India has become the fastest growing mobile industry with around 15 million new connections every month. Nationally, every other Indian has a mobile connection. The metro mobile tele-density is four times higher than the rural mobile tele-density.Customers, initially elated with declining tariff plans, did not realize that the pressure for margins would lead to difficulties like poor voice quality, frequent call drops or no-signal zones even in the densely populated metros. The sudden spurt in the number of mobile subscribers - from 76 million in December 2005 to over 670 million today - too accentuated issues like poor customer care and inappropriate tariff plans. To be fair to the operators, the race for new additions led to lower margins.
In order to shore up their bottom lines in a scarce spectrum environment, customer service levels and the overall customer experience dropped. For the service providers to improve QoS there is an urgent need to grow the current less-than-$4 a month average revenue per user (ARPU) by offering a bouquet of value-added services. The current ARPU levels threaten the long term survival of most new entrants, especially as they look to the hinterland for growth.
According to IT intelligence firm, IDC India, two of every five mobile handsets sold in the country were multi SIM handsets, indicating that a significant number of Indian users are familiar with issues of quality of more than one service provider.While MNP assures customers the freedom to choose service providers, an improvement in the QoS alone will help the mobile customers stay loyal to their service provider.
source: http://www4.economictimes.indiatimes.com/news/news-by-industry/telecom/mobile-number-portability-will-improve-quality-of-service/articleshow/7004780.cms
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