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PROPOSED PRODUCT STRATEGY
PREPAID MOBILE
Deepak Kumar Gupta 19.02.2015
PREPAID CUSTOMER PAIN POINTS
 I want a Simple & Affordable product
which offers
 Local & STD calls
 Local & STD SMS
 Data (Fast & affordable)
 Easily available
 I want CONVENIENCE
 What I get is a product which I cant
remember
 Which top up/rate cutter?
 Which SMS pack ?
 Which data pack ?
 I spend approx Rs. XXX /mnth on my
mobile for voice calls, SMS and
Data…but I don’t know my call
charges
 What I do is. “I go to the retailer & ask
him to recharge my phone to get
local/std calls@ lowest rate & SMS
pack , Data etc”
Recharge with
Top up or FTT
Recharge with
Rate cutter to
lower the tariff
Add a SMS Pack
Add a data pack
Add a roaming
pack
25 to 50 Voice,
Onnet, Offnet,
Local, STD,
SMS
Ratecutters
8 to 15 Plan Vouchers,
12 to 20 Top ups to
4 to 10 Combo Vouchers
Choice of Confusion
10 to 25
Data packs
Approx 4
Roaming
packs
4 ISD packsAdd a ISD Pack
What a customer wants? What he gets?
Customer wants to make his life simpler and depends on retailer to resolve
WHAT A RETAILER DOES?
 Time nahi hai..jo
simple hai who bech
deta hoon
 I don’t know which is
the best voucher.
 Sir Airtel
/Vodafone/Idea le lo
 Sir A4 sheeter / ready
reckoner dekh kar bata
dou kaun sa recharge
chahiye
Vouchers Handsets
SUK
Dongle
Router
Airtel
Idea
Vodafone
Aircel
Uninor
Tata
CAF E-recharge
• 6 to 8 operators
• 30 products per operator
• 5 handset distributors
• CAF schemes
• E-recharge schemes
• Paper Recharge schemes
A single brain to remember all
Deepak Kumar Gupta
BREAK THE CLUTTER…DISRUPT THE MARKET & BRING
SIMPLICITY
 Objective –
 Introduce a product which is SIMPLE & EASY to understand , Easy to Buy,
Easy to Sell
 Helps Churning High Spending customers from competition
 USP “All in One” convenience pack
 No multiple recharges required for Local/STD, Rate cutters, SMS pack, data
pack
 No Differentiation between 2G &3G data
 No need to remember Roaming tariff
 No ISD pack required for Lowering the ISD rate
 Easy to remember…while buying or selling
 Feeling of Abundance …”Peace of Mind”
 Buy as per your budget or money in the pocket.
 Only 3 Denominations covering all kind of customer’s needs
 Daily / Small
 Weekly / Medium
 Monthly / Large
Deepak Kumar Gupta
PROPOSED PRODUCT OPTIONS
Deepak Kumar Gupta
Option 1
Option 2
• Includes Voice (Local/STD), SMS (Local/STD), Data (2G/3G)
• Includes Voice (Local/STD/Roaming), SMS (Local/STD), Data (2G/3G)
Customer is allowed to recharge as many times he wants
PROPOSED PRODUCT – OPTION 1
• One Recharge for Voice, Data,
SMS
• Voice - Local/STD
• SMS – Local/STD
• Data – 2G/3G
• Product Variants
• Daily
• Weekly
• Economy
• Large
• Monthly
• Economy
• Large
• Business Rules
• Usage with in the home
circle
• Free SMS not allowed
during roaming
• Recharge any other top up
to make ISD calls as per
tariff of ISD Rs. 18 pack and
make calls while roaming on
other networks
• 2G/3G data combined usage
• Assumptions
• Pulse @ per second.
• RPM doesn’t include ST, and
other levies
RPM maintained at healthy levels
Deepak Kumar Gupta
PROPOSED PRODUCT – OPTION 2
• One Recharge for
• Voice - Local/STD/Roaming
• SMS – Local/STD/Roaming
• Data – 2G/3G
• Free I/C while roaming on
home n/w
• Product Variants
• Daily
• One denomination
• Weekly
• Economy
• Large
• Monthly
• Economy
• Large
• Business Rules
• Calls charges applicable for
Home network as well as
roaming network .
• While roaming debit of Voice
minutes @ double rate i.e
debit of 2 mins from free mins
instead of 1 min.
• Roaming Free SMS allowed
on home network
• Assumptions
• Pulse @ per second.
• 5% roaming usage
• All tariff Voice/SMS/Data
assumed at higher rate incl
roaming usage
RPM maintained at healthy levels
Deepak Kumar Gupta
OPTION COMPARISON
 RPM/ ARPU maintained at healthy
levels.
 No differentiation in Voice Tariff, SMS
tariff, Data tariff (2G/3G)
 Expected ARPU (in Rs.) – to be
compared vs only REC customers
 Daily: 10 / 5 days
 Weekly – 2.5 weeks
 Monthly – Full month
 Products targeting to ensure high
REC base.
 Recommendation –
 Recommended option 1
however if basis actual data
simulation if option 2 can be
improved with more voice
minutes then Launch option 2
 Launch only one weekly &
monthly variant along with
Daily variant
Option Summary
Expected ARPU in
Rs.
Deepak Kumar Gupta
OTHER BUSINESS RULES & TECHNICAL CONFIGURATION
Business Rules
 Customer is allowed to recharge as many times he wants
 Free unutilized SMS & Data will not be carried forward and will be forfeited
on the FIFO basis
 Migration allowed from any Service Class excluding CUG service classes.
 Roaming Rates for all other networks as per standard charges.
 For ISD and Roaming calls recharge with any other topup. (cant be eliminated
due to higher ISD charges and non uniform home network)
Technical Configuration
 Voice + SMS + Data benefits to be given to the customer at the same time.
In case of technical incapability, the addition of SMS & data pack to be
done in batches every 15 mins through batch file uploads
 Product availability
 Paper for Daily & Weekly products. Monthly Version to be available on E-Recharge
 USSD/SMS menu – All variants
 Online recharge – All variants
Deepak Kumar Gupta
WAY FORWARD
Proposal Evaluation
 Price points to be adjusted circle-wise basis the possible migration
impact and base distribution.
Communication
 Mass Media Launch across all circles using Electronic, Print, and BTL
Additional Proposal - For increasing VLR
 Make Browsing on Facebook and Whatsapp Free with 3G for all
customers
 Approx data usage 200 Mb (for browsing only)
 Cost of 200 MB ~ Rs. 40 @ rack rate
 This cost to be recovered by lowering the discounts given on retention
Deepak Kumar Gupta
Thank you

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Proposed Product Strategy Prepaid Mobile

  • 1. PROPOSED PRODUCT STRATEGY PREPAID MOBILE Deepak Kumar Gupta 19.02.2015
  • 2. PREPAID CUSTOMER PAIN POINTS  I want a Simple & Affordable product which offers  Local & STD calls  Local & STD SMS  Data (Fast & affordable)  Easily available  I want CONVENIENCE  What I get is a product which I cant remember  Which top up/rate cutter?  Which SMS pack ?  Which data pack ?  I spend approx Rs. XXX /mnth on my mobile for voice calls, SMS and Data…but I don’t know my call charges  What I do is. “I go to the retailer & ask him to recharge my phone to get local/std calls@ lowest rate & SMS pack , Data etc” Recharge with Top up or FTT Recharge with Rate cutter to lower the tariff Add a SMS Pack Add a data pack Add a roaming pack 25 to 50 Voice, Onnet, Offnet, Local, STD, SMS Ratecutters 8 to 15 Plan Vouchers, 12 to 20 Top ups to 4 to 10 Combo Vouchers Choice of Confusion 10 to 25 Data packs Approx 4 Roaming packs 4 ISD packsAdd a ISD Pack What a customer wants? What he gets? Customer wants to make his life simpler and depends on retailer to resolve
  • 3. WHAT A RETAILER DOES?  Time nahi hai..jo simple hai who bech deta hoon  I don’t know which is the best voucher.  Sir Airtel /Vodafone/Idea le lo  Sir A4 sheeter / ready reckoner dekh kar bata dou kaun sa recharge chahiye Vouchers Handsets SUK Dongle Router Airtel Idea Vodafone Aircel Uninor Tata CAF E-recharge • 6 to 8 operators • 30 products per operator • 5 handset distributors • CAF schemes • E-recharge schemes • Paper Recharge schemes A single brain to remember all Deepak Kumar Gupta
  • 4. BREAK THE CLUTTER…DISRUPT THE MARKET & BRING SIMPLICITY  Objective –  Introduce a product which is SIMPLE & EASY to understand , Easy to Buy, Easy to Sell  Helps Churning High Spending customers from competition  USP “All in One” convenience pack  No multiple recharges required for Local/STD, Rate cutters, SMS pack, data pack  No Differentiation between 2G &3G data  No need to remember Roaming tariff  No ISD pack required for Lowering the ISD rate  Easy to remember…while buying or selling  Feeling of Abundance …”Peace of Mind”  Buy as per your budget or money in the pocket.  Only 3 Denominations covering all kind of customer’s needs  Daily / Small  Weekly / Medium  Monthly / Large Deepak Kumar Gupta
  • 5. PROPOSED PRODUCT OPTIONS Deepak Kumar Gupta Option 1 Option 2 • Includes Voice (Local/STD), SMS (Local/STD), Data (2G/3G) • Includes Voice (Local/STD/Roaming), SMS (Local/STD), Data (2G/3G) Customer is allowed to recharge as many times he wants
  • 6. PROPOSED PRODUCT – OPTION 1 • One Recharge for Voice, Data, SMS • Voice - Local/STD • SMS – Local/STD • Data – 2G/3G • Product Variants • Daily • Weekly • Economy • Large • Monthly • Economy • Large • Business Rules • Usage with in the home circle • Free SMS not allowed during roaming • Recharge any other top up to make ISD calls as per tariff of ISD Rs. 18 pack and make calls while roaming on other networks • 2G/3G data combined usage • Assumptions • Pulse @ per second. • RPM doesn’t include ST, and other levies RPM maintained at healthy levels Deepak Kumar Gupta
  • 7. PROPOSED PRODUCT – OPTION 2 • One Recharge for • Voice - Local/STD/Roaming • SMS – Local/STD/Roaming • Data – 2G/3G • Free I/C while roaming on home n/w • Product Variants • Daily • One denomination • Weekly • Economy • Large • Monthly • Economy • Large • Business Rules • Calls charges applicable for Home network as well as roaming network . • While roaming debit of Voice minutes @ double rate i.e debit of 2 mins from free mins instead of 1 min. • Roaming Free SMS allowed on home network • Assumptions • Pulse @ per second. • 5% roaming usage • All tariff Voice/SMS/Data assumed at higher rate incl roaming usage RPM maintained at healthy levels Deepak Kumar Gupta
  • 8. OPTION COMPARISON  RPM/ ARPU maintained at healthy levels.  No differentiation in Voice Tariff, SMS tariff, Data tariff (2G/3G)  Expected ARPU (in Rs.) – to be compared vs only REC customers  Daily: 10 / 5 days  Weekly – 2.5 weeks  Monthly – Full month  Products targeting to ensure high REC base.  Recommendation –  Recommended option 1 however if basis actual data simulation if option 2 can be improved with more voice minutes then Launch option 2  Launch only one weekly & monthly variant along with Daily variant Option Summary Expected ARPU in Rs. Deepak Kumar Gupta
  • 9. OTHER BUSINESS RULES & TECHNICAL CONFIGURATION Business Rules  Customer is allowed to recharge as many times he wants  Free unutilized SMS & Data will not be carried forward and will be forfeited on the FIFO basis  Migration allowed from any Service Class excluding CUG service classes.  Roaming Rates for all other networks as per standard charges.  For ISD and Roaming calls recharge with any other topup. (cant be eliminated due to higher ISD charges and non uniform home network) Technical Configuration  Voice + SMS + Data benefits to be given to the customer at the same time. In case of technical incapability, the addition of SMS & data pack to be done in batches every 15 mins through batch file uploads  Product availability  Paper for Daily & Weekly products. Monthly Version to be available on E-Recharge  USSD/SMS menu – All variants  Online recharge – All variants Deepak Kumar Gupta
  • 10. WAY FORWARD Proposal Evaluation  Price points to be adjusted circle-wise basis the possible migration impact and base distribution. Communication  Mass Media Launch across all circles using Electronic, Print, and BTL Additional Proposal - For increasing VLR  Make Browsing on Facebook and Whatsapp Free with 3G for all customers  Approx data usage 200 Mb (for browsing only)  Cost of 200 MB ~ Rs. 40 @ rack rate  This cost to be recovered by lowering the discounts given on retention Deepak Kumar Gupta