South African cellphone users are, on the whole, dissatisfied with their networks, but passively so.
This emerged from recent research by independent mobile ad network InMobi, which revealed 70% of the country's cellphone users are unhappy with their current network. Yet only 11% are actively looking to switch to an alternative provider.
With issues like limited data coverage, high prices, hidden charges and dropped calls making up the list of grievances SA has with its mobile operators, InMobi says users are fatalistic, resigning themselves to the reality that it is really a case of the lesser of four evils. “Many are fed up with their service providers, but realise that the grass is the same colour green - or yellow, or red - on the other side.”
As mobile subscriptions in SA mushroom, with South African networks currently hosting over 62 million subscribers - more SIM cards than people - the reliance upon mobile in the community deepens. InMobi says - as much as things are starting to look up, with new cables, deregulation and price reductions - the real value for consumers remains elusive.
Daryn Smith, marketing manager for InMobi Africa, says: “As mobile evolves, so do South Africans' wants and needs, with currently about 80% of South Africans actively downloading apps, ringtones and wallpapers. Research shows that South Africans see mobile (53%) as a more important method of paying bills and recharging, especially when compared to a PC (30%).”
While a “staggering amount” of subscribers are unhappy, according to InMobi, 43% are happy to stay with their current service providers and 46% said they would jump ship to another provider should the right offer come along.
When asked why they would switch networks, the number one reason cited by respondents was improved data coverage and more attractive data deals on the same network with friends and family. Better customer service was also found to be high on the switch agenda for South African subscribers.
Given the mobile environment and level of frustration in SA, Smith says network operators need to look to innovation to keep subscribers. “Like any good mobile strategy, innovation is the basic ingredient and reaching consumers through key channels to offer them choice is crucial to maintaining a loyal customer base.
“It's really all about value for money, and how packages differentiate themselves. Offering new systems like coupons and instant discounts are good ways of boosting subscriber numbers, and bring something new to the table.”
The latest mobility report by World Wide Worx showed that mobile data is becoming increasingly more of a priority to South Africans than voice. According to research, over the past 18 months the average cellphone user's spend on data has increased by 50% (from 8% to 12%), while spending on voice dropped from 77% to 73%.
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