Almost one in every five 18 to 24 year old mobile phone users (18%) switched service providers in the past year—a rate 50% above the New Zealand norm.
12% of all Kiwi mobile phone users aged 14+ said they switched within the last 12 months, the latest Roy Morgan Mobile Phone data shows.
Switching likelihood decreases with age: users aged 25 to 34 are also more likely than average to switch (16%) and those 35 to 49 are about average at 12%, while people over 50 are a third less likely, with only 8% switching within the average year.
Pip Elliott, General Manager, Roy Morgan Research NZ, says:
“Mobile customers may switch service providers for cheaper rates, better network coverage, recommendations, dissatisfaction with the service of previous providers and to be on the same network as family or friends.
“Those aged 18 to 24 are most likely to switch for better network coverage while those over 50 are most likely to switch due to poor customer service.
“Different strategies are needed to attract and retain these varied kinds of mobile phone users. Although the younger market is a lucrative one, the cost of ‘churn’ to the service provider is substantial; therefore a real understanding of both drivers of choice to the consumer and ROI analysis is crucial.”
Source: Roy Morgan Single Source (New Zealand), May 2012 – Apr 2013, n= 5,554. Base: Mobile Phone users aged 14+
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Roy Morgan Research is Australia’s best known and longest established market research and public opinion survey company. Roy Morgan Single Source is thorough, accurate, and provides comprehensive, directly applicable information about current and future customers. It is unique in that it directs all the questions to each individual from a base survey sample of around 55,000 interviews in Australia and 15,000 interviews in New Zealand annually - the largest Single Source databases in the world. The questions asked relate to lifestyle and attitudes, media consumption habits (including TV, radio, newspapers, magazines, cinema, catalogues, pay TV and the Internet), brand and product usage, purchase intentions, retail visitations, service provider preferences, financial information and recreation and leisure activities. This lead product is supported by a nationally networked, consultancy-orientated market research capability.
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