Virgin leads mobile providers report card

Mobile phone providers’ customer satisfaction has increased to new levels, according to a report from Roy Morgan.

The overall industry satisfaction has increased 2.9% since August 2009 to reach its highest level so far (67.9%).

Virgin now tops the list with 77.2% of customers satisfied, while the majority of mobile phone providers showed improvement.

Of the five major mobile phone market players, Virgin, Vodafone (73.2%) and 3 (76.1%) have improved the most, increasing their lead over Optus and Telstra.

Market leader Telstra reported the lowest customer satisfaction of all the major players (61.3%), falling behind rival Optus (70.2%).

“The gap that has now opened up between the best performers and Telstra must place considerable pressure on the company to increase its customer satisfaction level,” said Norman Morris, industry communications director at Roy Morgan Research.

Live TV app opens ads to iPhone

An application for the iPhone is being developed that will allow users to live stream cricket matches, giving advertisers a potential opportunity to reach them.

Mobile marketing technology company 2ergo has been commissioned by Vodafone Hutchison Australia to develop the Cricket LIVE iPhone application, which will provide Australian users on the 3 and Vodafone networks with live streaming on their iPhone the 2009/10 cricket season – including international test matches, one day internationals and Twenty20 internationals.

Viewers can share footage with friends via email, Facebook and Twitter through the paid app.

The multi-layered app can support and identify numerous user interface presentation layers, different services delivery and different charging constructs, all in an access controlled manner.

“The Cricket LIVE iPhone application is set to change the way consumers engage with mobile technology and illustrates the potential for smartphone technology to revolutionise the way in which consumers access information on the move,” said Adam Ward, 2ergo’s general manager, Australia.

“The paid-for application enables VHA to deliver superior mobile content directly to its customers who in turn benefit from up-to-the minute content that can be quickly and easily shared with friends.”

Cokes spampaign costs suppliers $110,000

The Australian Communications and Media Authority (ACMA) have reprimanded Vodafone Hutchinson Australia (VHA), Coca-Cola, Big Mobile and media agency Tongue for a spam campaign.

The Coca-Cola campaign breached the spam act, costing Tongue $22,000. Big Mobile will pay compensation to each recipient of the SMS messages breaching the act for a 12 month period. VHA has paid $110,000 to the ACMA under an ‘enforceable undertaking’. Coca-Cola was formally warned for its role in the campaign.

The messages provided no information on how to unsubscribe or contact the company. The messages read:

Take
a hint from your PC and reboot. Youll work faster. Reclaim your lunch
hour with a friend. Escape with a Coca-Cola lunch break.

The campaign, run in October 2008, involved 100,000 unsolicited SMS messages sent on two occasions.

“The ACMA considers that well resourced companies should be compliance leaders. There is no excuse for them to fall short in their obligations under the Spam Act for SMS marketing campaigns,” said Chris Chapman, ACMA chairman.

“VHA, New Dialogue and Big Mobile are businesses which by their very nature are heavily involved in SMS marketing campaigns. The ACMA nonetheless notes their commitment to the process of achieving compliance with the requirements of the Spam Act. I would keenly hope that their actions and responses provide a sobering reminder to all of the players in the SMS marketing industry about the importance of compliance.”

Telcos bow to ACCC pressure

Telecommunications industry leaders Telstra, Vodafone Hutchison (operating under the Vodafone, 3 and Crazy John’s brands) and Optus (also on behalf of Virgin Mobile) have indicated to the Australian Competition and Consumer Commission (ACCC) that they will improve their advertising practices so that consumers are better informed about the products and services they offer.

The announcement is part of an effort launched by the ACCC earlier this year to clean up telecommunications advertising.

In announcing the acceptance of the undertaking, ACCC chairman Graeme Samuel asserted, “Having the three major carriers on board is a critical step and the management of the major companies should be applauded for taking a stand. The broader telecommunications industry has for some time walked a fine line between compliant and non-compliant advertising.”

The ACCC pointed to 12 of the most prevalent types of misleading conduct made by telcos, with the three industry leaders stressing that their advertising will not make these claims in circumstances where they are likely to be misleading to consumers.

Some of the poor practices the agreement covers include:

  • Use of terms such as ‘free’, ‘unlimited’, ‘no exceptions’, ‘no exclusions’ or ‘no catches’ when this is not the case
  • Headline price offers in the form of ‘price per minute’ for mobile phones and phone cards when there are other fees/charges which are not clearly disclosed, and
  • Headline claims relating to price, data allowances, total time allowances, speeds and network coverage where the claims cannot generally be sustained for all consumers.

“The ultimate test will come as future behaviour in the market is monitored and I remind all companies involved in telecommunications that the ACCC will continue its vigilant monitoring of their advertising practices, and will without hesitation take legal action to deal with any further flouting of the law,” Samuel said.