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Conference Paper Factors Influencing Customer Retention and Switching in the Korean Broadband Internet Service Market
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Authors
Moon Koo Kim, Jong Hyun Park, Jong Hyun Paik
Issue Date
2009-07
Citation
International Joint Conference on e-Business and Telecommunications (ICETE) 2009, pp.294-298
Language
English
Type
Conference Paper
Abstract
Korea’s high-speed Internet markets have all these characteristics, which is why the providers are doing their utmost to retain their current subscribers and attract other companies’ subscribers. Therefore, the starting point of a basic customer strategy involves 1) the identification of the characteristics of those subscribers who maintain their membership or who have switched to another provider in Korea’s high-speed Internet market, where switching between providers is becoming increasingly frequent among subscribers, and 2) analysis of the factors affecting their behavior. One of the common findings of most telecommunication service sectors including Korea’s high-speed Internet market is that customer satisfaction does not always match customer behavior. In general, customers maintain their subscription to a specific provider when they are satisfied, and drop their subscription otherwise. However, even satisfied subscribers often switch to another provider and vice versa. This happens when factors other than customer satisfaction affect customer behavior. In this regard, we examine the factors which affect customer behavior in Korea’s high-speed Internet market in terms of service differentiation, facilitating conditions, the cost of switching, and the attractiveness of the alternatives.
KSP Keywords
Broadband Internet, Customer strategy, Facilitating conditions, High-speed internet, Internet service, Service differentiation, Service market, Starting point, Telecommunication service, Terms of service, customer behavior