A new survey finds Americans want to earn their way out of their phone bill. The survey, conducted by Circles, the global technology company powering digital telco operators, reveals that the monthly phone bill is emerging as a powerful “gamification” opportunity, with 68 percent of Americans finding the idea of earning everyday rewards to offset their bill appealing. A majority also said they would change their spending behaviors and brand choices to make it happen.
The findings point to a broader trend as telecom providers are facing a trust deficit with their own customers, according to the report. Consumers trust their banks nearly three times more than their mobile carriers with personal data. While the data points to an appetite for mobile experiences that go beyond connectivity, the trust gap is driving real openness to nontraditional alternatives, from bank-integrated phone plans to mobile services bundled into retail loyalty programs.
“The data from the study is a great validation that consumers are ready for a new world of perceiving value from their telco connection,” said Awais Malik, chief growth officer at Circles.
The survey results further illustrate the scale of the opportunity for mobile providers, with 59 percent of consumers reporting they trust their bank most with personal data, versus just 20 percent who trust their mobile provider and 13 percent who trust technology companies.
Half of consumers are interested in a mobile service from a frequently shopped retailer if it included loyalty perks; 38 percent of consumers would consider switching to a bank’s mobile plan if their primary bank offered one. Forty-four percent report they are comfortable with a provider using their mobile usage data to personalize financial or shopping offers, compared to 30 percent who are not.
More than half of consumers say lower monthly cost is the single biggest factor driving a mobile provider switch. Nearly 40 percent cite network reliability as their top concern about switching to a nontraditional provider, followed by data privacy (36 percent) and hidden fees (27 percent). A further 26 percent of consumers switched mobile providers in the past two years, compared to 18 percent who switched banks and 13 percent who switched a primary retail brand.
Nearly 70 percent of consumers find the idea of offsetting their mobile bill through everyday spending rewards appealing (30 percent very, 38 percent somewhat). Meanwhile, 58 percent say they would actively change their spending behaviors—including which brands and platforms they choose—to earn rewards that lower their phone bill.
Top categories consumers want to earn bill-reducing rewards from: paying utilities/bills (41 percent), online shopping (37 percent), dining and food delivery (28 percent), groceries (26 percent) and subscriptions (22 percent). The report noted that the data reflects broad consumer interest in mobile experiences that extend beyond connectivity, with cost savings, loyalty rewards and trusted provider relationships emerging as the defining factors in how Americans think about their mobile plans today.
