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Ofcom NTS Focus Group notes, Feb 24, 05 (Read 7,848 times)
idb
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Ofcom NTS Focus Group notes, Feb 24, 05
Jun 4th, 2005 at 5:16pm
 
More from the UK regulator at http://www.ofcom.org.uk/telecoms/groups/nts_focus/notes/nts24feb05

includes:

Ofcom intend to publish a policy statement by the end of June on the NTS review. At this time, the second stage market review consultation will also be published (distributed to European National Regulatory Authorities and the Commission).

Andy Martin asked if media pressure had played a part in Ofcom’s reluctance to back Option 2? Caroline Wallace said that there had been some interesting stories in the press recently. The NHS in England and Wales had banned the use of 0870 as contact numbers for GP surgeries.

Geoff Brighton said that the Network Charge Control Review consultation was due to be issued in mid-March slightly behind the Retail Uplift consultation. However, to ensure consistency between the two projects the Retail Uplift consultation had been delayed slightly. The consultation is now expected to published on the 10th of March. Geoff apologised for the delay, but said it was essential to ensure that there was consistency.

Tim Stephens asked what the outcome was likely to be? Geoff said that the 2nd consultation would contain different numbers and new values of X and bad debt figures. Karen Wray asked if Ofcom were addressing the issues posed in responses to the first consultation, or would these questions need to be asked again. Geoff said the respondents wouldn’t need to re-ask the questions as a section in the 2nd consultation document would be devoted to the questions raised in responses to the first consultation.

Michael Dixon gave a brief outline of the CMA’s position on the NTS Policy Review. Michael summarised the CMA position as follows:

Turn off revenue share on 087X
Cap revenue share on 084X
Put revenue sharing arrangement on 084X under the remit of ICSTIS
Karen Wray asked if the CMA proposed to close down 087X numbers (migrating users to 084X), or harmonise 087X arrangement with those of 084X? Michael said he didn’t have a preference and would suggest what ever was easiest to achieve.

Michael Dixon said he had received feedback from one of his members who recently changed ISP numbers and the feedback he received was that the change over was quite straight forward. Michael Barford said that from the communication providers perspective number migration was usually anything but straight forward and often resulted in significant customer churn. While individual customers may report a positive experience, overall the picture is usually quiet different.

Michael Dixon said the banning of revenue share on 087X would limit the scope for abuse on higher 08XX price points.
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Re: Ofcom NTS Focus Group notes, Feb 24, 05
Reply #1 - Jun 4th, 2005 at 5:17pm
 
[...continued]

Nancy Saunders asked what Michael meant by abuse? Michael highlighted the example of a GPs surgery using 0870 numbers for their main switchboard. Nancy Saunders said she would caution against using the term abuse.

Andy Martin said isn’t the issue over 087X over hyped. Calls to mobile are often significantly more expensive than calls to 087X.

Michael Dixon said that some of his members who didn’t receive a revenue share on 084X services liked using 084X services (for reasons like call routing etc). Michael stated that he believed that all revenue sharing should be brought into ICSTIS control. Nancy Saunders said this would be an enormous burden and might be likened to using a sledge hammer to crack a nut. Karen Wray asked if Michael really meant all revenue share to fall under ICSTIS control (including 1ppm services)? Michael, said it may appear extreme, but he believed it was something that needed to be done.

Karen Wray said that ICSTIS charge a levy on all call minutes under their remit and this would add a significant cost burden on NTS providers and that ICSTIS may not be a practical option for the 08XX range.

Michael Dixon said he accepted that there was a practical trade off over the use of NTS numbers. For example he was currently dealing with an insurance company which uses 0870 numbers for customer support lines. Michael said while he didn’t like paying 0870 call charges when calling them, he did note that this could help them reduce their insurance premiums.

Kath Embleton said many of the problems were around voice services, not dial internet and these services shouldn’t fall under ICSTIS control.

Caroline Wallace said that ICSTIS didn’t have just one way of dealing with regulation. A number of proportionate remedies could be devised for different services. Ofcom’s principle worries centre around the hosting of adult services on 08XX, the deployment of 087X diallers and the 5 – 10ppm revenue share.

Michael Dixon said that customers were aware of the bad press associated with some number ranges. Caroline Wallace said that forcing all revenue sharing organisations to use 09XX wouldn’t be ideal as consumers associate 09XX expensive calls eg £1.50ppm (possibly making consumers reluctant to call low value 09XX chargebands because of perceptions of high cost).

Dirmuid Jennings said that research indicated that customers think NTS is a great deal more expensive than it actually is, so the issue centres on customer perception.

Karen Wray said that good consumer information would go a long way to help inform consumers. Caroline Wallace said she was disappointed that the industry hadn’t offered more in their responses by way of offering to help consumers gain a better understanding of NTS.

Caroline Wallace said she didn’t believe the industry warmly supported improved consumer information (eg. A new code of practice). Karen Wray said that a key theme of the UKCTA response was helping consumers have confidence in NTS and UKCTA hadn’t supported the introduction of a code of practice because there were adequate obligations available today (if enforced) which would greatly assist consumers obtaining information on NTS tariffing without the need to go down the route of establishing a code of practice.

Karen Wray said the UKCTA response was fully supportive on initiatives to assist consumers gaining access to the necessary information to make informed decisions over NTS. Toby Higho said that communication providers already have an incentive to ensure that consumers are aware of NTS tariffs. If consumers don’t know, and the costs are unexpected then they complain.

Dirmuid Jennings said that 07 represented an alternative non-geographic range to NTS and mobile was more expensive.

Toby Higho said that while 087X was in the spot light today, with further pricing pressure, 084X could come into focus over the next few years. Michael Dixon said on the other hand you might get feedback to suggest there wasn’t a problem.

Caroline Wallace said Ofcom were trying to understand the issue to establish if there really was a problem with revenue sharing per se on 08XX. Although Ofcom had received 150 consumer responses, there are many millions of NTS users in the UK. So whether these responses were representative of consumers at large needed to be understood, including whether lack of comment from consumers might be related to low awareness of how 08XX number ranges function in terms of price and scope for revenue sharing.

Karen Wray asked Michael why so many of his members use 08XX NTS numbers instead of geographic numbering?

Michael Dixon said many of members were very happy with the 08XX services they use. Many didn’t have a national network and enjoyed the routing and non-geo nature of the service. Michael said the introduction of 056 numbering may provide some of the same advantages.

Tim Stephens asked if many CMA members know about 0844. Michael said yes, and many have made use of 0844.

Dominic Carney said organisations had a choice and if they opted to use 0870, that was their choice to do so.

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Re: Ofcom NTS Focus Group notes, Feb 24, 05
Reply #2 - Jun 4th, 2005 at 5:18pm
 
Attendees:

NTS Focus Group - 24 February 2005 - 2.15pm Ofcom


Agenda item (1) - Introductions
Attendance:
Colin Scott THUS (Chair)
Gareth Davies Ofcom
Caroline Wallace Ofcom
Geoff Brighton Ofcom
Clive Hillier Ofcom
Dave Simpson Easynet
Toby Higho Centrica
Andy Martin IV Response
Tim Stephens C&W
Karen Wray C&W
Andrew Wileman Telewest
Helen Morgan Energis
Becky Hewlett Energis
Kath Embleton BT
Colin Annette BT
Rob Day BT
Durmuid Jennings Reality Telecom
Nancy Saunders Kingston
Jane Edge Your Communications
Dominic Carney Your Communications
Michael Dixon CMA
Mike Barford Tiscali
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Re: Ofcom NTS Focus Group notes, Feb 24, 05
Reply #3 - Jun 8th, 2005 at 7:58pm
 
Where did you get this stuff from?

Or have you missed an attendee from the list?

One with a first name starting in I and surname starting in B? Wink

Also I thought that the Ofcom focus groups were supposed to be with the public and not with the villains who run this industry.

Why aren't they holding any focus groups with those of us who responded to the consultation I wonder? ??? Roll Eyes Wink
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« Last Edit: Jun 8th, 2005 at 7:59pm by N/A »  
 
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Re: Ofcom NTS Focus Group notes, Feb 24, 05
Reply #4 - Jun 8th, 2005 at 8:33pm
 
It's all buried away on the dire Ofcom web site. I'd be more than happy to attend (if Ofcom was prepared to pay my airfare to London), however this is a cozy cartel, disinterested in the views of the public/consumers/customers. It's important to note that these individuals are key in what happens to rip-off numbers. They really need to be made aware of public dissatisfaction with NTS, that's assuming the public isn't happy with the numbers. Given previous inaction, I suspect that the NTS extortion will simply roll on untouched, or if it is, with some slight changes.
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