Loyal customers in turbulent times?
Mobiltel is the biggest of the Bulgarian mobile operators. It operates on a very competitive market (150% penetration), with constant push for lowering the service prices from national and EU regulation and customers cutting their expenses due to economic crisis in Bulgaria. Therefore, Mobiltel has two big goals – to compete on Customer Experience basis, not on price, and to retain its revenue offering new services.
CHALLENGES THE MANAGEMENT FACED WITH
Year 2010 was a year of changes for Mobiltel. The company decided to change some of their processes due to broadening of their services portfolio. One of them was their billing system. Unfortunately, this was not a smooth transition. Mobiltel’s clients experienced huge problems with their bills which were not adequate and in time. Moreover, the company failed to give exact information to its customers what exactly will happen – how the new system works and what will change for them. The number of unhappy customers rose significantly. People started depositing complaints at the Commission for consumer protection. Retail shops also experienced major problems because of cues of complaining clients. As a result, the servicing time per client increased notably.
The market situation was very challenging due to several other factors. External factors included market stagnation and saturation, improved competition quality and increased market activity and the newly imposed government and EU regulation. A serious internal factor was the significant pressure posed on retail consultants to achieve better sales results for newly developed services. Consequently, they deviated from the customer centric approach and took a “hard sell” one. Without noticing the tendency, the company had started falling behind its main competitors in regards to Customer Experience Index.
Mobiltel has become a supplier with convergences strategy. Key elements in it are strong customer centric approach along with innovation and technology edge over the competitors.
“DEVELOR TEAM BROUGHT A LOT OF VALUE TO THE TEAM AND ME PERSONALLY. I HAVE TO SAY THAT THEIR WORK WAS INDISPENSABLE TO THE ORGANIZATION AND PROBABLY WE WOULD NOT HAVE BEEN ABLE TO ACHIEVE THE RESULTS WE DID WITHOUT THEIR INVOLVEMENT…..”
Mobiltel strategy was one which required lots of change and responsibility. With Develor’s efforts, support and cooperation, Mobiltel’s Customer Experience Index rose with 15 %. Develor succeeded in passing the responsibility and the leading role in the project to the business challenge owners – Shop and Regional Managers.
Mobiltel’s initial request was for a training program for the Shop Assistance position – a huge project involving more than 1000 employees. With a few times smaller budget we have achieved:
- Requested business results (measured by independent agency);
- Development of Customer Experience Ambassadors – building a large pool of talented and highly engaged employees.
- Mobiltel’s main competitor in relation to Customer Experience Index kept its performance, but currently is falling behind.
According to the H2 2012 Customer Index survey, Mobiltel continued having its good performance. Actually, from the very last position in the “race for clients’ hearts”, currently Mobiltel managed to take the leading position. This clearly signifies that the project not only resulted into a higher Customer Index, but also into the creation of a sustainable solution and measurable results.