FED: Businesses unhappy with telecommunications carriers

AAP General News (Australia)
12-13-1998
FED: Businesses unhappy with telecommunications carriers

CANBERRA, Dec 13 AAP - Many small and medium-sized businesses in New South Wales were
unhappy with the service provided by their telecommunications carriers and the costs they
charged, a new survey revealed.

Australian Business said a survey of 1,050 businesses had shown 62 per cent of the 159
groups that responded could have changed their carrier if they had had more information to
compare costs.

But Australian Business policy manager Paul Orton said 63 per cent of respondents had
stated they did not have enough information to select the carrier offering the best deal for
them.

"It is surprising that 62 per cent of firms had considered using different
telecommunications carriers," Mr Orton said.

"This compares with about one-third which were considering changing banks in the financial
market."

He said it was possible businesses were remaining with their current providers to avoid the
burden of changing service providers.

Costs were the greatest concern for 82.6 per cent of businesses which responded to the
survey.

This was followed by service at 82.1 per cent, billing issues at 66.6 per cent, number
portability at 60.4 per cent and choice of carrier or provider at 56.7 per cent.

Despite the promises of lower costs because of competition between carriers, Mr Orton said
the survey found 69 per cent of firms experienced higher total costs.

But part of this increase could be explained by increasing reliance on telecommunications
for firms.

"This survey of firms indicated that businesses have experienced increases in their
telecommunications costs with 27 per cent of firms experiencing a 10 per cent increase," he
said.

AAP msl/cjh/br

KEYWORD: PHONES

1998 AAP Information Services Pty Limited (AAP) or its Licensors.