Global Consumer Study Reveals That Customer Service Remains Critical to Profitability

Is Customer Service Getting Better or Worse? More than 61 Percent of
Consumers See Improvements from Three Years Ago, but Key Pockets
of Frustration Continue..

SAN DIEGO, USA -- Is customer service getting better or worse? Despite the conventional wisdom of customer "no-service" as the norm, over 61 percent of consumers see call centers as doing a better job than three years ago. An international survey of more than 4,300 consumers found that, despite some continued pockets of frustration, 23 percent of all consumers found their experience "significantly better," and an additional 38 percent felt it was "somewhat better" while only 12 percent thought it was worse.

In addition, the survey revealed that customer service is a critical driver
of profitability and satisfaction, with more than 75 percent of consumers
saying they would give more business to a company based on a great
contact center experience. And, 50 percent of consumers say the last
time they stopped doing business with a company was partly or wholly
due to a poor customer service experience.

The survey, which measures consumers likes, dislikes and frustrations
with contact centers and automated customer service systems, was
commissioned by Genesys Telecommunications Laboratories, Inc., an
Alcatel-Lucent company (Euronext Paris and NYSE: ALU). Its findings
indicate that, while investments in technology and self-service are
starting to pay off, consumers increasingly want better multi-channel
service, through SMS, e-mail and other new media.

The Biggest Causes of Customer Frustration

In 2003, Genesys created the pioneer study in customer frustration and
has followed in each of the past four years. Globally, the major sources of
customer frustration are consistent with findings over the past four years:

Long hold times - 67 percent of consumers are frustrated by long hold
times, and 88 percent would prefer to receive a call-back in 10 minutes
than to be on hold for that long.

Poor automation - 57 percent of consumers are frustrated by IVRs with
too many or incorrect options and 76 percent of consumers feel that
companies are pushing them to use self-service systems instead of
talking to live people.

Customer Repetition - 52 percent of consumers are frustrated by having
to repeat information they've already provided.

"Given the direct impact of contact center performance on customer
loyalty," said Wes Hayden, president and CEO of Genesys, "successful
companies must take every opportunity to connect with their customers
to create a positive experience. Customer service is improving, but the
expectations of consumers are going up as well. As the world market
becomes more competitive, the most successful companies are ones
that make the best use of every channel and every interaction.
Companies should engage their customers with a well-planned and
executed contact center strategy."

Survey respondents indicated that a good way to create a positive
experience is to address consumers' basic frustrations. For example,
the survey results indicated that companies can eliminate long hold
times by including a call-back option in their IVR systems. Rather than
waiting on hold, 74 percent of customers would like to have the option to
ask for a call back when they feel the wait would be too long.

Emerging Trends -SMS, Instant Messaging, e-mail, Proactive Contact
The hottest new emerging trends in customer service are the desire for
proactive contact and the need for better support for a broader set of
communication channels, such as SMS, web chat and e-mail. When it
comes to new channels, 86 percent of consumers want e-mail
communication and more than 45 percent of consumers would like e-
mail to become their primary communication vehicle. Speed of
communication is critical, however, with 21 percent expecting a one hour
response time - up from 6 percent with that expectation in 2003. An
additional 17 percent of consumers expect an e-mail response within 4
hours, and 47 percent within 24 hours. In addition, 19 percent would like
web chat (instant messaging) and 17 percent want SMS text messages.

Surprisingly, over 89 percent of consumers would like to receive
proactive communications from companies, by phone or text, to keep
them informed about service delivery and/or other products and services
that may be of interest to them. Proactive communications offer a way of
creating a positive image with customers. According to the survey, 87
percent of customers would have a more positive opinion of a supplier
after receiving a courtesy call to thank them for their business or to ask
about their satisfaction; however, only 43 percent have received such a
call.

Substantial Regional Differences

While consumers agreed on most core customer service issues,
substantial, regional differences are emerging that offer some of the
most striking findings from the survey. Europeans are 10 times more
likely to want SMS text messages sent to their mobile phones than
Americans (21 percent for Europe versus 2 percent for the U.S.).
Similarly, 19 percent of consumers from Asia Pacific and 7 percent from
Japan also want SMS messages sent to them. Meanwhile, more than 28
percent of U.S. consumers want instant web chat capabilities, compared
to 19 percent in Europe, 18 percent in APAC and 11 percent in Japan.

More detailed regional findings are available from Genesys contacts
within each country. To access the U.S. Genesys Customer Experience
Survey, please contact press@genesyslab.com

About Genesys Telecommunications Laboratories, Inc.

Genesys, an Alcatel-Lucent company, is the only company that focuses
100% on software to manage customer interactions over the phone, web
and in e-mail. The Genesys software suite dynamically connects
customers with the right resources - self-service or assisted-service - to
fulfill customer requests, optimize customer care goals and efficiently
use resources. Genesys software directs more than 100 million
customer interactions every day for 4,000 companies and government
agencies in 80 countries. These companies and agencies can leverage
their entire organization, from the contact center to the back office, to
improve the overall customer experience. As a result, Genesys helps
stop customer frustration, drive efficiency, and accelerate business
innovation. For more information, go to www.genesyslab.com or visit the
industry blog at www.betterinteractions.com.

About Alcatel-Lucent

Alcatel-Lucent (Euronext Paris and NYSE: ALU) provides solutions that
enable service providers, enterprises and governments worldwide, to
deliver voice, data and video communication services to end-users. As a
leader in fixed, mobile and converged broadband networking, IP
technologies, applications, and services, Alcatel-Lucent offers the end-
to-end solutions that enable compelling communications services for
people at home, at work and on the move. With operations in more than
130 countries, Alcatel-Lucent is a local partner with global reach. The
company has the most experienced global services team in the industry,
and one of the largest research, technology and innovation organizations
in the telecommunications industry. Alcatel-Lucent achieved adjusted
proforma revenues of Euro 18.3 billion in 2006 and is incorporated in
France, with executive offices located in Paris. [All figures exclude
impact of activities transferred to Thales]. For more information, visit
Alcatel-Lucent on the Internet: http://www.alcatel-lucent.com

Media Contact:
David Radoff, Genesys, 650.466.1078, dradoff@genesyslab.com