Customer Satisfaction in Telecommunication Companies in Turkey and USA Essay

Abstract

The telecom industry in USA and Turkey follow almost the same kind of strategies with reference to the internet services, mobile services, and broadband services along with prepaid and the post paid services. But the manner these strategies are marketed and promoted so as to attract and retain the subscriber base is the ultimate goal. This research proposal showcases the different dimensions of customer satisfaction study carried with reference to the telecommunication industry of Turkey and USA. Apple-to-Apple and Eye-to-Eye comparison cannot be conducted; but the way the customers and users have perceived their respective telecom service providers is going to be analyzed in this study.

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Turkey Telecom industry

In the field of telecommunication, customer relationship management plays an important role to understand the intrinsic of getting to know the customers in a better way. The companies in Turkey (Vodafone Turkey, Turkcell, Borusan Telekom) do contribute their success to the customer relationship management system which helps to increase the sales and reduce the costs.

The service offerings expanded considerably with the deregulation of the Turkey’s telecom sector in 2004. Turkey since then has succeeded in offering tailor made and customized solutions to meet the specific needs of the corporate customers. Changing to the paperless mode and form was the most challenging task which so as to automate the business processes. In addition to the CRM tool, most companies here adopt the six sigma methodology which helps in providing a total experience of negotiation, persuasion, finalizing the sale, following up the after sales service etc (Baser, M. 2005).

The companies also set up detailed step by step process which helped the sales process to be initiated, tracked and accordingly close the sales deals effectively and efficiently. This facilitates the management and the implementation procedures required for the business processes, sales and the after sales services which are the key aspects of the six sigma model. These technologically equipped telecom companies can in the process of making the activities in an electronic form can give more emphasis on the support activities necessary for customer satisfaction instead of spending time on searching the relevant information (Baser, M. 2005).

The usage of internet and emails has been adopted by the Turkish telecom companies where in travel and hotel companies are provided with the email addresses and the websites as a guide (Ayliffe, R. et al, 2003).

Turkey telecom companies have focused on brand image, customer centric approach, network coverage and profitability there by showcasing their strength in operational and financial performance across its huge subscriber base with higher margins (Michaud, M. 2008).

Intense Price Competition: Based on the study which Turkish telecom sector conducted, the firms have identified that to win customer satisfaction, slashing the prices would definitely fetch them more returns.  It is the biggest discounter which still claims to provide high quality service and maintain a strong brand image (Europemedia, 2002).

Another feather in the cap of Turkish telecom companies is their capability to expand their network of the subscriber base and there by synergizing and gaining expertise in GSM technological aspect, service enablers and network solutions. Expanding by their infrastructural requirements for the site construction, site acquisition, installation and commissioning of the equipment have been the key satisfying area for the customers to get maximum benefit (Europemedia, 2002).

Direct Marketing: Turk telecom companies have concentrated on the direct experience concept where in the customer oriented organizations sell the products directly to the consumers by making the end result more interactive in its approach (Korn & Ferry, 2008).

As the Turk telecom group companies adopt an integrated telecommunication service model by incorporating the PSTN, GSM and now the broadband services, providing quality, speed in an economical fashion has made their system more customer-focused and making the services available anywhere and at anytime. The primary focus has been therefore to instill confidence amongst the consumers at the time of their sales encounter with the sales executives. Turk telecom sector also identifies a customer contact center which gets involved in analyzing, collecting relevant information and transforming the consumer data in the various systems. This thus sets a platform for the firms and the end users in developing a niche in the customer service market segment (Deloitte, 2008).

As the penetration of Turkey into the internet segment is growing promisingly, customer internet usage, the broadband services, Turkey’s advertising market and ecommerce facilities are growing continuously. Around 77% of the internet population of the users belongs to the youth segment within the age group 16 and 34 years. The strategic theme which speaks for the success of the Turk telecom sector is as follows.

Maximum engagement to expand the reach, frequency and the duration by expanding the user base across customers, publishers, buyers, sellers and the advertisers base. The usage areas have also been increase to have a better coverage with reference to applications, information, commerce and entertainment and finally build on a multi-platform strategy extending the segment from mobile phones to PC and the television.
Optimize monetization by incorporating direct marketing advertising, providing an e-commerce experience, involving different modes of subscriptions and payment transaction identification.
Being International in Approach: by learning across different markets and helping in helping the user base in getting benefits in an incremental manner (slideshare, 2008).
Based on the feedback of some of the clients (Koc.net) of Turkish telecommunication sector, the customers preference has increased as the customers feel satisfied with the superior technology and pre-emptive based research techniques, their industry recognition among the various industry experts and for providing an effective global support and technical support where in they find that the security solutions are absolutely to be trusted (ISS, 2006).

USA Telecommunication

The US mobile market is dominated by few service providers Verizon Wireless, Virgin mobile USA, Sprint Nextel and AT&T which accounts for around 74% of the subscriber base. Poor service quality which led to very less additions of new subscribers in a year was identified in certain service providers but AT&T has been the best performer. The other players have a very limited geographical area assigned which caused some issues with the customer base. Subscribers also felt that the major operators do not allow a breakdown of the retail/wholesale customers which makes the task cumbersome in knowing those using the service for better networking. In USA customers have faced issues with reference to the low levels of the prepaid usage. The users were benefited because of the high speed internet services and other offerings which were provided which include telephony and interactive services, digital video recorder and video on-demand which delighted the customers. The broadband market in USA is growing at a faster pace resulting in winning competition which in turn has given opportunity of choice and availing lower prices to the customers. In the mobile segment, the wireless penetration has been the lowest in US. (Business Monitor International,

2007).

The key features of the services provided by Virgin USA is the involvement of the delivery of content, the entertainment package and the features there by also merging up with MTV networks which provides games, graphics, ring tones, music and other forms of activities for the subscribers. The service providers make use of MTV channels and their web site to promote and help their users in gaining the maximum advantage. Consumer electronic packaging in the transparent boxes is another tool which the company would cater to so that the products are easily viewed for the consumers to engage in the purchase deal on their own without the help of salespersons. But Virgin has been capable in differentiating their distribution channels by making the product available at the youth stores which attracts the maximum footfalls. Making point of sale promotions and displays has resulted in attracting large number of consumers. Thus the broadband connectivity and the wireless communication take a higher leap in the US telecom market even with the down turn and the slow economic growth (virginmobileusa, 2002).

Conclusion

Taking into effect the customer satisfaction report, both the nations has very good strategies which their customers have recognized. With the down turn in the economy, USA market may have gone down but with the growth of the broadband market expansion there has been huge crowd of customer base availing the facility. To this contrast, Turkey service providers have still to build on their broadband services but are doing promisingly well with respect to satisfying customers.

References

Ayliffe, R. et al. (2003). Turkey. Retrieved December 3, 2008, from

http://books.google.co.in/books?id=TbC6B1uMgSAC&pg=PA59&dq=telecom+-+USA+and+Turkey&ei=GaczSdDJFZiMkATx58WuCQ#PPA60,M1

Baser, M. (2005). Turkey’s Leading Alternative Telecom Operator Boosts Sales Success with Customer Relationship Management Tool.  Retrieved December 3, 2008, from http://72.14.235.132/search?q=cache:QJ-VeeAxwBIJ:download.microsoft.com/documents/customerevidence/24869_Borusan_Telekom.doc+customer+satisfaction:+telecom+companies+-+USA+and+turkey&hl=en&ct=clnk&cd=1&gl=in

Business Monitor International. (2007). Market Data. Retrieved December 1, 2008, from United States Telecommunication Report, http://web.ebscohost.com/ehost/pdf?vid=1&hid=22&sid=5b44647a-1aa8-4adb-bb16-dbf21238e1a9%40sessionmgr2

Deloitte. (2008). Technology, Media and Telecommunications. Retrieved December 3,

2008, from Deloitte Turkey Website

http://72.14.235.132/search?q=cache:zzZOeBteD2QJ:www.deloitte.com/dtt/cda/doc/content/Turkey-tr_tmt_Tecfast50Turkey2008_211008.pdf+survey:+customer+satisfaction:+turkish+telecom+companies&hl=en&ct=clnk&cd=7&gl=in

Europemedia. (2002, August 29). Aycell to expand GSM network with Nortel. Retrieved December 3, 2008, from All Business Website  http://www.allbusiness.com/technology/telecommunications-cell-phones-phone-services/243883-1.html
Europemedia. (2002, December, 18). Turkish telecom market: the name of the game is intense price competition. Retrieved December 3, 2008, from All Business Website

http://www.allbusiness.com/technology/telecommunications-cell-phones-phone-services/374909-1.html

ISS. (2006). Internet Security Systems Case Study: Multiple Industries. Retrieved December 3, 2008, from http://72.14.235.132/search?q=cache:RNUqp4d2npMJ:www.iss.net/documents/casestudies/Kocnet.pdf+turkey+US+telecom+-+customer+feedback&hl=en&ct=clnk&cd=7&gl=in

Korn & Ferry. (2005, June 16). Vodafone Turkey. Retrieved December 4, 2008, from Korn ferry International Website https://www.ekornferry.com/Library/Process.asp?P=Opportunity&S=AA217

Michaud, M. (2008, April 21). Hello! International Telecom Opportunity Calling. Retrieved December 4, 2008, from Seeking Alpha website http://seekingalpha.com/article/73189-hello-international-telecom-opportunity-calling

Slideshare. (2008, May). Turkey Internet Sector Overview. Retrieved December 2, 2008, from http://www.slideshare.net/webrazzi/turkey-internet-sector-2008

Virginmobileusa. (2002). Virgin Mobile. Retrieved December 3, 2008, from

http://www.virginmobileusa.com/

 

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