If you have a few minutes to read a great article by the Globe’s Iain Marlow titled “Smart phones raise stakes for telcos”. It goes into detail about how the evolution of wireless devices from what used to the simple flip phone to now standard Smartphones is becoming a major expense for the carriers.
Marlow writes “An average service call costs a wireless company $5 to $12 to handle, while the fee for a complicated, lengthy call can soar to $30 or more. Yet Canada’s biggest wireless companies have no choice but to improve their customer service or risk losing customers to new wireless entrants… The cost of dealing with service calls hits directly at the bottom line. If a customer pays a wireless provider $40 a month, but calls twice a month on average with queries, he has essentially erased his profitability to the company.” (more…)