J.D. Power ranks Verizon, T-Mobile highest in business satisfaction; AT&T dead last

Invisible Shield for Apple iPhone 4!Small/midsize business customers are more satisfied overall with their wireless services, compared with home-based business customers, primarily due to cost differences, according to the J.D. Power and Associates 2010 U.S. Business Wireless Satisfaction Study.

Now in its sixth year, the study measures the overall satisfaction of home-based business customers (companies with between one and five employees, and based in a residence) and small/midsize business customers (companies with between two and 499 employees) with their wireless voice and data services across six key factors. In order of importance, they are: performance and reliability (23%); sales representatives/account executives (21%); billing (17%); cost of service (14%); offerings and promotions (13%); and customer service (11%).

Satisfaction among small/midsize business customers averages 682 on a 1,000-point scale, compared with 667 among customers in the home-based business customer segment. The gap in overall satisfaction between the two business segments is mainly driven by the cost of service and offerings and promotions factors, where the satisfaction performance gap is nearly twice as high as that for overall satisfaction (32 points and 27 points, vs. 15 points).

“Clearly, the revenue potential among larger businesses dictates that wireless service providers are more aggressive in offering pricing discounts through sales promotions, such as volume-tiered pricing based on the number of employees participating,” said Kirk Parsons, senior director of wireless services for J.D. Power and Associates, in the press release. “This could also include offering bundled products and services as a way to promote cost savings, given that from both revenue and customer loyalty perspectives, providers offering multiple services to meet client communication needs can almost immediately experience a positive financial impact.”

Another factor that influences satisfaction performance is having a single point of contact for sales and service issues. Small/midsize businesses are more likely to have a dedicated sales representative to deal with sales and customer service issues, which tends to lead to higher levels of overall customer satisfaction. On average, 47 percent of the small/midsize enterprises have a dedicated single point of contact, compared with only 21 percent of home-based businesses.

“Having a single point of contact for sales and service allows a business to quickly resolve issues, which undoubtedly leads to a more positive customer experience, and therefore, higher satisfaction,” said Parsons. “Smaller businesses that don’t have a dedicated sales representative may have to spend more time finding the right person help resolve their issues, which, understandably, can be frustrating.”

In the home-based business segment, T-Mobile ranks highest in overall customer satisfaction and performs particularly well in five of six factors: sales representatives/account executives; billing; cost of service; offerings/promotions; and customer service. Verizon Wireless follows T-Mobile in the home-based business segment, performing well in performance and reliability; sales representatives/account executives; offerings and promotions; and customer service. Alltel also ranks above the segment average and performs well in the performance and reliability and cost of service factors.


Source: JD Power and Associates

Within the small/midsize business segment, Verizon Wireless ranks highest and performs particularly well in two factors: performance and reliability and offerings and promotions. T-Mobile follows closely behind Verizon Wireless, performing particularly well in four factors: billing; cost of service; sales representatives/account executives; and customer service.


Source: JD Power and Associates

“Both T-Mobile and Verizon Wireless have differentiated themselves from the competition specifically by exceeding customer expectations in key service areas such as efficient customer service processes and strong network performance and reliability,” said Parsons. “Particularly among small and midsize businesses, customer service and network-related issues such as call quality and performance reliability are important elements that impact the daily decision-making process. Both T-Mobile and Verizon Wireless appear to be meeting these needs in an effective manner.”

The study also finds the following key business wireless usage patterns:

• The average monthly cost for wireless voice and data services among home office customers is $140-a decrease of more than $30 per month, compared with 2009. Small/midsize companies experienced an even bigger drop, as the average amount spent fell $190 compared with 2009 ($930 vs. $1,120 per month).
• Overall, 41 percent of business decision-makers report currently subscribing to mobile broadband service. The incidence is higher among small/midsize businesses, compared with home-based businesses (47% vs. 38%, respectively).
• Forty-nine percent of business wireless customers say they contacted a customer service representative with a question or problem within the past six months. Among these customers, 21 percent report contacting their provider due to changes in service plans, while 13 percent say they had issues with phone equipment malfunctions or needed replacements.
• The 2010 U.S. Business Wireless Satisfaction Study is based on responses from wireless service decision-makers at more than 3,247 U.S. businesses. The study was fielded between September and November 2009 and January and March 2010. For more information on customer satisfaction with wireless service, wireless retail sales, cell phone handsets, customer care, prepaid wireless service and business wireless service, please visit JDPower.com.

23 Comments

  1. I used to have Verizon before the iPhone. The service was great, but you get raked over the coals if you go over in minutes. The ATT rollover is great. No rollover on Verizon.

  2. J.D. Power is on the take. IMPOSSIBLE. verizon has the lowest customer satisfaction ratings in all categories, that has been a given for yeas. Do an independent poll.

    Verizon is the epitome of corporate bully play.

  3. I’m still on Verizon, and cannot complain about coverge, service, or data speeds.

    Cost, especially when running over my minutes or data, can be excessive.

    The only reason I’m still on Verizon is my need for tethering a without data cap. When the iPhone comes to Verizon or Sprint, or if AT&T;get’s their act together with tethering and no-cap rates, I’ll be happily iPhoning with the rest of you.

  4. Hmmm, Verizon bought AllTel… does that mean their average rating drops like a rock??? ” width=”19″ height=”19″ alt=”grin” style=”border:0;” />

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  5. Verizon worked for the most part when my whole family was on their network in the prehistoric era pre iPhone. But the customer service from the company both in store and on the phone was horrifically bad. We had them still for Internet and phone landline service for a few years after that and had numerous problems with customer service there as well!

    The idea that this company which has the worst service of any public company I have ever dealt with has top notch service or satisfaction is truly stunningly laughable.

    This whole survey is a huge joke without a punch line.

  6. I have t-Mobile, and it’s OK. But I wouldn’t rave about it. I get spotty coverage and weak signals in some areas, and I occasionally see an “Emergency Calls Only” notice when I want to make a call.

  7. One example of many:
    Stuck behind a massive Interstate accident back in February- sat on a bridge for over 1 hour. Bars but no voice or data service on my iPhone 3GS the entire time. When I could get a dial tone it dropped before the call could even complete. Whipped out my Verizon 3G data card and my MacBook and had perfect service. Another 1 hour parking lot on the same day 25-30 miles down the road and the exact same thing happened.
    Now, given both companies have about the same number and distribution of cutovers and the traffic behind an Interstate accident on a Sunday afternoon would likely be a random sample, what does hat tell you about the robustness of the Verizon network versus the AT&T;network. BTW- the AT&T;website reported no service interruptions at either location. The towers were simply overwhelmed.
    It’s pretty offing damning when I could watch my home TV streaming on my laptop via Verizon and AT&T;couldn’t complete a
    voice call. As people got out of their cars and started talking, the Verizon users were letting the AT&T;users make phone calls since theirs didn’t work.
    I travel in my job, pull call at odd hours in good & bad weather and can tell you that AT&T;’s service is awful- not just in NYC.

  8. Verizon needs to die a long, painful death. Along with Microsoft.

    If Apple decided to unleash the iPhone / iPad on T-Mobile, I’d seriously consider it, but not Verizon. No way.

    I will NEVER be a Verizon customer. *Extends ‘middle-finger-salute’*.

  9. My company standardized on AT&T;and forced me to switch from Verizon. I very rarely had dropped calls and poor signals with Verizon. AT&T;has been painful. I live in an area where AT&T;should have good coverage too.

  10. Verizon has always given me HORRIBLE customer service. I mean, truly horrible. Like unfathomable customer service from Verizon. I have actually been surprised with AT&T;’s customer service. Not that AT&T;is great by any means, but they are BETTER than Verizon.

  11. Wasn’t Alltel acquired by Verizon?

    Verizon, no rollover minutes, used to pay $30-$100 a month overage charges.
    AT&T;has option to add 5 numbers on any carrier as unlimited calling.
    Go AT&T;

  12. I wonder how those numbers would look if Verizon or T-Mobile had the iPhone and not AT&T;. I wonder just how robust their networks would under the same strain that AT&T;is on now. Also, as far as I know T-Mobile uses AT&T;’s towers (at least they do in my area) I wonder if they’re bogging down AT&T;.

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