Abstract
A segment of heavy users in the international long-distance telephone services market was studied to understand the importance of carrier selection criteria. International students attending a US university rate relative price, reliability of lines and complaint handling as the three most important factors when selecting a long-distance carrier. The relative importance of criteria varies, however, by past switching behaviour and by current carrier. Switchers, unlike non-switchers and AT&T customers, rate switching incentives and economic rate scheduling as more important than reliability of lines and complaint handling in the carrier selection process. The profiles of switchers and non-switchers are significantly different as well. Implications for appropriate customer attraction and retention strategies to be used by long-distance carriers targeting these switching behaviour segments are discussed with respect to relationship, database, and Internet marketing tactics.
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