Competitive advantage for MNOs – leverage your reach

Competitive advantage for MNOs – leverage your reach

Reaching an audience requires connectivity – but MNOs already have audiences for which they provide connectivity services. They need to do more to leverage these connections by enriching understanding of their audience and integrating these insights into product launches.

MNOs already reach substantial audiences, providing fertile grounds for new offers

According to McKinsey[1], one of the key advantages held by tech companies (such as Netflix) is the global reach they gain through the availability of internet access. Any such company can target a global audience, simply by leveraging the power of the web. Such companies typically adopt a universal approach, although they may engage in a degree of localisation (such as producing content specifically for a given market).

However, we should not overlook the fact that MNOs also enjoy reach – but very specific and targeted reach in the countries in which they operate. Any subscriber can, in principle, access any of the services offered by the MNO.

This matters, because MNOs have already established deep footprints in their markets. Indeed, when compared to tech companies, they occupy an enviable position – tech companies have the potential to reach every internet-enabled user; MNOs already have because they provide connectivity in the first place.

This means that MNOs have a large captive audience for whatever services they seek to offer. Further, due to the increasing adoption of analytics solutions, they have a growing understanding of their customers and how they interact with the networks delivered.

Augment knowledge with data from other sources to really understand your business customers

Together, the result is that MNOs already have an audience and do not need to build one from scratch – unlike the tech companies cited by McKinsey, for example. This is a huge advantage, and the surprising thing is that MNOs do not capitalise on this reach. Put simply, any service that an MNO seeks to launch can be targeted – accurately and effectively – to a specific segment.

However, the knowledge that MNOs have of different segments is largely based on their own data. They know how many business customers they have, in general terms, and how many of these work for a particular organisation. What they may not know is more about the organisation specifically. What would be helpful would be to know how many people, for example, work for any such organisation – which can be inferred from the number of users in a particular account, but not known for certain. Such data is, however, available from public sources, so acquiring such data and using it to grow penetration or to target a new offer should be a priority.

But, they do have a wealth of information regarding calling habits and patterns that can be filtered by user and by account – how much data is consumed, which are the key destinations and origins for traffic, how much in intra-company (between members of the organisation), and how much is to or from external sources. Which are the most frequently contacted users? How often are the contacted and for how long?

All of this data is available from network signalling records, which can easily be analysed and parsed to yield insights that can, in turn, help with the delivery of offers to the user base. Such activities are very different from the parallel goal of subscriber acquisition – but are just as important, if not more so. After all, a subscriber is already a customer, so the hard work has been done.

Target and focus with an integrated approach

It is by using data such as this that the competitive advantage afforded by national coverage can be turned into success, boosting revenue by selling things to people who have already bought something. It is in this domain that MNOs need to learn from the approach of tech companies, who typically excel at mining data and presenting relevant offers to subscribers.

The importance of this cannot be overstated. When launching a product or service, you have to let customers know that it’s available – which requires promotional and upselling campaigns targeted to customers whom you think would be potential users – data you already have and which you can use.

Sure, some people may spontaneously discover that a new service is available but building a new service or offer doesn’t mean that people will just come. You have to work hard to tell them that you have something new to offer – the product itself is not enough. Necessary, but not sufficient.

And it is this holistic approach that we see achieving most success for our customers. Yes, the technical solution (e.g., our Cloud PBX solution) must be in place, but those MNOs that secure the best returns on their investments are those that really push these services to their community of subscribers. So, if you want to learn from experts in B2B success, why not have a chat – and we’ll show you how to build on service launch to ensure a winning approach.

 

[1] “How telcos can succeed in launching new businesses beyond connectivity”, McKinsey, February 2022

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