Tackling Wireless Cost Woes: How to Rein in Runaway Mobile Costs

Cloud computing and AI may dominate tech talks, but a less flashy crisis looms: skyrocketing wireless costs. As budgets tighten, mobile data usage surges. Device numbers multiply. For businesses and institutions alike, this perfect storm threatens fiscal stability.

Consider this: wireless data consumption jumped 36% in just one year, according to the CTIA 2024 annual survey. Finance leaders are scrambling. How can they optimize connectivity without sacrificing essential services?

The Hidden Crisis in Wireless Spending

The combined cost of unnecessary wireless spending, lost value from e-waste, and rapid device turnover amounts to tens of billions of dollars each year in the United States. But the problem isn’t entirely a private sector issue. The Department of Veterans Affairs (VA) alone wasted $1.8 million on unused iPhone data plans. For budget-conscious entities, it’s a shocking drain. Those funds could support vital initiatives or bolster core operations.

The CTIA survey reveals a stark reality:

• Americans devoured 100 trillion megabytes of wireless data in 2023.
• 558 million active connections now exist. That’s 1.6 per person.
• 5G-capable devices surged 34%, further accelerating data consumption.

What does this mean for organizations? A cost management nightmare.

The SpyGlass 2024 State of Technology Service Expenses report reveals organizations without technology expense management (TEM) strategies face 22% annual cost overruns, a finding corroborated by Gartner’s communications spending analysis.

“We have a massive collection of data that continues to grow as we add to our source of 16,000 clients. Our industry benchmark analytics allow us to provide detailed spending averages by service compared to others in your industry, by region. Creating this database is key for providing the best savings recommendations.”
                     — Owen Hood, Vice President, Analysis, SpyGlass

Roadmap for Long-Term Cost Control

Whether 3G, 4G, or 5G — it doesn’t matter. Wireless technology will keep evolving. As usage increases, costs will follow suit, making long-term control a holistic effort rather than a one-off fix.

So, where should organizations start? Understanding the root causes of overspending is key:

• Unused devices: Inactive devices and unoptimized plans contribute to wasted spend.
• Uncontrolled data consumption: Lack of visibility over data usage leaves organizations vulnerable to bill shocks.
• Lack of oversight: Without regular audits and reviews, costs can spiral out of control.

A strategic approach can tame these runaway expenses:

1. Baseline assessment: Start with a comprehensive TEM audit, quantify current spending, and uncover savings opportunities.
   
2. Implementation: Optimize pricing plans and align policies with real needs. Your wireless infrastructure should serve you, not drain you.
   
3. Ongoing optimization: Stay vigilant, monitor continuously, and adapt to evolving tech demands.
   

This framework isn’t about only cutting costs — it’s about transformation. Shift from reactive to proactive management. Ensure every dollar spent on mobile connectivity delivers maximum value to your stakeholders.

Uncover Buried Savings & Security

You can’t manage what you can’t see. But a SnapShot Audit makes the invisible visible. This forensic analysis uncovers hidden savings through three crucial steps:

1. Usage pattern mapping: We analyze every device, every line. Redundant services? Underutilized connections? We’ll find them.
   
2.  Plan evaluation: Our experts comb through billing records. We analyze your usage patterns to ensure your wireless devices are on the most cost-effective plans.
   
3. Carrier rate benchmarking: With data from over 16,000 clients, we compare your rates. Are you getting the best deal? We’ll let you know.
   
4. Usage Monitoring and Device Inventory: By tracking data, voice, and text usage across devices, a TEM audit can help detect unusual patterns that might indicate security breaches or unauthorized access. This monitoring capability is vital for the security of large-scale device management and early threat detection. In addition, an ongoing, automated TEM service and active management ensure that a comprehensive inventory of all wireless devices is maintained and regularly updated.

A Cautionary Cellphone Story

A West Coast medical care and wellness services provider with 672 employees serving a community of over 60,000 members and patients faced growing technology expenses — particularly from wireless services. With 11 locations, the organization’s Vice President of Finance and accounting department manages the service costs of thousands of wireless devices to provide the scope of digital health, including mobile health, telehealth and telemedicine, and personalized medicine.

To meet its patients’ growing digital health needs, the provider quickly ordered wireless devices to ensure remote and hybrid employees are connected. With the best intentions, IT management would keep purchased devices and redistribute them to a new staff member.

But in reality, the IT staff kept reordering new devices instead of redistributing current inventory. What did SpyGlass find? Almost 400 unused wireless devices.

The impact? The facility reclaimed $65,000 in total annual savings from SpyGlass wireless pricing optimization.

Our latest analysis of 1,332 SnapShot Audits reveals systemic patterns:

• 22% of wireless budgets show actionable overspending
• 23% of devices remain inactive yet still incur costs
• 37.5%+ savings opportunity

“SpyGlass saved us over $100,000 a year in communications costs.
They had great tools and experience and knew who to talk to and get it done.”
— National Convenience Store Chain CFO

Sustaining Savings through the 5G Era

A TEM audit is only the beginning. As the wireless world continues to evolve, ongoing vigilance is crucial. That’s where an automated TEM solution like SpyCare® comes in.

The enhanced SpyCare service, exclusive to SnapShot Audit clients, combines automation, expert oversight, and actionable insights across fixed, mobile, and cloud services. The automated SaaS platform retrieves monthly invoices, performs comprehensive audits, and flags any anomalies or changes.

Beyond automation, SpyCare includes the hands-on expertise of a dedicated Account Manager, ensuring your initial optimization is sustained while proactively identifying and preventing new sources of wastage.

SpyCare delivers three core benefits:

• Expense Management: Monthly audits, usage tracking, and expense monitoring
• Sourcing Management: Contract management and technology roadmap guidance
• Dedicated Support: Dedicated account management and optimization strategies

“After helping our clients uncover significant savings through our SnapShot Audit, we’ve seen the challenges they face in keeping those expenses under control over time, especially across different service types. With SpyCare, we’ve built a solution that simplifies the complex, making comprehensive expense management effortless while delivering continuous value.”
—Steve Fisher, Vice President, SpyCare at SpyGlass.

As 5G networks expand and connected devices multiply, this sustained optimization is invaluable.

From Liability to Optimized Assets

5G adoption, device proliferation, complex plan choices — these challenges demand expertise. SpyGlass bridges the gap.

We transform mobile expenses from budget-busters to optimized assets. Our comprehensive audits and managed services offer a comprehensive solution to the wireless cost crisis plaguing organizations across sectors.

Although the future of business and service delivery is wireless, you don’t have to let runaway costs cripple your ability to operate effectively. Act now.

Ready to eliminate wireless waste? Redirect funds and savings to critical initiatives?

A SnapShot Audit will help you discover your true savings potential.

Contact SpyGlass to inquire about a no-costs-up-front SnapShot Audit.