The wireless industry is lagging behind in two areas that are gaining a lot of attention lately: e-commerce and telematics.
The immediate response when one hears one is lagging is to hurry and catch up. In this instance, however, it may be better to remember that the early innovator who clears the brush for the rest of the industry also often falls on his own sword.
North American telecom carriers rank below manufacturing, consumer products and financial services companies in adopting Internet-enabled enterprises, according to American Management Systems, which studied the issue.
Analysts and industry insiders have criticized wireless carriers for giving up the lead in e-commerce and telematics. In both instances, the fear is that wireless carriers will give control over these potential moneymakers to Internet service providers and auto manufacturers. Thus, wireless carriers will only be the pipe-not the contact point.
Frankly, auto makers have to take the lead in the telematics industry if it is to realize its potential. Like hands-free car phone kits, telematics won’t really take off until wireless navigation systems are built as an option in the vehicle.
Have you ever tried to put something on a car after it leaves the dealer? It’s outrageously expensive. I don’t see the navigation system beating out the sunroof, spoiler, tinted windows or CD player for a customer’s aftermarket dollars. It will have to be included as an option at the dealer, or even better, just included in the vehicle, as some car makers are doing today.
Losing customers to ISPs as people become more data-oriented is a legitimate worry.
However, since many of the initial e-commerce applications for wireless carriers likely will be related to customer service, carriers should move with caution.
Customer service, in general, is lacking. Automated customer service applications prove frustrating more times than they are helpful (or at least, that is how I perceive it). Listen to the people around you talk about trying to get through to an actual person at a company. Do you as a carrier want to contribute to that anger?
ISPs are forgiven today only because the consumer still appreciates the magic of the Internet. But like subscribers who initially were quick to forgive dropped calls and lack of coverage, the customer won’t forgive frustrating online experiences forever.
Waiting until the service works out a few kinks may not hurt the wireless industry. In fact, it could help.
