Financial implications of rate plan optimization in the post-paid mobile market

3G post adoption users experience with telecommunications services

“…The issue of retaining acquired customers has become a top agenda for marketers in all telecommunications companies to gain a greater market share. Wong (2012) claimed that the most important issue that mobile marketing managers should recognise is how to maintain a good relationship with the acquired customers and to keep them satisfied by providing better services than their competitors. Moreover, losing an existing customer causes significant losses not only in terms of the income and revenue of the companies but also a loss of potential revenue generated by the more sophisticated services that will become available in the future (Seo et al, 2008).…”

“…In particular, for the service provider companies in the telecommunications market, the survival of their future operations to successfully enhance their technology-based services is dependent on their performance. Mobile telecommunications operators are looking for innovative ways to better enhance and retain their valued subscribers because of the high cost of acquisition and rising churn rate in a rapidly maturing market (Wong, 2012;Sohail and Al-Jabri, 2013). The mobile telecommunications market is in the early stage, and the mode of…”

“…The relationship between the customer and manufacturer or service provider can have notion on two of the independent factors, loyalty and retention (Turel and Serenko, 2006). Wong (2012) found that in terms of financial perspective, loyal customers can be considered to be an asset for the organization. Research has indicated that service quality will lead to customer loyalty and attract fresh customers, enhance the corporate image of the company, allow for a reduction in prices and improve business performance .…”

“…There is an argument that mobile technology adoption could provide advantages for targeted markets in terms of flexibility and interactivity (Chatterjee et al, 2009;Kim, 2012). Wong (2012) suggested that companies that focus on customer acquisition and forget about customer retention may not achieve positive results. Meanwhile, after customers are acquired and possibly satisfied, the important issue is how to keep those customers with the company in future.…”