Strategic Call Centers Moving from cost centers to

Strategic Call Centers Moving from cost centers to value-add Lisa Gauvin Vice President, Customer Care Cox Communications, Inc. This presentation is proprietary & confidential. It is the property of Cox Communications, Inc. , and cannot be reproduced or shared outside of Cox Communications, Inc. , without the expressed written consent of Cox Communications, Inc.

Customer attraction and retention Being on par in terms of price and quality only gets you into the game. Service wins the game. ― Dr. Tony Alessandra, Ph. D.

Cox Customer Care is challenged by A myriad of competitive complexities Home Management Services Price Entertainment Services Product Service Communications & Information Services

Building an effective call center strategy A. Starts with pinpointing your service identity B. Determining where you want to be: Reactive service – least effective and costly. Too focused on after-the-fact service recovery. Responsive service – more effective. Moves away from a reactionary service recovery model. Proactive service – anticipatory. Looks at the landscape and prepares. Responds to customer need before the customer has a chance to articulate it. Relationship oriented but cost effective. Top-line service – white glove. Caters to the customer’s needs. Understands who the customer is and what he or she wants. Highly relationship intensive and tends to have a higher cost.

Strategic call center management Implements four primary drivers – The right mix of customer sales and support options Employee satisfaction Balanced investment Operational efficiency and Cost effectiveness Price, market share, speed to market do not solely ensure marketplace dominance over the long term.

Driver 1. Achieving the right mix of assistedand self-service options Requires that you listen to your customers: “Make it easy for us to do business with you. ” And take action Sales and service • • Purchase products and services online, by phone, or in a Cox Service Center. Bill pay online, kiosk, by phone, in person Information • Proactive alerts and info online and on i. TV Support • Speech-enabled IVR self-service troubleshooting, interactive online and i. TV tools: Instant Answers “robotic” chat, flash tutorials On-site • Technical support in the home or office provided by a highly-skilled technical support rep employed by Cox

Alignment Framework: People Employee satisfaction is a driver of customer satisfaction Take care of your people! • Give them the tools to do the job • Ensure their role is well defined and understood • Get their buy-in and continually reinforce to keep it • Provide standing opportunities for feedback • Listen to their ideas, frustrations, and suggestions • Close the loop with open, honest dialogue • Drive awareness of the business imperatives to help them make sound decisions • Celebrate their successes!

Tools: Dynamic & integrated empower employees To make decisions that are good for the customer and the business Training Business Customer Care Center knowledge touch-point employees integration Portal style Desktop Dynamic delivery system: tools, knowledge, customer & network information integration Channel alignment

Empower employee “right actions” to benefit the customer and the business The right tools + Clear guidelines = Effective service recovery Tool Application Credit Pay-per-view adjustment Premium channel Billing error Outage Data no-connect adjustment TV no-connect Credit Free or discounted service (limited duration) Authorizer Frontline Phone no-connect Frontline Service performance Frontline Premium channel Pay-per-view coupon Frontline

Incentives: Reinforce employee right actions For good decisions & providing consistent quality customer experiences Type Where offered Intervals Letters of Corporate commendation Field Offers such as gift Corporate certificate or Starbucks Field card, etc. Customer Service Corporate Appreciation Week Monetary Corporate Field Ongoing Annual Determines locally Quarterly Annual

Driver 3: Operational improvements drive efficiencies Results Better customer experience Better call routing reduces customer wait times Fewer outsourced calls increase consistent customer interactions Customers can choose self-service for simple Call Routing Data Video transactions or Accuracy Deflections ns assisted-service Call Handling Benefits: Actual vs. Planned for complex issues. 1. % reduction of misrouted calls: 2. 2 vs. 1. 5 Standardized critical processes Drives call handling consistency Reduces call handling complexity Reduced operational costs Simple transactions move to lower cost self-service channels 2. % of data calls deflected: 11. 2 vs. 8. 0 through Speech. Cycle self-service application 3. % of video calls deflected: 1. 0 vs. 4. 0 through Speech. Cycle

Operational improvements lower costs Operational costs decrease Results Usage of lower cost self-svc options • • Speech-enabled IVR main menu Bill pay (promise to pay) Video self-service troubleshooting CHSI self-service troubleshooting Standardized processes • • 3 Virginia Call Centers insourcing Cleveland/Kansas Centers insourcing support. cox. com & cox. com/support Quality assurance plan initiated Overall costs decline • • Costs per minute Outsourcing support Capacity management Assisted to self-service Call Routing Data Video Accuracy Deflection Total Benefit Financial Benefits: Actual vs. 1. Reduced misrouting: $1. 3 M vs. $560 K Planned 2. Data tech deflection: $3. 5 M vs. $2. 5 M 3. 4. Video tech deflection: $360 K vs. $1. 38 M Total projected benefit: $5. 2 M vs. $4. 4 M

Ongoing measures of efficiencies, costs, and customer satisfaction Robust analytics provide rich data for continuous operations and customer experience improvements Uninstalling 2% Troubleshooting 12% Customers asking about… Outage 8% Home Networking 3% Install 21% Remote Email Access 5% Customer Questions 57% Email Server 40% Sampling of call drivers Digital Cable 9% Analog Cable 33% EAS Messaging How It Works 4% Other 1% Signal - Weak 16% Closed Captioning Active/ How much does Digital Cable cost? 78%

Driver 4: Balanced investment Ensures solid operations and quality customer experiences People Tools Solid Operations Quality Experiences Processes

Results: Operationally efficient call centers and … Customers who are advocates for your business She was extremely pleasant, addressed my concerns. . . because of Cheryl I remain a customer … …Aaron was great. I was amazed he set up my service in under 15 mins … …I felt that Bob was genuinely concerned about my service. He resolved it immediately. He’s the reason I stay with you.

Reaping the rewards An award-winning company that is the envy of the industry 2006 J. D. Power and Associates’ 2006 Major Provider Business Telecommunications Services Study. SM highest honor for highest customer satisfaction among small/midsize business data service providers in the nation. 1 stt year CBS included in this study. 2005 J. D. Power Annual Customer Satisfaction Survey of Multichannel Providers. #1 overall ranking among cable providers. #3 overall ranking besting Dish. J. D. Power and Associates’ Highest Honor in Customer Satisfaction Among High-Speed Internet Service Providers. PC Magazine’s Readers’ Choice Award for Cox High Speed Internet service. J. D. Power and Associates’ Highest Honor in Residential All-Distance Telephone Customer Satisfaction Study SM in the West Region. 2004 J. D. Power and Associates’ Highest Honor in Residential Local Telephone Customer Satisfaction in the West Region. J. D. Power and Associates’ Highest Honor in Overall Customer Satisfaction in Bundled Long. Distance Telephone Service. First time a cable company has ranked highest in this segment of J. D. Power’s annual study. 2003 J. D. Power and Associates’ Highest Honor in Residential Local Telephone Customer Sat. Ranked highest in overall customer satisfaction in the Western Region. First time any broadband communications company has received this J. D. Power recognition and first time Cox has been in included in the study. PC Magazine Readers’ Choice Award for Cox High Speed Internet Service, Only Internet Service Provider to receive an A+. Northern Virginia Nat’l Cable & Telecommunications Assoc Vanguard Award for Cable Operations Management: Gary Mc. Collum, VP & region mgr. , No. VA No. 1 in Cable. Fax 100. Cox rises to No. 329 FORTUNE 500.

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