Empowerment and Protection of Consumers in ICT Market

PRESENTED AT THE STAKEHOLDERS FORUM ON QUALITY OF SERVICE AND CONSUMER

EXPERIENCE

23RD – 25TH NOVEMBER, 2015LAICO REGENCY HOTEL, NAIROBI, KENYA

PRESENTER: PATRICIA MUCHIRICONSUMER & PUBLIC AFFAIRS

DEPARTMENTCOMMUNICATIONS AUTHORITY OF KENYA

• The Consumer

• Key Players in the Consumer Ecosystem

• The Role of Policy Makers in Consumer Protection

• The Regulator

• The Industry

• Consumer Organizations

• The Consumer

• Regulatory Framework

• Regulatory Requirements

• Consumer Protection-The Kenyan Perspective

Table of Contents

•Consumers do not seek for adequate information to determine best product in the market;•Consumers do not complain;•Consumers do not channel their complaints to appropriate authorities (complain to their friends);•Consumers are increasingly concerned about quality of service;•Consumers are more “tech savvy”Ref. Consumer behavior Research by CA , 2013

The Consumer

Key Players in the Consumer Ecosystem ;

Who are the Stakeholders:

•Global and Regional Communities;

•Policy Makers;

•Regulators;

•Consumers & Consumer Organizations;

•Industry;

•Academia;

The following ingredients are critical in creating an enabling Policy Framework that Protects Consumers:

•Robust engagement/consultations ;

•Clear policy direction ;

•Competitive driven ;

•Predicable policy environment that boosts investor confidence ;

•Consumer protection and empowerment needs to be at the center of ICT Policy ;

•Policy guidance must ensure policy responses that consumers engaging in the ICT .

Role of Policy Makers in Consumer Protection :

• Effective policy Implementation;

• Ensure a fair competitive environment ;

• Ensure a level playing field for all players;

• Exercise Independence in decision making ;

• Reinforcing investor confidence giving the Consumer choice ;

• An effective regulator is a guarantee for Consumer Protection ;

• Promotion of engagement with Consumer organizations;

• Enforce standards;

The Regulator :

The Regulator Cont…:• Periodic reviews of Laws and Regulations;

• Enforcement of License conditions i.e. Penalties;

• Ensuring adequate mechanisms for effective consumer dispute resolution

• Research and analysis of Consumer trends;

• Transparency in the regulatory processes and policies;

• Provision of education , redress mechanisms and information for Consumers;

• Issue guidelines for the implementation of Consumer Protection regulations ;

• Monitor sector performance;

• Issue penalties on offences in contravention of regulations;

• Continuous innovation and new product development;

• Enhanced Product safety ;

• Good business practices;

• Ensuring adequate mechanisms for effective consumer complains/dispute resolution ;

• Consumer empowerment through education;

• Fair pricing policies;

• Accurate billing systems;

• Provision of accurate information

• Adequate redress mechanisms;

The Industry:

Consumer Organizations:

• To create awareness on Consumer rights and responsibilities;

• Share and publish relevant consumer brochures/information;

• Facilitate consumer engagement through conferences, seminars and workshops;

• Educate consumers on how to protect themselves;

• File suits on behalf of Consumers;

• Undertake lobbying and advocacy activities;

• Engage policy makers actively on Consumer issues;

• Engage educational institutions to carry out courses that empower consumers;

• Persuade Government, Industry to put Consumer Issues on their agenda;

• Organization and participation in international forums that shape Consumer Policy ;

Consumer Organizations Cont..:

Consumers:

• Assertive;

• Seek information;

• Take responsibility :

• Exercise their rights;

• Engage policy makers effectively;

• Complain effectively ;

• Seek redress;

• Organize themselves around pertinent issues;

• Service standards -Availability, reliability, accessibility affordability;

• After sales service including complaints handling

– Customer Care Systems; ;

– Quality Management Systems;

– Commercial Code of practices;

– Billing systems (tariff ratings);

– Compensation Policy;

– Effective Complaints Handling Processes;

– Consumer Choice;

– Availability of information relating to services offered.

Consumer Expectations:

The Regulatory Framework:• Constitution of Kenya, 2010. Articles 46 and 232;

• Consumer Protection Act, 2012, arising from Article 46 of Constitution;

• Kenya Information and Communications Act, 1998;

• Kenya Information and Communications (Amendment Act), 2013;

• Kenya Information and Communications (Consumer Protection) Regulations, 2010 – under revision;

• Kenya Information and Communications (Dispute Resolution) Regulations, 2010 ;

• Various License conditions .

Regulatory Requirements:

Licensee Operation Related Requirements

•Develop and implement a customer care system.

•Provision of services and sale if ICT terminal equipment.

•Develop and publicize complaint handling procedures

•Provide information to customers

•Develop and submit to the Regulator Code of commercial practice

•Keep customer information confidential

•Facilitate and assist persons with disabilities to make complaints

Regulatory Requirements Cont..:

• Develop and implement child protection mechanisms in all services

• Develop and implement outage credit system

• Provide Operator assistance Services

• Desist from sending unsolicited communications (Opt In principle applies)

• Avail calling line identification features to consumers

• Provide free access to emergency safety and assistance

• Install billing system that permits issuance of bills upon request

Consumer Protection: The Kenyan Perspective

• Carry customer satisfaction and perception surveys;

• Consumer and behavioral trends;

• Consumer education & outreach programs ;

• Enhanced automated Complaints Management System ;

• Enhancing the Consumer Protection Law, 2010 & Regulations;

• Investing service delivery monitoring and evaluation tool;

• Creating awareness to staff on the Service Charter so as to improve CA’s customer satisfaction index;

Conclusion:

• Consumers should complain on service shortfalls;

• Collaborative approaches by all the stakeholders;

• All players should invest more in Consumer Education;

• Strengthen the policy, law and regulations with respect to Consumer issues;

• Service providers should promptly address complaints;

• Treat complaints as feedback for improvement

• Expeditiously dispense with complaints before the same is escalated to Regulator

Recommendations:• Operators should

– Increase interconnectivity and infrastructure sharing

– Provide easily accessible information to consumers on their services (website, consumer information pamphlets etc.)

• Terms of service

• Tariffs, service area/region/reach

• Extent of partnership with other service providers

– Develop a complaints management system (Manual and/or Electronic) e.g. CRM

Customers are the reason organizations exist

Thank You!

muchiri@ca.go.kechukuahatua@ca.go.ke

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