Rise in phone, internet complaints from small businesses

Residential customers and small businesses made 30,564 complaints about phone and internet services between October and December 2020, marking a 11.2% decrease compared to the previous quarter. However, the seasonal comparison shows a 5.7% increase when comparing data from July to December 2020 against the same period in the previous year.

The Telecommunications Industry Ombudsman’s Quarter 2 (Q2) 2020–21 Complaints Report reveals that while the number of complaints from small businesses decreased compared to the previous quarter, the proportion increased to 17% of total complaints, making it the highest proportion of phone and internet complaints in the last five quarters.

The data shows a decline in complaints across all service types in the quarter. A high reliance on internet services during the early phases of the COVID-19 pandemic saw internet complaints drop by 20.7%. Mobile has also become the leading service type, with 10,118 complaints. The volume of mobile complaints remains steady, compared to the previous quarter and to Q2 2019–20.

All top 10 issues decreased in volume compared to the previous quarter, apart from contract variations by providers and consumers having no working service. The issue of providers being uncontactable fell by 40% this quarter.

For small businesses, complaints about the disconnection of services appeared in the top 10 issues, replacing complaints about number problems. There was also an increase in the volume of complaints about business loss and having no working service.

Complaints about the top 10 providers also decreased in volume from the previous quarter, although some providers saw increases compared to Q2 2019–20. Complaints about Dodo Services fell 23% compared to Q1 2020–21, and TPG followed with a decrease of 21%.

Ombudsman Judi Jones said the decline in complaints this quarter was pleasing, and noted that after the challenges of 2020 this was a serious accomplishment.

“The industry, government, regulators, advocates and Ombudsman have demonstrated a commitment over the past year to ensure continuity of service for consumers in the face of great change,” said Jones.

Jones added that while the slight increase in small business complaints isn’t yet cause for concern, it is important that small business owners have access to reliable phone and internet services.

“The impact of phone and internet problems can be significant for small business owners who don’t have a backup plan,” said Jones.

Image credit: ©stock.adobe.com/au/ArtemSam