Consumers 'vote with their feet'

25-01-2007

Consumers 'vote with their feet'
Up to 23 million households flexed their consumer muscles by switching product providers in the last six months, new research shows.

The newly-launched switching index from financial advice website MoneyExpert.com reveals that customers of a wide range of services are prepared to vote with their feet by moving brands.

Coming in the month which saw British Gas' share of the energy market fall below the 50 per cent mark, the survey of 2,442 British adults by pollsters YouGov found that the utilities sector saw the biggest volume of changes.

High energy prices are thought to be behind the high number of shifts, which included 3.85 million households changing electricity provider and 3.61 million doing the same for their gas.

In the telecoms sector, broadband, landline and mobile phone accounts together accounted for 10.1 million switches.

"No provider is safe from the axe if they don't have a competitive product or good customer service. Customers aren't shirking from moving on if they're not happy," commented Sean Gardner, chief executive of MoneyExpert.com.

An average 212,000 contracts were handed over from one provider to another in the final six months of last 2006, the research found.


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