Vertical Solutions Make Strategic Sense for Telcos
In recent research, analyst and consulting firm STL Partners pointed to six key strategic opportunities for telcos. One of the opportunities outlined was a focus on vertical solutions. We agree, but this means more than just thinking about enterprise or business customers. It means adapting current thinking about horizontal solutions – in which offers are made according to the size of the company – and considering how specific offers can also be made to specific industries.
Different industries can have different communication needs. We have already seen our customers segment their service offers horizontally, with features offered for companies of different sizes. But we also expect to see evolution towards specific vertical offers that target individual industries. What might users within petro-chemical industries need that is different from customers in local government or in financial industries?
The only way to execute such a strategic orientation is through finding out what these needs are. Once known, telcos can launch tailor-made services to suit different verticals. This could be key to building a lasting, strategic relationship and growing market share.
Of course, the mix of industries varies from country to country, but wherever the telco is located, there are likely to be some verticals that have particular requirements. In order to be successful with such a strategy, telcos need tools that allow them to differentiate services according to these different requirements. They need to be able to take service packages and make changes that allow them to launch tailor-made services and target particular industries. In short, they need a tool that will allow them to offer generic services with horizontal alignment, specific services with vertical alignment, and a combination of the two.
Innovation never stops and is essential to building strategic relationships that support telcos’ strategic goals. The place to start is with understanding existing and potential customers, so that telcos can be well positioned to take account of their evolving needs.