White Paper Release by Masergy: 88% Recommend their MPLS Service Provider but are Dissatisfied with Installation Times and Billing

White Paper Release by Masergy: 88% Recommend their MPLS Service Provider but are Dissatisfied with Installation Times and Billing

Research Report on End User Experiences with MPLS-based VPN services by Steven Taylor of Webtorials

LONDON: Tuesday 8th July, 2008 – Masergy, the global network service provider specialising in simplifying business networks for enterprises, today announced the availability of a white paper report it has commissioned, which is entitled ‘2007-2008 MPLS Total Customer Experience (TCE)’. The report revealed that MPLS-based VPNs have made significant inroads into corporate networks, having been deployed in 61% of the 150 respondents’ networks, with 93% planning to deploy MPLS by the end of 2008.

Furthermore, 88% of the respondents said they would recommend their MPLS service provider.

Masergy commissioned the report to the networking expert Steven Taylor of the Webtorials Editorial/Analyst Division, formerly known as Kubernan. Steven Taylor is President of Distributed Networking Associates, which publishes Webtorials [his bio is below for more information and his photo is available on request].

The report presents a research survey on the views and practical experiences of over 150 enterprise users on the Webtorials subscriber base who are involved in decisions about enterprise WAN services. It compared the importance of over 40 factors with the level of satisfaction with those factors. These two indicators were then used to plot a satisfaction/importance index, identifying key areas where more energy needs to be focused to improve the Total Customer Experience (TCE).

The survey was organised around 5 key areas:

  • Current MPLS VPN experience
  • Buying and evaluation process
  • Delivery and installation process
  • Support process
  • Billing process

Summary of findings

  • MPLS-based VPNs have made significant inroads into corporate networks, having been deployed in 61% of the respondents’ networks. Most of these networks have nowmoved from the test stage to the production stage.
  • Internet-based VPN services have been deployed in 59% of respondents’ networks.
  • Users are satisfied with service reliability, pricing and timeliness in resolving issues and rate these factors as “quite important”.
  • The Total Cost of Operation (TCO) was the only important feature with a high level of dissatisfaction.
  • There is still considerable room for improvement in meeting commitments for:installation times; better technical training for contact centre personnel; proactive communications about network congestion, outages and errors; improving billing accuracy; and simplifying payment.

Please see below for a graph extracted from the white paper (page 7) showing the relative importance and satisfaction on the ten attributes of the MPLS VPN Experience.

Steven Taylor wrote: “Dissatisfaction around TCO can occur when users implement a change of service, such as the migration from frame relay to MPLS service. These changes may involve the cost of new equipment or higher prices for the more valuable services than what had been provided in the past. It is recommended that service providers share estimates of total cost of operations beyond the basic service pricing. Enterprise users should consider engaging managed service providers skilled in project management of large WANs, where per-site pricing of all dimensions of the site can be presented and budgeted for.”

Despite revealing some room for improvement in the MPLS experience, this report reveals that users are very willing to recommend their current MPLS service providers: 88% would recommend their service provider, compared to only 2% who were extremely unlikely to do so. This is consistent with the expectation that 50% more users will migrate some or all of their firm’s WAN services to include MPLS VPN service during 2008.

Tony Hurtado, Global Head of Marketing at Masergy, said: “When selecting a MPLS provider, end users should consider the full costs of their networking experience. A superior experience requires a comprehensive approach to identifying, measuring, assessing and improving a customer’s WAN service. We operate our own IP MPLS network, allowing us to offer the industry’s most stringent global service level agreement. We achieve high customer satisfaction rates by focusing our service on five key areas of the customer experience (solutions, collaboration, delivery, support and billing) and ensuring we perform well in all of these areas.”

The full report can be downloaded from Masergy’s website:


About Steven Taylor
Steven Taylor, consultant and broadband packet evangelist, is President of Distributed Networking Associates and Publisher of Webtorials. An independent consultant, planner, author, and teacher since 1984, Mr. Taylor is frequently quoted in the trade press and is one of the industry’s most published authors on high bandwidth networking techniques.

He has served as a Contributing Editor for Data Communications magazine, publishes articles in both Business Communications Review and Network World, and is co-author of two twice-weekly newsletters – Wide Area Networking and Convergence – distributed by Network World Fusion. Augmenting his skill as a teacher and consultant, Mr. Taylor’s background in planning, implementing, and running a truly extensive network for the University of North Carolina brings a unique, real-world perspective to his work.

About Webtorials
Formerly known as Kubernan, the Webtorials® Editorial/Analyst Division is a joint venture of industry veterans Jim Metzler and Steven Taylor. Webtorials is devoted to performing in-depth analysis and research in focused areas such as Metro Ethernet and MPLS, as well as areas that cross the traditional functional boundaries of IT, such as Unified Communications and Application Delivery. The Editorial/Analyst Division’s focus is on providing actionable insight through custom research with a forward looking viewpoint. Through reports that examine industry dynamics from both a demand and a supply perspective, the firm educates the marketplace both on emerging trends and the role that IT products, services and processes play in responding to those trends.

More information is available online at http://www.webtorials.com/index.htm or by emailing steven.taylor@webtorials.net.

Masergy is a privately held global network service provider specializing in delivering the strongest customer experience in the telecommunications industry. Serving hundreds of customers throughout the Americas, Europe, Asia, Africa and Australia, Masergy leverages advanced transport technologies to deliver global Ethernet services across a native MPLS network. The company pioneered customer-controlled network services and the delivery of multiple services over a single network connection. Masergy’s customers include companies from the financial/banking, healthcare, entertainment broadcasting, hospitality/hotels and manufacturing industries. Masergy received the 2008 Nemertes Research Pilot House Awards for Best Overall MPLS Service and Best Overall Customer Experience for Emerging Providers.

More information is available online at https://www.masergy.com or by calling +44 0207 1736880