Home > Media and Analysts > News Release Archive > 2006 > Mar > 29|03|06

29|03|06

Ofcom and ICSTIS publish new research on 118 directory enquiries market

Ofcom and the premium rate services regulator ICSTIS today published new research on the accuracy and consumer awareness of 118 directory enquiries services.

Research using comparable methodology was published by Ofcom and ICSTIS in June 2004 and March 2005. Ofcom's predecessor, Oftel, replaced the old 192 directory enquiries service with new liberalised 118 services in 2003.

Accuracy

As in previous studies, Ofcom’s mystery shopping research examined the performance of 30 numbers responsible for more than 95% of the total directory enquiries market.

General accuracy (the proportion of requests which yield the exact number required or an acceptable alternative which allows the caller to be transferred within the same call) has improved to 95%, up from 91% in 2005 and 92% in 2004. Specific accuracy (yielding the exact number) is at 90%, compared with 89% in 2005 and 89% in 2004.

The cheapest price for a 118 call from a BT fixed-line was 29p and the overall average cost of calling a 118 number was 54p, up 4p from a year ago (a rise of 8%, or 5% in real terms taking RPI into account). As in previous years, around half of the providers surveyed charge the old 192 rate of 40p or less, and some of the cheapest providers are also among the most accurate.

Consumer research

The consumer survey included more than 2,000 interviews. Results show that 36% of consumers say they are using directory enquiries less than before liberalisation (compared with 35% in November 2004). These figures may not accurately reflect changes in actual call volumes to 118 providers.

Declining use of directory enquiries is a longer-term trend established before liberalisation in 2003. Consumers are using other methods to find telephone numbers:

• 68% of consumers surveyed who use directory enquiries services less frequently said they now preferred to use a phone book;
• The internet continues to grow in importance as a free and effective source of access to telephone numbers, listings and business services. 19% of consumers who use directory enquiries services less frequently now use the internet to find telephone numbers instead;
• 88% of people who use alternatives to directory enquiry services are satisfied with their main alternative method.

The research also analysed consumer usage of enhanced directory enquiry services, such as call connect and text-back (text messaging the requested number to a mobile phone). Almost half of the consumers surveyed were aware of at least one enhanced service (unchanged from November 2004). The most popular enhanced services were text-back (reported as being used by 12% of mobile phone users) and call connect (7% of all consumers).

Consumer information

Ofcom and ICSTIS will continue to monitor consumer opinion, pricing levels and complaints. Ofcom received around 5 complaints about directory enquiries services per week during 2005. Oftel received 300 or more complaints per week following liberalisation in 2003.

Ofcom and ICSTIS have tracked the results of the research published today against previous research reports. This shows that the UK market for 118 directory enquiries is stabilising, with both accuracy and satisfaction showing improvements over time. In the context of Ofcom’s Consumer Policy Review, Ofcom and ICSTIS have therefore decided not to repeat the joint 118 directory enquiries research in its existing format.

Ofcom is currently consulting on its wider approach to the provision of consumer information as part of its Consumer Policy Review. This work will assess how consumers access reliable and useful data to inform their choices in different telecoms markets including 118 directory enquiries. See more information at:

http://www.ofcom.org.uk/consult/condocs/ocp/

The full directory enquiries research report, including details of survey results for the 30 providers, is available in Related Items

Ends.

Back to top