© 2011, All informaon contained herein is the sole property of Pipeline Publishing, LLC. Pipeline Publishing LLC reserves all rights and privileges regarding the use of this informaon. Anyunauthorized use, such as distribung, copying, modifying, or reprinng, is not permied. This document is not intended for reproducon or distribuon outside of
.To obtain permission to reproduce or distribute this document contact
for informaon about Reprint Services.
among customers who have adopted online billing and payment, admits that the company has, “notdone such a measurement,” but says that, “customerretention is signicantly high among customers whohave adopted online usage.”He says that Verizon knows, “that customers whoengage with our online and mobile properties havea lower churn rate than those who do not,” and thatwhile there are many contributing actors, Verizon,“believe[s] the ‘green’ actor is one o them.” Kulaadds that the, “pace o adoption” o paperless billing,“is slowly accelerating.” Promotional campaigns tend to bump it along a bit aster, he says, as, “usage ormobile billing has more than doubled in the pastyear.” And Kula states rankly that, “while the ‘going green’ actor appeals to a small segment, studieshave shown that customers are more interested insavings or a chance to win ree services.”Verizon has been running sweepstakes to encourageelimination o paper billing and payment methods.The pitch is simple – customers who switch to paperree billing are entered in a sweepstakes to win$10,000.00. Those who also sign up to pay their billsautomatically rom a bank account get a second entryinto the sweepstakes. The secondary messaging tied to paperless billing – somewhat understatedcompared to the sweepstakes promotion – promotesa green angle.Though the desire to go green may not drivepaperless billing uptake in big ways, Kula points out that Verizon’s wireless segment, “has generatedapproximately $1 million in cost savings year to date.” through paperless billing and payment. So, whilegoing green may not drive uptake in big ways, thereis a measurable byproduct in regards to expensereduction that results rom paperless billing’seciency. Kula urther adds that in a recent surveyo roughly 2,400 Verizon Wireless customers, 61percent said that they would download a smartphoneapp to access account, billing, and support unctionsand would be most likely to view and pay bills, andview and update account proles using a mobile app.
The ‘A’ Stands for ‘Arbor Day’
AT&T has a range o sustainability initiatives that aresimilar to enterprises in many markets in regards torecycling and eorts to reduce energy consumption.AT&T maintains an alliance with the Arbor DayFoundation and takes credit or helping to plantmore than 250,000 trees in 2010. The companysays more than 14 million o its customers, across allsegments, have opted-in to paperless billing; again, this is roughly 10 percent o its consumer customerbase across wireless and wireline, based on guresrom its most recent 10-Q. That uptake translated into667 million sheets o paper saved, which AT&T claimsis equivalent to roughly 96,000 trees. Furthermore, the company recycled more than 3.5 million wirelessdevices in 2010, which is about 12.5 percent less than two quarters worth o net subscriber additions.Whether these initiatives deliver measurablecustomer loyalty or customer satisaction gains isnot something on which the company was able tocomment specically. As much as AT&T makes anadmirable eort to demonstrate its commitment tosustainability, it’s not clear whether customers areexcited by it in ways that translate into sales or loyalty.With that said, green business appears to be a must-have in today’s image-driven market, even i in realityit is a “nice-to-have” or customers.
Sustainable, or Not So Much
Sprint appears to take sustainability seriously. Thecompany has multiple programs, including reewireless device recycling and buy back, to promotewaste reduction. In 2010, Newsweek rankedSprint sixth among its “500 Greenest Companiesin America.” It oers at least three dierent “eco-riendly” wireless phones made with materials likecorn-based bio-plastic and lead-ree paint. On astrategic level, according to Sprint’s website, thecompany’s headquarters in Overland Park, Kansassources 80 percent o its power rom a wind armin Spearville, Kansas, which saves the equivalent o more than 146,000 barrels o oil per year.But here’s the twist – according to an AssociatedPress report dated April 28, 2011, citing Sprint-Nextel,
While the ‘going green’factor appeals to a smallsegment, studies have shownthat customers are moreinterested in savings or achance to win free services.