Study: Service Providers Lack Companywide Definition of Superior Customer Experience


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Yankee Group research reveals SPs are investing to improve the customer experience, but challenged by the lack of a common view of customers and inconsistent business processes

ST. LOUIS — July 9, 2008 — A new global study of service providers in the wireless, wireline cable and satellite markets found that although service providers are transforming their business and operations support systems (BSS/OSS) to address the obstacles they believe are preventing them from delivering a differentiated customer experience, nearly 50 percent do not have a clear definition of what the customer experience should be. In addition, the study identified the top obstacles for delivering a more personalized customer experience: the lack of an integrated view of the customer; business process inconsistency and disconnects across multiple business lines, and internal information silos.

The study, sponsored by Amdocs (NYSE: DOX), the leading provider of customer experience systems, and conducted by the Yankee Group, an independent technology research and consulting firm, also revealed that while 70 percent of service providers believe that business processes have a direct impact on the customer experience, nearly one third (28 percent) do not have dedicated resources to manage their internal business processes or customer-focused key performance indicators to measure the customer experience.

“The customer experience is arguably the last remaining differentiator between service providers,” said Sheryl Kingstone, director at Yankee Group. “Service providers today see the value in investments to better their customer experience, but many lack the holistic vision necessary to determine what this experience needs to be and an effective strategy to address both systems and business processes to assure a successful, low-risk transformation.”

Other findings include:
• Digital content management is a top priority for new revenue engines: Management of “on-portal” digital content, or content sold on the service provider’s branded-portal, is the top investment area for service providers looking to capitalize on new revenue streams.
• Service providers are investing to create an integrated view of the customer: Master data management (for example, the ability to consolidate customer, product and network data), unifying BSS/OSS systems and the adoption of service oriented architectures are among the top transformation investment priorities for service providers in the next three to five years.
• Measurement expected to shift to the customer perspective: Although key performance indicators (KPIs) used for measuring the customer experience are operations-oriented today (for example, the average time it takes to service a customer on the phone), 47 percent of respondents expect their companies to adopt more customer-focused KPIs in the future (such as, the call center agent is aware of a customer’s past complaints during an interaction).
Conducted in May 2008 by the Yankee Research Group, the survey queried more than 150 respondents. Respondents were systems decision makers from both IT and individual lines of business departments at Tier 1 and Tier 2 service providers in North America and Europe.

About Amdocs Customer Experience Systems (CES)
Amdocs CES, introduced in January 2008, is an integrated portfolio that delivers the operating environment service providers need to transform from providers of utility voice, data and video services into purveyors of the digital lifestyle. Amdocs CES allows providers to deliver an optimal customer experience—personalized, participatory and timely across any service, location and device. The Amdocs CES portfolio leverages Amdocs business process best practices based on real-world scenarios, and transcends traditional business support systems (BSS), operations support systems (OSS) and service delivery platforms (SDPs) to enable service providers to address both current and emerging customer experience business processes. Amdocs’ unique business model focuses on enabling its customers to create differentiation and build brand, loyalty, profitability and competitive leadership.

About Amdocs
Amdocs is the market leader in customer experience systems innovation, enabling world-leading service providers to deliver an integrated, innovative and intentional customer experience(TM) at every point of service. Amdocs provides solutions that deliver customer experience excellence, combining the software, service and expertise to help its customers execute their strategies and achieve service, operational and financial excellence. A global company with revenue of $2.84 billion in fiscal 2007, Amdocs has more than 17,000 employees and serves customers in more than 50 countries around the world. For more information, visit Amdocs at

Amdocs Forward-Looking Statement
This press release includes information that constitutes forward-looking statements made pursuant to the safe harbor provision of the Private Securities Litigation Reform Act of 1995, including statements about Amdocs’ growth and business results in future quarters. Although we believe the expectations reflected in such forward-looking statements are based upon reasonable assumptions, we can give no assurance that our expectations will be obtained or that any deviations will not be material. Such statements involve risks and uncertainties that may cause future results to differ from those anticipated. These risks include, but are not limited to, the effects of general economic conditions, Amdocs’ ability to grow in the business segments it serves, adverse effects of market competition, rapid technological shifts that may render the Company’s products and services obsolete, potential loss of a major customer, our ability to develop long-term relationships with our customers, and risks associated with operating businesses in the international market. Amdocs may elect to update these forward-looking statements at some point in the future, however the Company specifically disclaims any obligation to do so. These and other risks are discussed at greater length in the Company’s filings with the Securities and Exchange Commission, including in our Annual Report on Form 20-F for the fiscal year ended September 30, 2007, filed on December 3, 2007, and in our quarterly 6-K furnished on February 11 and May 6, 2008.

Media Contact:

Weber Shandwick

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E-Mail: [email protected]

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