RLA Wireless Committee Project Report:

1. RLAWireless CommitteeProject Report: Reverse Logistics What are companies (MOs, OEMs) doing to proactively prevent returns? D. Vikartofsky, M. DeLong, C. Griffin January 2011

2. Current After-sales Device Support RL MO/OEM Returns • MO’s control access to the customer • Advanced exchange, over the counter and post return replacement/repair is coordinated by the MO (exception Apple) • Information flow on returns from the MO to and from the OEM to the MO is non-existent • OEM’s typically no longer offer repair directly and rely on 3pl’s • Customer returns exhibit a high incidence of no-trouble-found or unable-to-duplicate the issue RLAWireless Committee /

3. Current Practices-MO RL MO/OEM Returns • Verizon • At Verizon stores, during and after the sales closing process, customers are provided information on to make and receive calls, email and other basic user information on their new handset • Offers free scheduled one-on-one PDA training to teach customers how to use the more advanced features available on smart-phones • Goal is to train the customer more effectively upfront to reduce returns • Post sales, Verizon offers an in-store test procedure to help determine if there is an existing problem • Some minor problems, including software re-flashing (non-PDA) can be handled in store • Problems beyond repair at the store level need to be returned through the normal Verizon repair channel RLAWireless Committee /

4. Current Practices-MO RL MO/OEM Returns • US Cellular • At the time of purchase, staff will set-up and personalize the customers new handset • Offer free weekly device workshops (either group or one-on-one) that are customized to meet the needs of the group or individuals attending • Many higher volume US Cellular locations have a technician on-staff to handle software re-flashing, screen replacements and other minor to mid-level handset repairs • If the customer chooses the unlimited package and has a defective handset, they are given an immediate replacement at the store (new or refurbished based on availability) RLAWireless Committee /

5. Current Practices-MO  RL MO/OEM Returns • Sprint • Sprint works closely with manufactures to provide prelaunch retail training on wireless devices. • Mfg’s are encouraged to visit retail (escorted) to hear the voice of the customer  • Repair is still being performed in COR*, which allows customer to retain their personal information • Typical repair is 30 minutes or less • Not just cosmetic * Company-Owned Retail RLAWireless Committee /

6. Current Practices OEM’s… RL MO/OEM Returns • Apple • At Apple stores sales personnel are encouraged to offer to set up email and other services when they sell an iPhone • The Genius Bar is very successful as it drives face to face interaction with handset and customer preventing many unnecessary returns. Customers can sign up to get additional support • Genius Bar’s have SIM’s that can be used to validate the phone has been provisioned correctly • The Genius Bar and Call Centers are notified on current and pending software upgrades so they can guide the customer to iTunes solution if appropriate. ITunes provides a way to assure a high percentage of customers have the latest software revision. • Smart Batteries allow for quick trouble shooting of defective batteries. • Indicate % charge capacity held, age of battery and number of charges RLAWireless Committee /

7. Current Practices OEM’s… RL MO/OEM Returns • HTC • More involvement with carriers to improve the device delivery process at activation. • Improved use of the web social communication tools to educate the customer on device use (You-Tube, Facebook, Apps, Flickr) RLAWireless Committee /

8. BEST PRACTICES Carriers RL MO/OEM Returns • Allow sales to take the time to train and set up the customers device • this is a challenge — esp. when it is busy • Have dedicated personnel that can work 121 and with groups • The Genius Bar is an example of having the resources to schedule the customer specific time to resolve issues/become more informed. • Work closely with manufactures to assure they are hearing the voice of the customer about their product • Invite them to observe at high volume locations • Thorough pre-launch training (utilize the Web) RLAWireless Committee /

9. BEST PRACTICES OEM’s  RL MO/OEM Returns • Provide Pre-Launch Carrier Training • It is critical that not only sales but Customer Service and Technical teams also are included in the training • Leverage the various mediums to provide device support that is accessible by the customer when and how they want it • Utilize web social connectivity: You Tube, Facebook, Apps • On-Line interactive simulators, “how to’s” • Device information/tips for carrier customer support teams • Post launch feedback obtained directly from the customer • Carrier store visits • Carrier focus groups with their Call Center and after sales support teams RLAWireless Committee /

10. NEXT STEPS?  RL MO/OEM Returns RLA/W team discussion & suggestions… • ___________________ • ___________________ • ___________________ • ___________________ RLAWireless Committee /