Timing is everything (but isn’t it always?)
There's a new opportunity up for grabs (if service providers can get the timing right)
BLOGGER: JEFF BARAK
Imagine receiving a bill for $18,000 dollars. That’s what happened to one retiree in Dover, Mass, after a promotional no-limit data plan expired without warning. It’s just one of many stories about subscribers suffering from bill shock, which have damaged service provider reputations. However, the new landmark agreement between US carriers and the Federal Communications Commission means that mobile subscribers nearing their monthly limit for voice, text or data services will now receive an alert when they are in danger of being charged extra . This will be an important step forward in maintaining a positive customer experience and ensuring, said President Barack Obama, that service provider financial transactions with their customers “are fair, honest and transparent”.
According to data released from CTIA, the American wireless industry association, there are now more wireless customer connections in the US (327.6 million) than people (315.5 million), and as the number of connected devices grows, customers need to feel confident that their multiple devices won’t lead them down the track of financial ruin through unexpected charges.
But rather than look at the introduction of alerts as an imposition, service providers should view it as an opportunity.
Instead of just sending their customer an SMS or voice mail warning them they are about to exceed their data plan, the smart service provider should take this communication one step further and offer the subscriber a choice of options to dynamically update their package, on the spot, so they can continue surfing or downloading data without suffering any service interruption.
By providing dynamic services exactly at the time when subscribers need them the most, service providers won’t just be abolishing bill shock, they’ll actually be redefining the mobile data experience to everyone’s satisfaction, (including the subscriber’s).
Will the Federal Communications Commission start looking at mobile payments regulations as well ?
This bill shock issue solution is too soft and not enough… the customer must be protected having their access cancelled additonally to the message sent giving the possibility for the customer to allow access or not as a message. Then at least customer is aware from one point the overage is being charged.
Companies will still make a lot of money because customers cant control how much data is being downloaded whevener a new page is loaded or even a app is being downloaded.
Doron, given the amount of time it took the FCC to deal with bill shock, I can’t see them looking into regulating mobile payments in the near to medium future.