Survey Says! Subscribers Will Pay for Services They Want
In the rapidly evolving broadband landscape, broadband service providers (BSPs) are at different stages of transformation. But no matter where you are, one thing is clear: Successful BSPs that stand out from the competition deliver differentiated experiences. And subscribers agree. In a recent Calix survey of 1,000 residential subscribers, the answer was clear: Your customers are willing to pay more for services that add real value to their lives.
Why Sell Speed When Your Customers Really Want (and Will Pay For) Amazing Services
For BSPs, the results of the survey are both validation and motivation to keep pushing forward with managed services. In particular, the survey revealed the following insights about the needs and wants of different subscriber segments:
- Subscribers Are Willing to Pay to Support Community Experiences: More than half (58 percent) of subscribers are willing to pay more to help their BSP invest in community connectivity, and more than half are amenable to paying $5 or more per month.
- Subscribers Crave Enhanced Home Experiences: Services like parental controls, social media monitoring, and outdoor Wi-Fi are in high demand. In fact, 53 percent of subscribers state that parental controls are an important facet of their internet subscription.
- Subscribers Want Services That Reflect Their Lifestyles: Sixty-eight percent of subscribers have children, and almost 20 percent of households include gamers. Additionally, work-from-home is the new reality, and 58 percent of subscribers state they prioritize work-from-home productivity tools as part of their service.
- Subscribers Prioritize Security: Almost 40 percent of subscribers agreed that network security—including anti-virus and cyber threats—is extremely important.
Customers Who Made This Shift Are Winning
A value-oriented go-to-market strategy is key to winning over subscribers, towns, and entire communities. Many Calix customers have transformed their businesses by balancing individual subscriber needs with community-wide benefits. As a result, they’ve experienced a variety of business benefits, including increased average revenue per user (ARPU), excellent Net Promoter Score℠ (NPS®), and improved subscriber acquisition. Here’s how some BSPs are leading the way:
- SCTelcom is enhancing broadband experience in their rural service areas with the Calix SmartLife™ strategy. Their SmartTown deployment increased outdoor wireless connectivity by 75 percent and increased ARPU by 3 percent. ProtectIQ safeguards 20,000 subscribers monthly from cyberattacks and malware. They have also maintained a CSAT in the 90s and now boast an overall NPS of 79—more than double the industry average.
- Jade Communications has launched targeted marketing campaigns for the premium managed Wi-Fi services they provide, leading to a 50 percent increase in adoption rates and an ROI of close to 300 percent. They also experienced a 92 percent increase in ARPU and a perfect NPS.
- YK Communications is delivering the personalized experiences subscribers crave. As a result of their “subscriber first” mentality, for example, they lowered subscriber churn by 63 percent in less than a year. A stellar 92 NPS proves that value-added services drive satisfaction and loyalty.
Lead the Shift from Speed To Experience
Connectivity is now an integral part of everyday life, and your subscribers expect you to meet their broadband needs as individuals, professionals, and citizens. The combination of the Calix Broadband Platform, SmartLife Services, and Calix Success is enabling BSPs to shift from the old service provider model to the new. With these tools, you can deliver exceptional experiences that not only meet but exceed subscriber expectations. This shift from speed to selling value around things that are high value to your subscribers—like customer support and managed services—will be the heart and focus of ConneXions. This year, we'll come together to discuss why it's more important than ever and how you can learn from your peers who are doing it today.
Join us at ConneXions 2024 (Las Vegas, October 12-15) to learn more about executing effective, value-oriented go-to-market strategies—register today.
Net Promoter®, NPS®, NPS Prism®, and the NPS-related emoticons are registered trademarks of Bain & Company, Inc., Satmetrix Systems, Inc., and Fred Reichheld. Net Promoter Score℠ and Net Promoter System℠ are service marks of Bain & Company, Inc., Satmetrix Systems, Inc., and Fred Reichheld.
Related articles