A Study Of Customer Defection For W Mobile Communication Company

In order to fight for the limited customer resources, competition among all mobile communication distributors becomes increasingly intensive, and the problem of customer defection is getting more and more serious. W Mobile Communication Company is presently in severe situation that the rate of customer defection remains high, which leads to decrease of customer value and increase of operation cost. As a result, there appears difficult operating circumstance in which the number of customers increases but income decreases. How to solve the conflict between new customers attraction and old customer retention and reduce the customer defection rate becomes a difficult problem that the company is trying to solve.To effectively realize customer retention and increase the company's capability of profit making, the study has launched special investigation into present customer defection situation of W Mobile Communication Company by combining qualitative analysis and quantitative analysis.The survey results show that the main reason for customer defection is the adjustment of charge policy of mobile communication companies and its competitors. Customers decide to leave the original network when they meet more appropriate scheme. At the same time, the survey results also show it is ubiquitous that customers leave and re-join the same network, which implies that there exists a strong competition relationship among some brands of the company. The results also show that there is higher customer approval on network coverage and phone communication quality.Considering the above-mentioned facts, the paper proposes that the Mobile Company should mainly focus on several key points that influence customer defection and implement a series of measures to effectively reduce the customer defection rate, such as operation management, channel supervision, customer retention.