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Article: In-house or outsourced? Carriers are using customer care as a differentiator, but does in-house equate to better service?
- Article from:
- Wireless Week
- Article date:
- July 1, 2005
- Author:
CopyrightCOPYRIGHT 2005 Advantage Business Media. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan. All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)
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Reducing customer care costs without jeopardizing service requires carriers to walk a thin line. Lean too far into the cost savings realm and you risk alienating your customer base and making your churn spike. Go too far the other way and your customer care costs eat into the bottom line. No doubt about it, customer care is an expensive part of the business. Some analysts estimate that every inbound call to the customer care center can cost the carrier at least $7.
Carriers often search for ways to reduce their customer care costs. When Sprint announced its proposed merger with Nextel Communications, company executives talked about the synergies that would result ...