An Interrogation of Causes of Customer Defection in Zimbabwean Mobile Telecommunication Industry

Abstract

Although several industries suffer from customer churn, it is more pronounced in the telecommunication sector where customers are acquired and also defect in a short space of time. Controlling customer defection is the major problem facing the telecom industry nowadays. The focus of the study was to investigate whether customer switching is a serious challenge in the Zimbabwean telecommunication industry. Secondly, the thrust of the research was to explore the underlying causes of customer switch behavior in the industry. Primary data was gathered from three mobile telecommunication operators using case study design. Data was gathered from key informants who comprised telecommunication subscribers, employees and management. This comprised the population of the study. Stratified and purposive sampling was used in this study as a form of triangulation. Findings from the study showed that customer defection in the industry is fuelled by competitor promotions, poor service quality, and customer dissatisfaction among other factors. It is recommended that Zimbabwe telecom firms should collaborate with rivals in the industry when launching marketing-mix elements and other strategies. In addition, the industry should benchmark their service standards with international principles. Furthermore, the industry should regularly carry out market research in the form of customer surveys in order to understand customer needs, wants and preferences. This will reduce customer switching behavior. The industry should investigate underlying causes of customer switching in the industry so that they will be able to implement relevant strategies to either prevent or reduce it.It is also recommended for telecom firms to procure quality products for sale to their customers.