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New Test Data from Araxxe Shows 3:1 Ratio for Underbilling and Overbilling Errors

The specialist testing business reports a relative increase in underbilling errors compared to statistics they published in 2019.

Test call generator specialists Araxxe have published some new statistics about the frequency of billing errors that they discover with their international network of test devices.

Whilst underbilling errors (72%) are the most common issue identified by Araxxe during testing, overbilling errors (23%) are also very common.

The remaining 5 percent of errors identified by Araxxe involve other aspects of the customer experience, such as late or misleading messages about roaming services or bundle usage.

This 3:1 ratio between underbilling and overbilling errors contrasts with previous data shared by Araxxe. A report they issued in 2019 found that underbilling errors were twice as common as overbilling errors.

Araxxe also reported that 59 percent of billing errors they find relate to voice services. This contrasted with 25 percent of errors being for data services and 16 percent for SMS messages. However, it is unclear how much these figures are influenced by the number of tests Araxxe are performing for each kind of service.

Assurance programs that focus exclusively on underbilling are making a bad mistake because overbilling has the potential to upset customers and may sometimes lead to regulatory fines. It is similarly the case that audits designed to identify overbilling errors are more efficient and cost-effective if they also seek to identify underbilling errors. A holistic approach to measuring and improving billing accuracy is in the best interests of both comms providers and their customers.

Eric Priezkalns
Eric Priezkalnshttp://revenueprotect.com

During his career, Eric has been a Director of Risk Management for a national telco, the Chief Executive of the Risk & Assurance Group, a Chief Marketing Officer for a software business, a consultant, a public speaker and the publisher of Commsrisk since its launch in 2006. Look here for more about the history of Commsrisk and the role played by Eric.

The comms providers that Eric has worked for include Qatar Telecom, Cable & Wireless, T‑Mobile, Sky and Worldcom. In addition to his proficiency at speaking about the current scamdemic, Eric is also a qualified chartered accountant and a subject matter expert in consumer protection, enterprise risk management, fraud prevention, data integrity and billing accuracy. Eric was the lead author of Revenue Assurance: Expert Opinions for Communications Providers, published by CRC Press. He can be reached through the contact form on this website.

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