August 2012
Indian Journal of Economics & Business;Aug2012, Vol. 11 Issue 2, p455
Academic Journal
Mobile phones have become part and parcel of the telecommunication landscape in South Africa generating access to 92% of the population. The three cellular network operators engage incontinuous development of mobile phone products and services to increase the average revenue per user (ARPU). However, there is a general consensus worldwide that the revenue from voice calls is reaching saturation and South Africa is no exception. The focus of this study is to examine the impact of the declining average revenue per user on the sustainability of the mobile phone industry, from a customer relationship management perspective. Due to the large number of pre-paid subscribers in KwaZulu-Natal, the multi-stage sampling method was adopted to conduct a survey of 500 mobile phone subscribers. In order to obtain an customer perspective, self-completion questionnaires were administered. Descriptive and inferential statistical tests were undertaken from the responses (questionnaires) to generate an analysis of customer needs. The key findings of the revealed the nature of the relationships subscribers (KwaZulu-Natal) has with their respective network operators. The results emphasised the need for aligning marketing strategies with customer care It was also found that the cost of mobile phone services influences consumer purchase and usage patterns.


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