobile ranks highest in customer satisfaction among major wireless carrier-owned retail stores for a second consecutive time with a score of 723, performing particularly well with regard to quality of sales staff and price and promotions. Verizon Wireless (722) closely follows T-Mobile in the rankings.

Nearly 40 percent of customers who visited a wireless retail store in the past six months to replace or upgrade a phone from a previous carrier, switch carriers or sign up for wireless service for the first time now own smartphones.

The study finds that satisfaction with the retail experience among smartphone owners averages 11 index points higher (on a 1,000-point scale) than that of traditional wireless handset owners (727 vs. 716, on average), despite the fact that smartphones require additional service plan options and are more complex to operate. Smartphone owners are more satisfied than traditional handset owners in all factors, particularly with regard to the sales staff

The study finds that owners of smartphones are 27 percent more likely to visit their carrier's retail facility to inquire about a problem with their phone than are those with traditional handsets. In addition, smartphone users are 18 percent more likely to inquire about having their phone repaired, compared with owners of traditional mobile phones.

The study also finds that smartphone owners spend an average of more than one hour in the store during the sales experience, which is four minutes longer than owners of traditional phones. Smartphones require retailers to spend significantly more time carrying out tasks such as activating the phone. Sales representatives spend about one minute longer carrying out value-add tasks with smartphone owners, such as showing them how to operate the phone, than owners of traditional handsets

Among customers who are highly satisfied (scores of 8 or more points on a 10-point scale) with the knowledge of a salesperson, 92 percent say they plan to revisit the retail store, compared with just 70 percent of those who are less satisfied. Similarly, 91 percent of highly satisfied customers say they will recommend the store, while just 62 percent of less-satisfied customers say the same.

The study also finds the following key retail wireless sales transaction patterns:

• Seventy-one percent of customers report that a sales representative explained data plan offerings during their most recent visit. In addition, more than one-third of customers report having discussed 3G coverage with a representative.
• Displaying basic courtesies, such as acting in a straightforward and honest manner, remain critical for sales representatives. Satisfaction is 204 index points higher when representatives are perceived as straightforward and honest than when they are not.
• Nearly one-half (46%) of wireless customers visit their retailer to upgrade or replace a phone from their current carrier. However, satisfaction is highest when retail store visits are to add or subtract a family member (732) or to renew or change a service plan (727).