Copyright © Acision 2007. All rights reserved.
Gain Competitive Advantage & Maximise Revenues In
The World Of Convergence
Prague, 26 September 2007
Sirous KavehercyMarket Development DirectorEurope, Russia and Africa
Copyright © 2007 Acision. All rights reserved.
Agenda
• Acision Introduction• Generation 2.0
– Transformation In Telecoms• Service Bundling
– A Good Start For Convergence• What Problem Should Convergence Solve?• Steps Towards Successful Convergence
Copyright © 2007 Acision. All rights reserved.
1964
1969
2002
June 2007
Copyright © 2007 Acision. All rights reserved.
Acision…
• Is A Company Of Considerable Substance – 1700 Employees On 5 Continents– Revenues Of Approximately $0.5 Billion– Customer Base Of 300 Mobile Operators Worldwide
• Global Organisation With An Excellent Customer Base And A Strong Customer Focus
• Strongly Positioned In The Value Chain And Able To Exploit The Convergence Opportunity
• A Comprehensive Portfolio Of Products And Services• Sustaining Technological Advantage By Exploiting
Innovation• Experienced People With Deep Domain Knowledge• Consistent Financial Performance With Aggressive Ambitions
For Growth
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The Experts in Mobile Data Services
• Text Messaging• Multimedia Messaging• Voice/Video Messaging• Converged IP Messaging• Mobile Internet• Mobile Advertising• Intelligent Charging
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Acision Track Record
• First Commercial SMS Message (1992)• First Interactive Television Show Using SMS (2000)• First Commercial MMS Message (2001)• First 3G IP-based Messaging Solution (2002)• First I-Mode gateway outside Japan (2003)• First Commercial 3G VideoMail Service (2003)• First Real Time Subs Behavioral Analysis Solution (2007)
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Generation 2.0
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Consumers Are Transforming Telecom and Media Sectors
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Resulting In A Telecom Jam!
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Europe Usage Rate Per Age Segment
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What Drives Youth Today?
• Participate – 1st Generation With Reality TV Viewer Voting
• Discover – 1st Generation That Grew Up With Internet Search
• Create – 1st Generation Who All Had Digital Cameras
• Share – 1st Generation To Grow Up With Napster, Kazaa
• Virtual – 1st Generation With Tamagotchi, 2nd Life, Warcraft
Source: Tomi Ahonen Consulting
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Is Content King!?
• Publicised By Hollywood And Media Companies
• Mobile Has Become Another Distribution Channels For Media To Sell Their Content
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“Contact” Is King, Not Content
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Service Bundling
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Service Bundling
• Broadband Has Been A Hub For Bundling
Broadband
Fixed Mobile
TV
Quad-Play Bundle
Dual-Play Bundle
Triple-Play Bundle
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Operator Drivers For Bundling
• Common Goals– Increase Customer Loyalty– Customer Retention– Matching Competitors
• “Strategic” Drivers– Increasing Customer Lifetime Value– Winning Customers– Broadband Land Grab
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Customer Drivers For Bundling
• Saving Money• Predictability Of Bills• Convenience Of One Vendor
• Challenges:– Hidden Charges– Complexity– Loss Of Clarity– Single Point Of Failure
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Service Bundles
• Dual-Play: – Broadband + Phone– Broadband + TV– Broadband + Mobile (mainly mobile operators)
• Triple-Play– Broadband + TV + Phone– Broadband + TV + Mobile (not in Europe yet)
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Quad-Players
Broadband + TV + Phone + Mobile• Europe
– Virgin Media (2006)• Canada
– Videotron (Triple-play) With Rogers (Mobile) As A Joint Venture (2007)
• USA– Verizon (2007)– Time Warner Cable, Charter Communications, Bright House
Networks With Sprint (Mobile) As A Joint Venture (2006)
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di
What Next?
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Convergence ?
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FMC Has Been A Good Start
“FMC Uptake Will Only Be Driven By Shifting The Focus To FMC's Features, Rather Than Its Potential For Cutting Costs.”
“Integrating Voice And Video Into Mobile Applications Will Be The New Frontier For FMC. This Will Enable True Differentiation Between The FMC Offerings Of Today And The FMC Applications Of Tomorrow.”
Source: Analyst House The Yankee Group, 14 September 2007
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What Is Convergence?
• Cable Operators Offering Triple-Play?• Mobile Operators Aiming For Quad-Play?• 3 Launching X-Series?• Apple Launching iPhone?• LG Phone To Support You Tube?• Vodafone Offering eBay, YouTube, MSN?• Intel Introducing Mobile Internet Device?• Microsoft and Nokia Bringing “Web” To Mobiles?• Multi-million Dollar Roll Out Of IMS Infrastructure?
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“If all you have is a
hammer, then everything looks like a
nail. Abraham
Maslow,1965
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What Problem
Must Convergence Be Solving?
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Business Models In ConvergenceExamine Characteristics
Broadcast Internet Fixed Mobile
TV/Radio
‘Any’ TVPaid
Access
ViewerTotals
InactiveAdvertising
Ratings
Service
Access
Relation ToIndividualCustomer
Revenue
CompetitionMetrics
Search,Community,
Content
‘Any’ PCPaid Access
User Session
InteractiveAdvertising
Sessions
Comms
‘Any’ LinePaid Access
‘Home’
Contract
Lines
Comms &Content
‘My’ PhoneFree Access
Individual
ContractPay Per Use
Customers
Triple Play Convergence
Quadruple Play C
onvergence
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Key Differentiator For Convergence
Is It The Battle For The Home? Is It The Battle For The Richest Set Of Services? Is It The Battle For Most Access Channels? Or Is It Simply The Battle For The Customer?
TV/Radio Fixed
Mobile Internet
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1. What Drives Customer Choice?
2. What And Who Has The Best Chance Of Winning The Customer’s Attention?
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Freedom & Flexibility
Control & Personalization
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Key Differentiator For Convergence
“Mobility Is Portable Identity Coupled With Ubiquitous Access
To Your Telecommunications Services”
MobilityTV/Radio Fixed
Mobile Internet
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Service
Access
Relation ToIndividualCustomer
Revenue
CompetitionMetrics
TV/Radio(Anywhere)
‘Any’ TVPaid
Access
ViewerTotals
InactiveAdvertising
Ratings
Search,Community,
Content
‘Any’ PCPaid Access
User Session
Direct Advertising
Sessions
Comms(Location)
‘Any’ LinePaid Access
‘Home’
Contract
Lines
Comms (Anywhere)
‘My’ PhoneFree Access
Individual
ContractPay Per Use
Customers
Broadcast Internet Fixed Mobile Mobility
Service
Access
Relation ToIndividualCustomer
Revenue
CompetitionMetrics
TV/Radio(Anywhere)
‘Any’ TVPaid
Access
ViewerTotals
InactiveAdvertising
Ratings
Search, Community,
Content
‘Any’ PCPaid Access
User Session
Direct Advertising
Sessions
Comms(Location)
‘Any’ LinePaid Access
‘Home’
Contract
Lines
Comms (Anywhere)
‘My’ PhoneFree Access
Individual
ContractPay Per Use
Customers
Broadcast Internet Fixed Mobile Mobility
Convergence Towards Mobility Examine Characteristics
Service
Access
Relation ToIndividualCustomer
Revenue
CompetitionMetrics
TV/Radio(Anywhere)
‘Any’ TVPaid
Access
ViewerTotals
InactiveAdvertising
Ratings
Search,Community,
Content
‘Any’ PCPaid Access
User Session
Direct Advertising
Sessions
Comms(Location)
‘Any’ LinePaid Access
‘Home’
Contract
Lines
Comms (Anywhere)
‘My’ PhoneFree Access
Individual
ContractPay Per Use
Customers
Broadcast Internet Fixed Mobile Mobility
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Business Model Of The Dominant Provider Of The Future
Service
Access
Relation toIndividualCustomer
Revenue
Competitionmetrics
Search,Community,
Content
Direct advertising
Sessions
Comms (Anywhere)
‘My’ Phonefree access
Individual
Contractpay per use
Customers
Mobility
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Business Model Of The Dominant Provider Of The Future
Service
Access
Relation toIndividualCustomer
Revenue
Competitionmetrics
Search,Community,
Content
Direct advertising
Sessions
Comms (Anywhere)
‘My’ Phonefree access
Individual
Contractpay per use
Customers
Mobility
Hybrid Revenue Model- Prepaid, Contract, Content, Advertising, 3rd Party Access
Personalised Service Packages - Accessible Anywhere, Any Time
Access Via ‘My’device- Portable Identity, Access Anywhere
Customer Centric Process Ability - Mobility Rights, Services Mix, Security, Preferences
Focus On Customers, Users And Session Numbers- Multiple Customer, Multiple Service Access
Mobility Requirements For Convergent Service Providers
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Business Model Of The Dominant Provider Of The Future
Hybrid Revenue Model- Prepaid, Contract, Content, Advertising, 3rd Party Access
Personalised Service Packages - Accessible Anywhere, Any Time
Access Via ‘My’device- Portable Identity, Access Anywhere
Customer Centric Process Ability - Mobility Rights, Services Mix, Security, Preferences
Focus On Customers, Users And Session Numbers- Multiple Customer, Multiple Service Access
Mobility Requirements For Convergent Service Providers
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Payment
Access
CustomerIntelligence
CustomerIntelligence
Remaining Competitive In A Converging World
Applications & Information
Users
Text
Voice
Instant Message
VideoMessage
Ring tones
Wallpaper
Browsing Download & streaming
TVEnterprise
applications
Advertising
M-commerceUser Generated
ContentGaming
Individuals
Family groups
Enterprise groups
Social communities
Business communities
MobileMobile IP
Local WirelessFixed IP
Fixed
PrepayNow pay
Post pay
PAYMENTS Charging
Billing
Rating
Customer care
Settlement
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Steps Towards Successful Convergence
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• Maximize Your Revenue From Existing Services
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Messaging
• Personalised Messaging– Storage, Copy-forward, Diversion, Signatures,
Nicknames– Out Of Office Notes, Message Barring, Routing Features– Personalised Greetings, Avatars, Visual VoiceMail– Personalised Notifications (IM, SMS, MMS, E-mail)– Parental Control, Black and White Listing
• Bringing Together Public And Private Messaging– Connecting Existing Communities With SMS/MMS Users– Step-stone To Converged Messaging
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Messaging
• Innovative Pricing– Converged Payments– Bundling– Implement Loyalty Campaigns
• Internet Service Access Through Messaging– eBay, Paypal– Blogging, Communities– Search
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Mobilizing The Internet
1. Optimise User Experience
2. Control Browsing & Access
3. Enable Communities
4. Monetise Clarity of Pricing
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• Deploy Flexible Service Environments
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Application And Access UbiquityFlexibility To Introduce Variety Of ApplicationsQuickly Across Variety Of Clients And Networks
Devices
Applications
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• Know Your Customer
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Increase Customer Loyalty Achieving Customer Centricity
• Behaviour • Lifestyle
Characteristics
• Brand Preferences
• Personal Interests
• Consumption Patterns
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Increase Customer Loyalty From B&W To Full Color
Unlock The Potential Of Customer Data
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• Make Payments Work
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Make Sure You Get Paid
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Getting The Basics Right
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Payments: Making It Work
• Create Offers That Look Simple To The User• Provides Tariffs And Bundles To All Subscribers• Delight Users With Relevant Loyalty Rewards• Enable Consumers To Control Their Spend Per Service• Quickly Implement New Service Packages Or Tariffs
– Attract New Users And Prevent Churn• Monitor/Control Information On Your Network Real-
Time– Reduce Bad Debt And Close Fraud Windows
Provide User Control & Total Revenue Capture
Copyright © 2007 Acision. All rights reserved.
Sirous KavehercyMarket Development Director---------------------------------------------------------Mobile: +31 65252 6222Email: [email protected] Website: http://www.acision.com Skype: sirous.kavehercy