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

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 Priezkalns
Eric is the Editor of Commsrisk. Look here for more about the history of Commsrisk and the role played by Eric.

Eric is also the Chief Executive of the Risk & Assurance Group (RAG), a global association of professionals working in risk management and business assurance for communications providers.

Previously Eric was Director of Risk Management for Qatar Telecom and he has worked with Cable & Wireless, T‑Mobile, Sky, Worldcom and other telcos. He was lead author of Revenue Assurance: Expert Opinions for Communications Providers, published by CRC Press. He is a qualified chartered accountant, with degrees in information systems, and in mathematics and philosophy.