Blancco Technology Group study reveals reasons for mobile carrier and OEM churn

Blancco Technology Group, an Atlanta-based global provider of mobile device diagnostics and secure data erasure solutions, has released a new research study, “It’s Complicated: Mobile Frustrations & Churn.” The report investigates consumers’ mobile device usage habits and uncovers the complexity in the types and frequency of functionality issues that often arise throughout their life cycles.

According to the global survey of more than 1,400 mobile users, patience isn’t always a virtue, with 49 percent of respondents saying they would seek help within the first three days of experiencing device issues, while 9 percent would seek help in less than three hours. The combination of faulty mobile devices and ineffective care would cause 31 percent of respondents to switch to different mobile carriers, and another 33 percent would change their device manufacturers.

“When consumers head in-store for help, they’re usually under the assumption that customer service agents, sales representatives and repair specialists are geniuses in troubleshooting and fixing their mobile devices,” says Amit Mahajan, chief technology officer of SmartChk by Xcaliber Technologies, a division of Blancco Technology Group. “In reality, a vast majority of support staff are young, immature and lack adequate training—and there isn’t any mobile diagnostics solution or technology on-site to close that skills gap.”

With Accenture reporting that large network operators handle more than 1 million repairs each month, Mahajan attributes the rapid growth in the number and complexity of customer service complaints and repairs to what he describes as a “return and churn” problem. “Since nearly 60 to 80 percent of devices being returned are not actually faulty, consumers are swapping their perceived ‘faulty’ devices for new ones or having to spend money on replacement phones when they could, in fact, easily be repaired. Given that the costs associated with these ‘no fault found’ returns can range from $50 to $100 per device, it’s also putting a significant, yet avoidable, burden on network operators’ retail operations,” he says.

Additional findings from the report include:

• Faulty mobile functionality is the norm, not the exception, with 31 percent of respondents typically experience problems/issues with their mobile devices at least once a month and as often as several times in a year.
• Short-lived batteries and frozen/crashed apps are the root of mobile woes, with 38 percent of respondents citing battery life as the most common type of device issue they experience, while 13 percent say frozen/crashed apps occur most frequently.
• Camera/video quality and lack of storage space rank low among consumer priorities, with only 2 percent of respondents citing poor camera/video quality as the most frustrating fault with their devices. Meanwhile, only 8 percent are bothered by insufficient storage space.
• Consumers want tangible proof of device errors. For 26 percent of respondents, a physical report displaying all diagnostics tests run on their device would affect their satisfaction and loyalty with their mobile carriers and device manufacturers. Plus, it would factor into the overall satisfaction of 31 percent of respondents.
  
  

The study surveyed more than 1,400 consumers ages 25 to 65 in the United States, Canada, U.K. and Australia and was fielded from June 5, 2015, through June 11, 2015.