Over the last several months, I’ve had the opportunity to meet with senior executives at top providers in the wireless, MSO and satellite TV markets. A consistent theme is that, despite significant investments in technology, people and processes, virtually every one of these companies is struggling with the same problem: Consumers are confused by their billing statements. This confusion leads to high churn, excessive support costs, and a limited ability to expand the relationship within the first 90 days.
So, why all the bill confusion? Three reasons:
- People are inundated with information and easily forget what they committed to three to four weeks ago
- Very few people read their statements in detail – most of us look for Total Amounts and when we see a number that doesn’t seem right we respond (usually in a negative way)
- The expansion of services, products, accessories, taxes and other fees result in, well, a confusing statement
Leading telcos are embracing online video to attack each of the above issues. An initial “onboarding” video reminds the subscriber of his or her initial commitment and can be stored and retrieved for future viewing. Video is a friendly and more engaging format than a multi-page statement and can actually explain the charges to the subscriber in a personalized manner, ensuring he or she receives only the relevant and necessary billing details.