Lack of Social Maturity in Telecom Presents Major Opportunities, Lithium Technologies Study Reveals

  Lack of Social Maturity in Telecom Presents Major Opportunities, Lithium
  Technologies Study Reveals

   Study Shows Robust Social Customer Experience Investments Drive Serious
                               Business Results

Business Wire

EMERYVILLE, Calif. -- February 19, 2013

Lithium Technologies, the leader in Social Customer Experience, today
published results from a global study that reveals telecoms that invest in
on-domain social platforms have more confidence in the customer experiences
they deliver. As it becomes increasingly difficult for telecoms to deliver
exceptional customer experiences, those infusing social across their entire
businesses have emerged as clear market leaders.

Social customer experience in telecom has far from matured, presenting massive
opportunities for forward-thinking telecoms to set themselves apart and gain
competitive advantage. This is particularly true in Asia-Pacific, and with
social support in all regions, according to the study.

Importantly, the study showed that more socially mature telecoms enjoy
significantly lower call center volume and support costs. With just 5% of
telecoms today considering their customer experience excellent—down from 8%
just two years ago – companies that give their customers engaging, excellent
social customer experiences have a real opportunity to get ahead of the
competition.

The research, conducted by UK-based telecom analyst firm Telesperience,
surveyed senior representatives from more than 40 communication service
providers across the Americas, Europe and Asia-Pacific.

The Telecommunications Industry Is Keen To Get Social (And Will Invest)

Social customer experience today is essential for success in the
telecommunications industry, with respondents noting high adoption across
public social networks and plans for continued investment.

  *93% of telecoms now connect with customers through public social networks
  *95% of telecoms plan to maintain or increase their social media budgets
    this year

The study also revealed that there is quite a bit of room for growth, and this
growth will happen fast in the next 24 months.

  *68% telecoms today use social to engage loyal customers—by 2015, 83% will.
  *59% of telecoms today bring customer ideas to market—by 2015, 86% will.

Those telecoms who aren’t using social to engage loyal customers or bring
customer ideas to market by 2015 risk becoming social customer experience
laggards, failing to keep up with 85%+ of their competitors.

The study revealed that the greatest opportunities for telecoms to
differentiate on the social customer experience over the next two years lie in
social support—enabling self-service support through social channels, and
social commerce—enlisting social customers to give purchase advice.

  *44% of telecoms have social support solutions today—by 2015, 64% will.
  *27% of telecoms enlist social customers to give purchase advice—by 2015,
    59% will.

Making the Business Case For Social

The study results show a clear correlation between robust customer service
programs driven by social and demonstrable business results. Telecoms using
social to transform the customer experience via an integrated strategy (i.e.
an un-siloed approach) realized a huge reduction in support call volume in
2012. Companies that enlist customers to help others and share ideas decreased
call center spend by twice the global average over the course of the year.

While broad investment and prioritization of social in the customer experience
proved be a global trend, the maturity levels and subsequent tangible success
of social initiatives was varied. It appears that some companies are missing
the mark by not taking a holistic, company-wide approach when implementing
social programs.

Often individual departments are responsible for setting social strategy and
implementation. The study found that at 76% of telecoms the marketing
department is one of the primary drivers of social strategy, while in only 41%
of the cases customer care was a primary driver.

Regional Perspectives

Respondents in the Americas were shown to have the most mature social
strategies and corresponding results, with 82% currently engaged in enlisting
customers to support other customers (compared to 46% in EMEA and 33% in
Asia-Pacific). Sixty-five percent of American respondents have realized clear
business impact from social and 27% stated that crowdsourced innovation –
enlisting customers to contribute ideas for future product development – is a
driver of competitive advantage. Perhaps most importantly, American telecoms
tended to have drivers of social strategy spread evenly across their
businesses, as opposed to confining it within one department.

Europe and Asia-Pacific present clear opportunities for companies ready to get
serious about social. In Europe, the most mature telecom market, 100% of
telecoms surveyed said they planned to implement social in order to drive
business results by 2015 – a 65% increase. And in the Asia-Pacific region the
focus will be on revenue opportunities, with a high growth in investments
focused on social commerce predicted by 2015.

Supporting Quotes

Teresa Cottam, Chief Strategist, Telesperience

“Telecommunications is arguably one of the most competitive consumer markets
around. This research shows that communications service providers across the
globe are increasingly open to using social media to boost their
competitiveness, with around two-thirds using it to drive business impact, and
an additional 27% looking to do so in future. The market is moving so quickly
though that excellent customer experiences will quickly commoditize to average
experiences – making continual innovation essential. Using social channels
enables service providers to open up a lucrative new source of ideas derived
directly from customers themselves, creating vital new revenue streams, and
allowing service providers to stay aligned with continually evolving customer
expectations.”

Rob Tarkoff, President & Chief Executive Officer, Lithium

“The customer experience, built around engaging with your customers on their
terms, is something the telecommunications industry has struggled to keep pace
with, particularly given the entry of over-the-top players in recent years.
However, a haphazard approach to social is no longer acceptable. Social
strategies need to deliver the right things – serious results that tie back to
core business goals.

“The telecommunications industry is beginning to realize the value of social,
but needs to focus on the right metrics in order to be successful. Companies
need to move past the pointless hunt for buzz, likes, comments and high fives
– and start thinking seriously about ROI. They need to hold social accountable
to the same goals and standards that they apply to any other area of business,
like reduced costs, greater satisfaction and increased revenue.”

Additional Assets

  *Download the full global survey:
    http://pages.lithium.com/telecom-customer-experience-2013
  *Accompanying infographic:
    http://www.lithium.com/pdfs/infographic/lithium_telecom_social_cxp_2013.pdf

About Lithium Technologies

Lithium helps companies unlock the passion of their customers. Lithium
software powers amazing Social Customer Experiences for more than 400 iconic
brands including AT&T, BT, Best Buy, Indosat, Sephora, Skype and Telstra.
Lithium helps companies grow brand advocacy, drive sales, reduce costs and
accelerate innovation to create a brand nation that redefines the customer
experience. For more information, visit http://www.lithium.com, or connect
with us on Twitter, Facebook and our own brand nation – the Lithosphere.
Lithium is privately held with corporate headquarters in Emeryville, Calif.
and offices in Europe, Asia and Australia.

About Telesperience

Telesperience is a UK-based telecoms analyst firm focused on how software and
data helps communications service providers improves their operational
efficiency, commercial agility and the customer experience they deliver. We
consider where the problems lie with legacy technology, and how companies can
transition to provide a more positive Telesperience for their customers and a
more profitable business for themselves. For more information about
Telesperience see www.telesperience.com, check out our blog at
www.microsperience.com or visit our B2B wiki at www.wikisperience.com.

The Lithium® logo is a registered Service Mark of Lithium Technologies. All
trademarks and product names are the property of their respective owners.

Photos/Multimedia Gallery Available:
http://www.businesswire.com/multimedia/home/20130219005790/en/

Multimedia
Available:http://www.businesswire.com/cgi-bin/mmg.cgi?eid=50568101&lang=en

Contact:

Lithium Technologies
Corporate Headquarters & Global
Michael Paige, +1 510-318-7014
michael.paige@lithium.com
or
Central & Southern Europe
Sandra Teuber, +41 (79) 2237356
sandra.teuber@lithium.com
or
UK & Northern Europe
Prelini Chiechi, +44 (7826) 912788
prelini.chiechi@lithium.com
or
APAC & Australia
Imogen Riley, +61 413 274 210
imogen.riley@lithium.com
 
Press spacebar to pause and continue. Press esc to stop.