Telus 2011 Annual Report Download - page 13

TELUS 2011 ANNUAL REPORT . 9
By way of example, our Wireless Repair Team implemented
a number of key improvements in the second half of 2011.
These include improving wait times for handset repairs and
using automated messaging to inform customers when their
repair is completed.
We are making tremendous progress as we listen to and
work directly with our most important partners – our customers.
At the end of 2011, 69 per cent of our consumer customers
said they were likely to recommend TELUS, up seven percentage
points from the previous year.
We are dedicated to consistently delivering on our future
friendly promise. Accordingly, in late 2011, we began sharing
our Customers First journey with Canadians through a public
communications program that conveys this commitment.
Please see our customer declaration in the sidebar.
Delivering a winning growth strategy
Remarkably, TELUS is the only telco in the world that has the
same strategy today as it did in 2000. Supporting this proven
strategy are six strategic imperatives, which continue to guide
our efforts. The following is a discussion of our performance
and plans as they relate to these imperatives.
Focusing relentlessly on data and wireless
Your Company experienced strong growth in data and wireless
in 2011. Data and wireless revenue now represents 77 per cent
of consolidated revenue and, notably, more than 40 per cent of
this revenue comes from regions outside Western Canada.
In 2011, our wireless customer base grew to more than
7.3 mil lion subscribers. Moreover, we achieved an industry-leading
increase of 425,000 high-value postpaid subscribers that was
largely generated by smartphone sales. This increase in our
smart phone customer base, up 20 percentage points to 53 per
cent of postpaid subscribers, coupled with tremendous
growth in data usage, resulted in 47 per cent higher wireless
data revenue in 2011 over the previous year. With Koodo,
our initial talk and text service, we expanded our smartphone
and data plan offerings in 2011 to provide choice to custo-
mers who want to upgrade to data functionality. Notably,
we led the Canadian industry in a number of value-creating
operating metrics, including the lowest churn (a measure
of client loyalty) and the highest average lifetime revenue
per customer.
Encouragingly, wireline data revenue was up 14 per cent,
primarily due to record sales of TELUS TV service and
resurgent sales of high-speed Internet service. By bundling
our service offerings, we are also reducing our losses of
residential phone lines to competitors. As well, we had a very
successful year in both securing new and renewing existing
public and large enter prise contracts across Canada, as
noted in the next section.
Building national capabilities
In 2011, we launched faster dual-cell technology on our national
4G wireless HSPA+ (high-speed packet access plus) network.
In February 2012, as the next step in our wireless network
upgrade path, we began offering services on our next generation
wireless 4G long-term evolution (LTE) network in major urban
centres, including Vancouver, Calgary, Edmonton, Toronto,
Ottawa, Montreal and Quebec City. We plan to continue rolling
out 4G LTE coverage to more regions across Canada to reach
more than 25 million Canadians by the end of this year. LTE
provides Canadians with mobile Internet access at speeds that
are up to three times faster than HSPA+ technology. TELUS
has one of the most advanced wireless networks in the world
in terms of data speed, coverage and innovative services
on the latest devices.
Largest customer contract in our history
We completed our strategic telecommunications services agree-
ment with the Government of B.C. in 2011. Valued at $100 million
a year for 10 years, this is the largest deal in the history of our
Company. In the coming years, TELUS will expand access to high-
speed Internet service to 97 per cent of B.C. residents, extend
wireless coverage to 1,700 kilometres of rural highway corridors
and upgrade communications technology in 450 schools.
$1,000,000,000