04/11/10

By Claire West

Intense data analysis of business customer tariffs by Adam Phones (www.adamphones.com), an independent supplier of intelligent mobile and wireless data services, discovered the majority of their new SME customers were over-paying by much as 20% on their old tariffs.

The West London firm's founder and MD Adam Toop has characterised the findings as suggesting “structural issues” with nearly all the tariff plans presented to SMEs.

“We have all too often found inefficiencies in network choices, too high rental charges across voice, data, too high roaming charges and a general lack of care matching tariff to actual business usage and need,” he said.

“Customers are coming to us with plans that seem on the surface fit for purpose and are convinced their suppliers have striven to offer them the best deal they can,” added Toop.

“It's often a genuine shock to them when we perform a line by line forensic analysis of their actual use versus their current tariff plan.”

Where customers have decided to change plan and shift to a model more closely aligned to their real-world use, average savings of £120,000 or 16% of the spend in just one year across the companies investigated has been the norm.

“We think this is a wakeup call for both customers but also the industry itself,” warned Toop.

“And users must wake up to the danger that by not spending enough time and effort evaluating and finessing tariffs that are actually appropriate for them and their organisation's needs they are simply throwing money away in a market that has no room for operational inefficiencies.”

“We have published a white paper entitled ‘Why Tariff Management Matters’ designed to provide companies with a set of processes to improve how they select, manage and negotiate their mobile and wireless data tariffs. We hope by reading this paper companies will recognise that negotiating a business tariff is not just about getting the cheapest deal; it’s more about defining and monitoring their actual usage and customising their tariff plans to the requirements of the business. It’s also crucial that companies’ future proof themselves against inevitable changes to their business and don’t commit to long term entangled contracts.