B2B and enterprise service growth – do actions match aspirations?
Many operators claim to have identified enterprise and business customers as a strategic area for growth, but have these goals been turned into action and results? Research suggests that there may be regional differences – which means there’s an opportunity. Gintel helps you turn strategic ambition into reality and revenue.
Most operators are investing in an enterprise strategy, seeking to offer more than connectivity to customers that typically generate higher ARPU and AMPU. However, according to research by Analysys Mason, a consultancy firm, these aspirations may not always be backed by action.
In a review of offers that focused on incumbent operators in the Middle East, for example, Analysys Mason found that, while there are often clear public statements regarding the intention to launch or build on a strategic focus on enterprise and B2B customers, the rhetoric doesn’t always match reality.
That’s because, the authors note, there is little discussion of specifics and scant evidence that enterprise is building steam as a profit centre. In contrast to peers elsewhere, the authors write, operators in the region tend not to break out enterprise revenues, so there is no sign of positive returns from strategic statements.
While, as the authors state, this is not conclusive evidence, it does suggest that efforts are taking time to yield results, or that real initiatives are yet to emerge – and hence are not being reported. Interestingly, it is also noted that customer satisfaction is beginning to be a metric that is measured – but that this does not yet to business customers. The figure below compares efforts to address enterprise customers in the Middle East with countries that have similarly high-income levels.
Figure 1: Analysys Mason research.
Several actions are suggested by this report. First, recognition of the importance of enterprise customers is a clear and necessary first step to actually targeting them with new offers. So, in that sense, perhaps this is simply an indication of the relative infancy of this market as a focus area in contrast to the maturity in other regions.
Second, if customer satisfaction is of growing importance and if enterprise customer satisfaction is likely to become a factor, then one way to address this is to explore ways to differentiate services that are offered to business users. Service availability and performance are key contributors to satisfaction, so extending the range of service is a way to delight more users.
Finally, it’s an opportunity. This may seem obvious, but operators elsewhere have typically beefed up enterprise offers after other revenue growth has stagnated or slowed. Thus, despite the reported lack of activity, there’s clearly a significant opportunity for operators in the Middle East region to do more.
So, if you are an operator with a clear strategic aim to grow revenue from enterprise customers, then it’s time to take action – and we can help you create a clear tactical plan for boosting business service revenue and building customer satisfaction and engagement. We’ll show you what works and how to deliver, so that you can convert aspirations into an action plan. Get in touch to find out more.