Problem Statement

The ACT Fibernet Customer Referral Program (CRP) is facing challenges due to low participation (<1% of the sub base). A high percentage (67%) of new customers claim that they spoke to an existing ACT user but the number of customers acquired through CRP is extremely low. The problem lies in a lack of awareness, ineffective incentives, and insufficient promotion, hindering the program's success and growth potential.

Objective:

Improve the effectiveness of the Customer Referral Program (CRP) to increase participation from <1% to 4-5% of the sub-base within the next 3 months.

Assumptions:

Pain Points:

We conducted a survey & below are our findings.

  1. Low CRP awareness:
    1. We found that the existing users are not aware of the referral program.
    2. From the survey, we also found that the existing users find the awards unappealing.
    3. Conducted research and upon interaction with the Sales representatives or Middlemen found that they are not educated about CRP.
    4. Potential Customers are not well versed with referral systems present in the broadband industry, unlike awareness in e-commerce, food delivery, etc.
  2. Ineffective communication regarding the CRP program:
    1. The communication channels (such as emails, bottom navigation in the app, and banners on the website) do not effectively convey the value of the CRP.
    2. Unclear navigation or insufficient promotion of the CRP results in user drop-offs.
  3. Less effort-to-reward ratio:
    1. The current referral process is cumbersome (detailed in the flow diagram below).
    2. Flow requires multiple inputs which also include PII, such as Name, Email Address, and Mobile Number and not all new users are comfortable sharing them
    3. The lack of character limit in the form leads to users entering incorrect details.
    4. Lack of confirmation notification to the Referrer.
    5. New users do not receive any benefit upon completion of the referral program and existing users do not find the current incentives sufficient since the reward is less.

User Personas:

Persona Existing Customer - Unaware of Referral Code Existing Customer - Aware but discontent with incentives New User - Hesitant to request Referral Code
Demographics Age: 30-45
Location: Urban     Occupation: Professionals Age: 25-40
Location: Suburban     Occupation: IT Professional Age: 20-30
Location: Urban
Occupation: Student
Challenges Lack of awareness about the referral program Dissatisfaction with current referral incentives Hesitant to request a referral code
Pain Points Misses out on referral benefits due to unawareness, feels disconnected from the referral process Reluctant to refer due to unattractive incentives, perceives efforts not worth the rewards Hesitant to request referral code, uncertain about benefits
Motivations Saving on monthly bills, contributing to ACT community Saving on monthly bills, seeking tangible benefits for referral efforts Accessing reliable and fast internet services, contributing to ACT community
Tech Savviness Comfortable but not intuitive in using the ACT Fibernet app and website, but may not actively explore all features Proficient in using the ACT Fibernet app and website but not intuitive, explores various features Proficient in using the ACT Fibernet app but not intuitive and website, explores various features

Competitive Analysis:

Criteria ACT Airtel Tata Jio
Referral Program Availability ✅ ✅ ✅ ✅
Referral Incentive Discount of INR 250 on referrer's next bill Discount of INR 300 on referrer's next bill Cashback of INR 300 into referrer's account Referrer and referee get 1 month free internet
Average Monthly Base Price (30-50mbps) INR 649 INR 499 INR 699 INR 399 per month (30 Mbps)
Bundling OTT: Zee 5, Disney + Hotstar, SUN Next, Yupp TV, and 300+ live TV channels Wynk subscription, Apollo 24/7 subscription, Netflix Premium, Amazon Prime, Airtel Xstreme Premium Disney+ Hotstar, SonyLIV, ZEE5, Voot Select, Lionsgate Play, Hungama Play, MXPlayer, Voot Kids, Eros Now, ShemarooMe, SunNXT, and regional OTTs. Amazon Prime Video, Netflix, Disney+ Hotstar, SonyLIV, ZEE5, Voot Select, Lionsgate Play, and more.
Steps to Provide Referral 4 3 3 2
(Bad Referral Discoverability)
Service and Support High High Low Medium
Customer Satisfaction Ratings
(as per TRAI Dec 30 ‘23) 82% 75% 84% 78%

Referral Process Flow:

User Flow:

https://lh7-us.googleusercontent.com/hzPK1AtiFuTpMvLIIxvEaco4pHvHLGxhfXHrE1OnC5PHlw2a-eLfEXg0HiGUJSQXUW1l7DVMPjnNMv7IlGknVBhEMTQYSY6OlFORQKD2iOhLWZGWDPus9tUjHGNCGwjWqrwVMclhcM7hDUuvQAigwoE