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Telephia: 71% like bundling for single-bill benefit

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Market research firm Telephia has released recent findings from its Emerging Personal Communications Options (EPCO) survey suggesting many consumers feel that the ability to have a single bill for all services is one of the main benefits of bundling.

About 71% of respondents to the EPCO survey said that having one bill for all their services was an "important" benefit. Meanwhile, about 54 % of those surveyed said discounts associated with bundled services were also an important factor, and 40% said a single point of contact for customer care was another advantage.

Among other findings of the EPCO survey, about 19% would consider subscribing to a quadruple-play bundle that includes services for TV, Internet, landline and wireless phone from a single service provider. Respondents were also interested in two-service bundles, with 19% saying they intend to subscribe to a TV-Internet package, a bundle offered by cable companies. About 20% said they would choose a phone-Internet bundle, which phone companies have traditionally offered their customers.

In addition, 4% of high-tech households currently subscribe to TV, Internet, landline and wireless phone services from a single service provider. Another 15% already subscribe to a bundle of three of these services, signaling an opportunity for growth for providers offering robust packaged deals.

“The findings reveal that there is a strong consumer demand for a one-stop-shop for home communications services that gives consumers the benefits of dealing with one provider along with special discounts,” said Kanishka Agarwal, vice president of new products at Telephia. “The benefits do not stop with the customers. For providers, not only are they reducing the amount of churn among their client base, they are also able to upsell customers to subscribe to more services and increase their share of wallet.”

The EPCO survey aims to understand the attitudes of high-tech households towards emerging services and bundled offerings, providing integrated insights into household use and preferences across emerging converged landline and wireless phone, VoIP, Internet and TV services. The survey consisted of a panel of 23,000 household decision-makers, providing key metrics at the local level including share-of-wallet, share-of-household spending across communications services, awareness, and likelihood to convert. Detailed findings on 6500 high-tech households revealed additional insight into customer preferences around emerging services like VoIP and bundled offerings.

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