Business Standard

BSNL rentals put off users

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Joji Thomas Philip New Delhi
One fourth of the fixed-line disconnections due to high monthly rates.
 
A fourth of Bharat Sanchar Nigam Ltd's disconnections occurred due to users finding the company's fixed line monthly rental too high.
 
For Mahanagar Telecom Nigam Ltd, the Mumbai and Delhi service provider, a good proportion of disconnections occurred on account of closure of the company or business that had installed the phone.
 
These facts emerged from a study commissioned by the two state-owned telecom PSUs, aimed at ascertaining the reasons behind fixed-line phone disconnections.
 
The second major cause for BSNL customers giving up their phones was dissatisfaction with the service. About 21 per cent cited this reason, while, on the other hand, only 4.65 per cent of MTNL subscribers left on account of this factor.
 
MTNL saw 22.43 per cent of its disconnections on account of closure of a company or business, followed by 19.17 per cent due to customers shifting base to other areas. Disconnection of an additional telephone was also a significant factor for both PSUs "" 18 per cent of BSNL and 19.17 per cent of MTNL disconnections occurred on this count, the study showed.
 
Interestingly, the study also revealed that a fifth of all BSNL phone disconnections happened as the company was forced to stop service on account of default. Migration to mobile services led to a further 18 per cent of BSNL surrenders, while 9 per cent chose to take a landline from private operators, the study said.
 
In comparison, only 8.53 per cent of MTNL customers cited migration to mobile phones, while another 8.37 per cent said they had left as the tariffs charged by the company was on the higher side.
 
Additionally, the study noted that 5.34 per cent of MTNL users who gave up their landline took a similar connection from a private operator.
 
However, despite the surrenders, the overall subscriber base of both PSUs has not shrunk, but registered a marginal increase over the last year on account of new subscribers.

 
 

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First Published: Mar 28 2006 | 12:00 AM IST

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