Originally published by GrowthOps on Nov 6th 2024

The B2C telecom sector in ASEAN is navigating a complex landscape marked by intense competition, rapid technological change, and evolving consumer expectations. As markets reach saturation, telecom companies are under pressure to differentiate in a highly price-sensitive environment while dealing with declining average revenue per user. To better understand these challenges, we conducted an in-depth survey of 1,500 telco customers across the region using Rakuten Insight proprietary panels, uncovering valuable insights into their experiences, needs, and expectations.

Here are some highlights from our findings:

While customers often move for a better deal and offers, better customer service is a key factor in customer retention

44% of all telco users who feel neutral to dissatisfied with their current service provider are more likely to switch for better customer service.

Reasons for customers moving telco providers 

A telco’s digital ecosystem is the main source of information for customers

54% of prefer to engage with Telcos via digital ecosystem (Mobile App, Website and Email) for information discovery.

Preferred Channel for Information Discovery

However, customers are forced to turn to traditional channels because the preferred online channels are not yet up to mark

60% of the channels, particularly online ones, are not up to mark in terms of effectiveness in resolving issues

Preferred Channels vs Channel Effectiveness for Customer Service 

In conclusion, the analysis highlights a strong demand for robust digital support across product discovery and customer service in the ASEAN telecom sector. Consumers increasingly make informed choices through online platforms and seek streamlined, user-friendly discovery experiences. To foster customer loyalty, telcos must prioritize innovations in customer service and offerings that align with customer lifestyles.

Reflecting these dynamics, only 4 out of the top 24 ASEAN telcos achieved a place in GO’s Innovators’ Circle for B2C capabilities.

Download the full report!

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