What is the role of customer experience in the telecoms industry entering 2023?

Recently, Lumoa held a webinar where customer experience (CX) experts talked about the role of customer experience in the telecoms industry entering 2023. In this live panel discussion, experts in the field discussed the challenges telcos are facing, the importance of integrating a CX Strategy into a business, and more. This blog will share some of the highlights of the webinar.

The telecommunication industry is a multi-billion dollar infrastructure that has been steadily growing every year. We rely on telecommunications to connect, communicate, and conduct business globally. Thus, it’s fairly easy to say that it plays a significant role in our lives. But as technology evolves, so do the expectations. Consequently, so does the demand for a good customer experience.

Telcos are finding ways to adapt to the changes.

The year 2022 is drawing to an end; the pandemic years are almost over, and businesses are slowly beginning to recover. Many consumers see 2023 as a way to have a fresh start, and with it, their smart choices. After all, the recent years have been a wake-up call for many of us. We want to experience something new, something better. The question now is, “What is the role of customer experience in the telecoms industry entering 2023?”

In today’s world, people have become more accustomed to online connectivity because it is expected and necessary for both personal and professional use. As a result, telecommunication companies (telcos) face increasing challenges as they provide services such as mobile, landline, internet, cable, etc.

Customer experience emerged as a differentiator of the overall competitive telco landscape due to an increase in competition and consumer expectations. For example, when a customer is deciding to select or remain with a provider, 70% of them see customer experience as a major factor when choosing a telecom service provider. 

How do telcos leverage the complexity of their business model?

Feedback from customers provides valuable input for any business. This information helps businesses determine which aspects of products or services are appreciated by customers and vice versa. However, this is also one of the challenges that telcos face; consolidating voice-of-customer data from various sources.

From a customer’s perspective, it’s all but one experience. But from a business point of view, this means multiple points of contact which, if properly tracked and measured, could be an opportunity. On the other hand, constant changes are making it more challenging to see and hear what customers are saying.

By providing access to the voice-of-customer to everyone within the organization, they are ensuring that their decisions are headed in the right direction. Democratizing the data available will also assist the entire organization in strategizing properly, right down to the practices they employ during execution.

How can telcos leverage a better customer experience to reduce churn?

One of the business indicators for telecoms is churn. So what really happens when a customer churns? When someone says a customer is churned, what it really means is that they either canceled their business or decided not to renew an agreement they previously had.

According to PWC research, the majority of customers say they are willing to pay 8% more for a company that provides great customer service. Furthermore, providing exceptional customer service and good service delivery can be a differentiator in the market. On the other hand, keeping your churn low is an ongoing challenge, and it will remain so for as long as your company exists. Your business needs a systematic, defined retention process, which helps you find all the little tips, tricks, and tactics that will increase customer satisfaction. For example, gathering feedback from your customers can be a valuable source of information to figure out what is causing them to churn.

Where is telcos heading in 2023?

2023 will still be a year in which companies continue to develop their customer journeys and set up customer experience measurements. From a consumer’s perspective, unfortunately, this would mean that there will still be a lot of incoming surveys that they don’t have time or patience to answer. Thus, certain industries, especially telcos, face the challenge of leveraging all their available channels to gather voice-of-customer data and use it to make the right decisions.

The development of internet connectivity will continue to grow. For example, 5G and fiber optic connections are now being used worldwide. This is a huge advantage for businesses that plan to continue testing and experimenting ways to stay in the market.

Currently, big data, which includes large amounts of information collected from various customer touchpoints, is fueling the telco’s growth. By using the voice-of-customer, businesses can better understand the needs and expectations of their customers. and by utilizing these insights, they can provide quality service proactively.