J.D. Power and Associates Reports: Wireless Customers Report Less Assistance From...

J.D. Power and Associates Reports: Wireless Customers Report Less Assistance
From Wireless Retail Sales Staff
Verizon Wireless Ranks Highest in Wireless Retail Sales Satisfaction

WESTLAKE VILLAGE, Calif., Oct. 23 /PRNewswire/ -- The percentage of
salespeople who ask questions or otherwise aid customers in making informed
purchase decisions regarding their wireless service has steadily decreased
since 2006, according to the J.D. Power and Associates 2008 Wireless Retail
Sales Satisfaction Study(SM)-Volume 2 released today.
(Logo: http://www.newscom.com/cgi-bin/prnh/20050527/LAF028LOGO-a)
Now in its fifth year, the semi-annual study analyzes evaluations from
customers who recently had a wireless retail sales experience. Overall
customer satisfaction with major wireless carrier-branded stores is based on
four factors. In order of importance, they are: sales staff (51%); store
display (17%); store facility (16%); and price/promotion (16%).
Among the 13 key activities measured in the study that could be performed
by a wireless salesperson to ensure a positive retail experience (such as
greeting the customer or explaining possible extra charges), 10 activities are
being performed by salespeople much less frequently in 2008, compared with
2006. For example, the incidence of salespeople showing or providing customers
with a local service area map has declined to 58 percent, down 16 percent from
2006. Additionally, the incidence of salespeople explaining the wireless
coverage area has declined to 58 percent, a decrease of 12 percent from 2006.
"Continuous change in the wireless industry, including ever-improving
products and services, has made it easy for salespeople to overlook the
fundamental needs of their customers," said Kirk Parsons, senior director of
wireless services at J.D. Power and Associates. "Asking questions about a
customer's intended usage and outlining the available coverage areas and
service maps can go a long way toward providing a satisfying retail experience
and building consumer loyalty."
Overall satisfaction with the retail process decreases dramatically when
key activities are not performed or when the appropriate information and sales
materials are not provided. Satisfaction is 130 points lower when a
salesperson doesn't offer to explain a phone's operation and 124 points lower
when a salesperson neglects to provide literature about the service plan.
"Customers who believe their salesperson was not necessarily acting in a
straightforward and honest manner tend to be significantly less satisfied with
their wireless retail sales experience," said Parsons. "A poor sales
experience is more likely to impact a customer's overall satisfaction with
their wireless provider, making it of the utmost importance that salespeople
fulfill the customer's core needs -- such as leaving the store with an
understanding of the services and options covered in the plan purchased and
how to use them."
Verizon Wireless ranks highest in customer satisfaction among major
wireless carrier-owned retail stores with a score of 715 on a 1,000-point
scale, performing well in all four factors that drive satisfaction. Alltel
(710) follows Verizon Wireless in the rankings.
The study also finds the following key retail wireless sales transaction
patterns:
-- The average wireless retail sales transaction takes approximately 60
minutes to complete from the time the customer enters the store to the time
the paperwork is finished and the cell phone is received -- an increase of
four minutes from the last reporting period.
-- Satisfaction levels among new wireless customers -- those who are
switching from another carrier or never previously had wireless service --
tend to be lower than those of existing customers. New customers are more
likely to be overwhelmed by the breadth of products and services available and
may be offered plan options and equipment that may not necessarily suit their
needs.
-- Retail satisfaction is 15 percent lower among customers who report they
were pressured during the sales process. The average overall satisfaction
score when customers report experiencing no sales pressure is 722, compared
with an average of just 613 when customers say they were pressured.
Volume 2 of the 2008 Wireless Retail Sales Satisfaction Study is based on
experiences reported by 6,131 wireless customers who completed a retail sales
transaction within the past six months. The study was fielded between February
and June 2008. Visit JDPower.com to view customer satisfaction ratings for
wireless service and carrier performance, call quality, customer care, retail
sales and mobile phone handsets.

Overall Retail Sales Index Rankings
(Based on a 1,000-point scale)

Provider Index Score J.D. Power.com Power Circle Ratings
For Consumers
Verizon Wireless 715 5

Alltel 710 4

Industry Average 698 3
T-Mobile 696 3
AT&T 691 3

Sprint Nextel 669 2

About J.D. Power and Associates
Headquartered in Westlake Village, Calif., J.D. Power and Associates is a
global marketing information services company operating in key business
sectors including market research, forecasting, performance improvement,
training and customer satisfaction. The company's quality and satisfaction
measurements are based on responses from millions of consumers annually. For
more information on car reviews and ratings, car insurance, health insurance,
cell phone ratings, and more, please visit JDPower.com. J.D. Power and
Associates is a business unit of The McGraw-Hill Companies.
About The McGraw-Hill Companies
Founded in 1888, The McGraw-Hill Companies (NYSE: MHP) is a leading global
information services provider meeting worldwide needs in the financial
services, education and business information markets through leading brands
such as Standard & Poor's, McGraw-Hill Education, BusinessWeek and J.D. Power
and Associates. The Corporation has more than 280 offices in 40 countries.
Sales in 2007 were $6.8 billion. Additional information is available at
http://www.mcgraw-hill.com.
J.D. Power and Associates Media Contacts:
John Tews Aimee Canlas
Troy, Mich. Westlake Village, Calif.
(248) 312-4119 (805) 418-8917
john.tews@jdpa.com aimee.canlas@jdpa.com

No advertising or other promotional use can be made of the information in
this release without the express prior written consent of J.D. Power and
Associates.
SOURCE J.D. Power and Associates

John Tews, +1-248-312-4119, john.tews@jdpa.com, or Aimee Canlas,
+1-805-418-8917, aimee.canlas@jdpa.com, both of J.D. Power and Associates