To: Sawtooth who wrote (7308 ) 1/20/1998 2:34:00 PM From: Caxton Rhodes Respond to of 152472
J.D. Power and Associates Report Shows PCS Leading Cellular Providers in Customer Satisfaction WESTPORT, Conn., Jan. 13 /PRNewswire/ -- J.D. Power and Associates announced the completion of its Analysis of Personal Communications Services (PCS) Report, covering 18 markets throughout the United States. Three of the 18 where PCS has captured a significant market share -- Charlotte, SC, San Diego, CA, and Washington, D.C., /Baltimore,MD, -- were examined in-depth to identify the unique impact of increased competition in the wireless industry. Some of the major findings of this report are: PCS providers have overall customer satisfaction levels significantly higher than those of traditional cellular carriers. Call quality, corporate image/credibility and flexible pricing plans are the key strengths of PCS providers, distinguishing this service from traditional cellular. However, PCS providers are perceived to be weaker in geographic coverage and roaming capabilities partially due to the fact that the technology is still being deployed. Compared to 1996 study results, PCS carriers have replaced the entrenched cellular carriers as the leaders in customer satisfaction in the San Diego and Washington/Baltimore markets (Charlotte was not surveyed in 1996). In fact, eight out of 10 consumers surveyed who have switched from cellular are more satisfied with their PCS service. Upon entering a market, PCS companies stimulate the demand for wireless services, capture one-third of new wireless customers, drive prices down 10- 20% and gain significant market share in relatively short time frames. Increases in price-driven competition, technology choices and new product availability have led 25% of wireless and cellular consumers to express an inclination to switch providers. This switching tendency also reflects the significant number of cellular customers who are migrating to PCS. ''Over one-third of U.S. households subscribe to a wireless service and that is expected to increase to over 40% within the next year. The survey results present an in-depth look into the dramatic impact of PCS competition in the robust and vibrant wireless marketplace,'' commented Peter Dresch, director of telecommunications market analysis at J. D. Power and Associates. ''New entrants utilizing the latest technology and employing aggressive pricing strategies are likely to capture a more substantial portion of the wireless market. The survey results have significant implications for all wireless providers.'' J.D. Power and Associates is an international firm best known for its marketing information services in key business sectors including market research, forecasting and customer satisfaction. The firm's quality and satisfaction measurements are based on actual customer responses from over a million consumers annually. With its headquarters in Agoura Hills, California, the firm also has U.S. offices in Torrance, California; Michigan; and Connecticut. Its international locations include Japan, Korea, England, Canada and Brazil. J.D. Power and Associates can be accessed through the World Wide Web at jdpower.com . Email: info@jdpower.com. No advertising or other promotional use can be made of the information in this release or J.D. Power and Associates survey results without the express prior written consent of J.D. Power and Associates. SOURCE: J.D. Power and Asso