Higher Than Expected Awareness of Number Portability

The Management Network Group has released its findings from the first study of consumer awareness of Wireless Number Portability (WNP) in the USA. Awareness is an essential component in determining how many subscribers will switch wireless carriers and when, and is critical to carriers in preparing to handle transactions once WNP is in effect.

The study, the third phase of TMNG's research on the likely impact of WNP, found that 42% of wireless subscribers are aware they can take their telephone numbers with them when WNP goes into effect in the top 100 US markets on November 24, 2003. That means that the wireless industry should be prepared to handle approximately 30 million porting requests or 60 million transactions during the first 12 months, since each request must be processed by two wireless providers.

Of the 30 million porting requests, TMNG estimates that approximately 18 million subscribers will switch wireless providers due to WNP; another 12 million subscribers who plan to switch wireless providers anyway will now take advantage of the opportunity to take their telephone numbers with them. TMNG asked survey respondents which wireless provider they would switch to, and from this estimates that each wireless provider needs to be able to handle a peak of 800,000 to 2.3 million porting requests per month, depending on the company, through June 2004, when WNP expands nationwide.

"A consumer awareness level above 40% a full two months before WNP goes into effect is higher than anyone in the industry anticipated," said Rich Nespola, CEO of TMNG. "In a business where service quality is the defining issue, it underscores the need for wireless providers to have their networks, systems, procedures, and staff fully prepared to ensure a painless customer porting experience."

The TMNG study also found that 16% of respondents are aware that they can transfer their home telephone number to a wireless line. This could add 19 million porting requests -- six million from people who do not have a cell phone and 13 million from people who do.

"While WNP poses enormous operational challenges, it also provides significant opportunities for wireless providers who prepare their operations and market themselves effectively," added Mr. Nespola. "Service providers need to be flawless as both importers and exporters of subscriber accounts, and that is why top industry players are working with TMNG to review their service-delivery processes and refine their marketing strategies."

TMNG's awareness study was conducted in September 2003 to better determine the impact of WNP on the telecommunications services sector. Results are based on more than 1,000 valid telephone responses resulting in a 95% level of confidence with a +/- 3% margin of error."

Posted to the site on 24th October 2003