Business Environment

Operator value chain transforming

Over the past ten years the worldwide telecommunications and IT industry has gone through a profound change. Much of the new service innovation takes place within the internet paradigm and the role of communications service providers as service creation facilitators has declined. This role has been picked up by vendors dominating global software and service ecosystems. However, communications service providers continue to have a direct relationship with local subscribers and a good insight on their needs along with a billing relationship.

Mobile penetration rates have passed 100% in several countries around the world. In line with this trend, communications service providers are starting to focus more on retaining existing customers instead of investing heavily into acquiring new customers at decreased returns. Service providers are looking to provide their best and most loyal customers a personalized and enriching service experience to drive satisfaction and usage. Furthermore, service providers are looking to provide their customers with more exiting products and services to increase their potential lifetime value.

Consumers on one hand expect to be offered a totally new level of empowerment to choose the services they want, freedom how to bundle those, and flexibility to purchase via various channels. Communication service providers on the other hand need the capability to provision, charge, bill, and support bundles for every taste, and ultimately let customers self-provision the most fitting packages or subscriptions.

Business Environment

Towards digital marketplaces

Communications service providers are increasingly focusing on maximizing customer value rather than on acquiring new subscribers. To accomplish this, a key avenue is to provide flexible, even personalized service bundles and subscriptions, where people build an individual package not only consisting of voice and data services to their needs but also, for instance, their preferred news, music and video services delivered and bundled by the operator. Our focus is to enable operators to build and monetize such marketplaces enabling new ways of personalised promotion with extremely flexible tariffing and charging options.

We believe communications service providers will become digital marketplaces providing telecom, content, media, and entertainment services from a plethora of both local and global partners. With this evolution, operators need to renew, unify and streamline their IT and business systems and service platforms.

Outlook

In line with our strategy of enabling flexible service bundling, boosting customer lifetime value and enabling and monetizing digital marketplaces, we continue to strengthen our relationships with existing customers and penetrate into new markets.

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The concept of a digital marketplace has raised a lot of interest and traction, and is something that operators are keen to explore as a business strategy. With our broad solutions portfolio, agile processes and devoted personnel, we are ready and excited to build the new platforms for business in this shaping ecosystem.

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