Factors Influencing the Selection of a Mobile Phone Service Provider: An Empirical Study among Rural Consumers

Abstract

Rural consumers form a formidable block of over one-fifth of the total mobile phone user-base in India. In comparison to a tele-density of more than thirty per cent in urban areas, it is less than ten per cent in the rural areas, thereby indicating a huge scope for future growth. The study was conducted with an objective to identify the factors influencing the selection of mobile phone service provider among rural users. The study brought out clearly that the major factors influencing the choice of service provider were network coverage, price, value-for-money and billing integrity, recommendations from family and friends, customer service and company image. Network problem was observed to be the most important reason for switching over to other mobile phone service provider.