7 hours Ago By Guardian Nigeria
Though customer service is reported to be improving in Nigeria’s telecommunications sector, 32 per cent of telephone users are still very dissatisfied with services offered by mobile network operators, especially the quartet of MTN, Airtel, Globacom and 9mobile. Nineteen per cent of subscribers also fumed at customer services by Internet service operators (ISPs) in the country. Battered the most are the electronic commerce (eCommerce) players within that ecosystem.
This was revealed in the Nigeria Customer Service Index report, unveiled in Lagos on Monday, by the West African Association for Customer Service Professionals (WAACSP), which assessed 12 sectors divided into 21 sub-sectors, using eight key evaluation parameters. Parameters including trust, branch availability, branding and appearance, competence, complaint resolution, ease of doing business, processes and procedures, professionalism and customer-centred innovations were tested. On the specific parameters, the report said customer trust is built on a company’s ability to create meaningful connections through transparency, reliability, honesty and sensitivity to customer needs.
It noted that a trustworthy organisation fosters confidence by consistently demonstrating ethical behaviour and dependability in its interactions. Speaking on professionalism, WAACSP described this as the quality of service delivered by employees, encompassing courteous behaviour, a helpful and patient attitude, respect for customers, and a willingness to actively listen and address concerns in a constructive manner. The report added the effectiveness of a company’s approach to handling customer complaints is crucial in determining service quality.
This metric examines how promptly and efficiently customer grievances are addressed, ensuring issues are resolved in a way that improves overall satisfaction and fosters long-term trust. According to WAACSP, sectoral performance results, however, showed varying trends, with some sectors making significant progress, while others declined or remained stagnant. WAACSP in the 134-page report, revealed that generally, while 23 per cent of the respondents stayed neutral, 45 per cent claimed customer services from the MNOs were positive.
According to the report, 66 per cent of respondents applaud MTN, Airtel, 64 per cent; Globacom, 62 per cent and 9mobile, 52 per cent. ISPs saw 50 per cent positive customer service, while 31 per cent stayed neutral, however, huge public sentiment went the way of FibreOne with 76 per cent; IPNX, 74 per cent; Starlink, 68 per cent; Spectranet, 66 per cent and Smile, 65 per cent. Accordingly, the report noted that Nigeria’s telecommunications sector in 2024 was characterized by significant growth and expansion, although challenges persist.
It noted that the sector’s GDP growth rate is projected at 14 per cent, driven by increased demand for data services and the mobile sector’s contribution to the digital economy. With a rapid shift from voice to data services, the report said the market is expected to continue its growth trajectory, supported by increasing internet penetration and mobile data adoption. However, despite its growth potential, the telecommunications industry, the survey noted, faces several challenges, including high operating costs, multiple taxes, and regulatory burdens, which stifle profitability development and infrastructure.
Additionally, WAACSP said inconsistent power supply and limited broadband coverage in rural areas hinder effective service delivery, impacting the sector’s ability to reach all Nigerians. It said the regulatory landscape remains complex, with dominant operators required to adhere to various compliance measures, which sometimes hinder competition and innovation. However, the report said the sector also presents significant opportunities.
It noted that the rise of mobile broadband services, advancements in 5G technology, and the expansion of Internet connectivity to underserved areas offer prospects for future growth. According to it, the government’s ongoing efforts to address regulatory concerns, such as the National Broadband Plan 2020-2025 are expected to alleviate some of the current challenges and enable more inclusive development. On eCommerce, WAACSP observed that the sub-sector experienced significant growth in 2024, driven by a large digital audience and widespread mobile Internet usage.
It disclosed that Internet penetration in the country stands at approximately 46 per cent, with projections for further growth saying mobile devices accounted for over 84 per cent of Internet access and even higher percentages of online marketplace visits, reflecting the increasing reliance on smartphones for e-commerce activities. Despite the limited penetration of credit cards, with only 1.7 per cent of men and 1.
6 per cent of women owning one, e-commerce continued to expand. It revealed that popular purchases include electronics and fashion items such as clothing, shoes, bags, and accessories, with online marketplace visits exceeding 242 million. One of the most notable trends is the substantial growth of Nigeria’s fashion e-commerce market, which is expected to reach $423 million in 2024.
However, WAACSP said the sector faces several challenges that threaten its growth. These include cybercrime, unreliable logistics infrastructure, inadequate payment systems, and low consumer trust. Also, inconsistent regulatory policies, poor broadband coverage in rural areas and the lack of proper Internet access equipment further hinder the sector’s development.
According to it, the continued success of Nigeria’s e-commerce market will depend on overcoming these barriers and enhancing consumer confidence. In terms of public sentiment of customer service within the eCommerce space, while 57 per cent showed positive sentiments, 13 per cent negative and 30 per cent neutral, the sub-sector’s overall performance plummeted by 60 per cent. Individual performance showed that Slot ranked best with 74 per cent; Jumia, 72 per cent; Konga, 68 per cent and Jiji, 65 per cent.
The report urged eCommerce to address its 13 per cent negativity and last-place ranking to align with digital growth trends. It stressed that telecommunications and the public sector require urgent reforms to reduce 32 per cent negative feedback. Among other things, WAACSP recommended improved focus on customer feedback, customer-centric culture, training and development, technology utilisation, benchmarking against global standards and promoting transparency and communications.
According to the report, fostering a customer-centric culture is vital for long-term success. This involves ensuring that all employees, regardless of their role, understand the importance of customer service and are empowered to make decisions that benefit the customer. It said organisations can achieve this by incorporating customer service excellence into their core values and performance metrics.
According to it, organisations should consider benchmarking their customer service practices against global best practices. This involves researching successful customer service strategies employed by leading companies worldwide and adapting them to local contexts. By learning from global leaders, businesses can identify innovative approaches that can enhance their service delivery.
In terms of technology utilisation, WAACSP said leveraging technology can significantly enhance customer service efficiency. For instance, implementing customer relationship management (CRM) systems and chatbots can streamline service customers with quick access to information. This is particularly relevant for sectors like telecommunications and e-commerce, where customers expect prompt and efficient service.
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