Customer Acquisition Converting the Cost of a Service Call to a Paying Customer

B2C Case Study # 1- Major Internet Service Provider (ISP) HELP DESK SERVICE Customer calls managed by 700 Agents Based in Five (5) Centres in Mumbai, Manila & Australia 90% of Customer calls relate to Level 1 Technical Support & Administration Matters 10% Out of Scope Calls unrelated to ISP Service and as a consequence are escalated to the ‘Premium Support’ Help Desk. PREMIUM SUPPORT HELP DESK – (Outsourced) Service scope covers all non Internet operational matters such as PC Virus, Application Software (e.g. MS Office, Browser, , etc.) and Hardware Technical Problems including Home Networks. Exclusively managed by 20 Australian Agents who initially explain to the Customer why their problem is not the responsibility of the ISP and then cover the Cost and Scope of ‘Premium Support’. Customers typically understand and accept the ‘User Pays’ concept and either (a) agree to pay for Premium Support or (b) decide to resolve the problem themselves (DIY). PROCESS Initial customer enquiry picked up by International Agent who troubleshoots the problem If problem not resolved in 5 minutes (AHT) the International agent briefs the Customer on the benefits of ‘Premium Support’ and ‘warm transfers’ the call to the Australian Agent for resolution. Australian Agent explains (sells) the concept of ‘User pays’, and if customer agrees resolves their issue either (1) by Remote log-in or (2) Onsite by booking 3 rd party consultant to troubleshoot & fix. Scenario

B2C Case Study # 1- Major ISP (continued) SERVICE OUTCOME 30% of Customers accepts and pay for ‘Premium Support’ with the majority opting for a long term ‘Subscription Support Package’ rather than a ‘One Off’ fix. ‘Premium Support’ Customer Satisfaction exceeds global best practice based on Net Promoter Score. Over 95% of ‘Premium Support’ services resolved and closed in accordance with customer expectations. A ‘No fix, No Fee’ Guarantee applied to the initial problem. BENEFITS Increased Profits : The chargeable ‘Premium Support’ service converts out of scope service calls from being a ‘dead cost’ to a ‘profitable’ service. Improved Customer Satisfaction: ‘Premium Support’ offers ‘professional resolution’ to a technical issue, and even if the Customer declines they accept it is theirs and not the ISP’s problem. Reduced Help Desk Costs: Premium Support reduces AHT due to agents handing over calls instantly an ‘out of scope’ issue is diagnosed with no wasted time placating an unhappy customer. FINANCIAL RETURNS – Average per Day Revenue = $1575 Cost Of Sale = $450 (Australian Agents) Service Delivery Cost = $630 (60% GP includes 12 month subscription services) NET PROFIT = $495 (31.5%) per Sales Agent per Day Criteria: Average Premium Support Service Fee = $140/Daily Sales per Agent in 7.5 Hours Outcome & Benefits

B2B Case Study # 2 – Lighting Distributor PRODUCTS Customer calls managed by 700 Agents Based in Five (5) Centres in Mumbai, Manila & Australia 90% of Customer calls relate to Level 1 Technical Support & Administration Matters 10% Out of Scope Calls unrelated to ISP Service and as a consequence are escalated to the ‘Premium Support’ Help Desk. TARGET MARKET Service scope covers all non Internet operational matters such as PC Virus, Application Software (e.g. MS Office, Browser, , etc.) and Hardware Technical Problems including Home Networks. Exclusively managed by 20 Australian Agents who initially explain to the Customer why their problem is not the responsibility of the ISP and then cover the Cost and Scope of ‘Premium Support’. Customers typically understand and accept the ‘User Pays’ concept and either (a) agree to pay for Premium Support or (b) decide to resolve the problem themselves (DIY). SALES STRATEGY Initial customer enquiry picked up by International Agent who troubleshoots the problem If problem not resolved in 5 minutes (AHT) the International agent briefs the Customer on the benefits of ‘Premium Support’ and ‘warm transfers’ the call to the Australian Agent for resolution. Australian Agent explains (sells) the concept of ‘User pays’, and if customer agrees resolves their issue either (1) by Remote log-in or (2) Onsite by booking 3 rd party consultant to troubleshoot & fix. Scenario

B2B Case Study # 1- Lighting Distributor (continued) SERVICE OUTCOME 30% of Customers accepts and pay for ‘Premium Support’ with the majority opting for a long term ‘Subscription Support Package’ rather than a ‘One Off’ fix. ‘Premium Support’ Customer Satisfaction exceeds global best practice based on Net Promoter Score. Over 95% of ‘Premium Support’ services resolved and closed in accordance with customer expectations. A ‘No fix, No Fee’ Guarantee applied to the initial problem. BENEFITS Increased Profits : The chargeable ‘Premium Support’ service converts out of scope service calls from being a ‘dead cost’ to a ‘profitable’ service. Improved Customer Satisfaction: ‘Premium Support’ offers ‘professional resolution’ to a technical issue, and even if the Customer declines they accept it is theirs and not the ISP’s problem. Reduced Help Desk Costs: Premium Support reduces AHT due to agents handing over calls instantly an ‘out of scope’ issue is diagnosed with no wasted time placating an unhappy customer. FINANCIAL RETURNS – Average per Day Revenue = $1575 Cost Of Sale = $450 (Australian Agents) Service Delivery Cost = $630 (60% GP includes 12 month subscription services) NET PROFIT = $495 (31.5%) per Sales Agent per Day Criteria: Average Premium Support Service Fee = $140/Daily Sales per Agent in 7.5 Hours Outcome & Benefits