Mvnomvne indentifyingnewbusinessopportunities-090915042924-phpapp01


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Mvnomvne indentifyingnewbusinessopportunities-090915042924-phpapp01

  1. 1. Becoming an MVNO / MVNE Identifying new business opportunities
  2. 2. Categories of MVNOs - overview <ul><li>Discount MVNOs – providing competitive prices , typically with lower revenue per customer, often in the prepaid-only model ; typically offering simple services (e.g. voice and SMS only) and cheaper handsets </li></ul><ul><li>Niche MVNOs – providing tailored services to niche markets ( youth, ethnic groups or specific business users ); t hese segments require specific offerings with many value - added services and add-ons for the service to be found attractive by potential customers </li></ul>
  3. 3. Categories of MVNOs - overview <ul><li>Retail MVNOs – providing services for end customers via existing points of sale; subscribers can purchase a SIM card and top-up their account during a visit to a supermarket </li></ul><ul><li>Advertising-Driven MVNOs – providing a specific amount of free minutes, SMS and content to their subscribers, in exchange for sending advertisements to subscriber mobile phones </li></ul><ul><li>Brand MVNOs – providing similar offerings as traditional mobile operators but taking advantage of their strong, recognizable brands and customer loyalty </li></ul><ul><li>A lot of MVNOs originate from industries other than telecommunications! </li></ul>
  4. 4. The MVNO value matrix
  5. 5. MVNO – how to choose a business solution? <ul><li>As an MVNO you should take the following key factors into account when choosing a business solution : </li></ul><ul><ul><li>Easy service construction – reduces development and deployment time and cost </li></ul></ul><ul><ul><li>Low cost of operations </li></ul></ul><ul><ul><li>Fast innovation – required to attract new customers and retain current ones, enables a fast response to offers from competitors </li></ul></ul><ul><ul><li>System flexibility – readiness to cope with a broad range of today’s and future services </li></ul></ul>
  6. 6. Possible deployment models for an MVNO solution <ul><li>Single MVNO model </li></ul><ul><ul><li>the MVNO platform is hosted by the platform vendor (in a data center) and runs solely for the virtual operator </li></ul></ul><ul><ul><li>t he MVNO negotiates the traffic wholesale agreement with the mobile operator by itself and utilizes the outsourced platform , takes care of appropriate marketing and sales channels management </li></ul></ul><ul><ul><li>advantage = no intermediate party between the network operator and the MVNO in this case </li></ul></ul><ul><ul><li>disadvantage = economies of scale when it comes to deployment and maintenance are not fully utilized </li></ul></ul>
  7. 7. Possible deployment models for an MVNO solution <ul><li>MVNO aggregator model </li></ul><ul><ul><li>third party („aggregator”) plays the role of a middleman between the mobile network operator and multiple MVNOs </li></ul></ul><ul><ul><li>the aggregator is responsible for negotiating the agreement with the MNO and resells the traffic to all MVNOs hosted on the platform ( maintained by the platform vendor and hosted in d ata c enters ) </li></ul></ul><ul><ul><li>MVNOs are responsible only for the front-office operations of their mobile businesses </li></ul></ul><ul><ul><li>advantage = further reduction of up-front investments necessary to start the operations </li></ul></ul><ul><ul><li>disadvantage = aggregator applies its margins using the costs of the mobile operator’s network capacity usage </li></ul></ul><ul><li>M ultiple MVNO model - the third party is not involved and the mobile operator deploys its own mobile virtual network enablement platform </li></ul>
  8. 8. Possible deployment models for an MVNO solution
  9. 9. New business opportunities for MVNOs <ul><li>mobile-only operators will lower prices to advance fixed-mobile substitution </li></ul><ul><li>new companies with disruptive technologies (like VoIP) will compete by offering even cheaper voice packages </li></ul><ul><li>increasing need for mobile operators to fill their networks </li></ul><ul><li>(e.g. 3G or 4G ) </li></ul><ul><li>r egulators will demand further roaming and interconnection reductions </li></ul>The number of subscriptions to MVNO operators and resellers is forecast to grow 44% from 104.1 million at end-2009 to 150.3 million by end-2013 – a compound annual growth rate (CAGR) of 9.6% ( Global MVNO Markets report, Informa Telecoms & Media)
  10. 10. Win-win situation (MVNO vs. mobile operator) <ul><li>An MVNO can convince a mobile operator by offering: </li></ul><ul><ul><li>Analysis of new market opportunities demonstrating potential new revenue streams </li></ul></ul><ul><ul><li>Evaluation of new revenue streams and revenue sharing offers to provide money making opportunities for both partie s </li></ul></ul><ul><ul><li>New distribution channels and services targeting new customers in new niche markets </li></ul></ul><ul><ul><li>Possibility to reduce churn and increase customer retention by providing better customer care within segments and by utilizing MVNO’s brand loyalty </li></ul></ul><ul><ul><li>Established chain of partners providing content or VAS </li></ul></ul><ul><ul><li>Increased reach and scope of the offer - consumers get a wider choice (MVNO offer vc. host operator’s offer) – which increases the chance of them choosing the host network </li></ul></ul><ul><ul><li>Lower c osts on marketing , customer acquisition and maintenance , handset subsidies </li></ul></ul>
  11. 11. An MNO-MVNO cooperation model
  12. 12. Comarch solution - logical architecture The diagram presents the logical architecture of the full Comarch MVNE solution and possible interaction between platform components, a hypothetical environment of one MVNO and external or third-party systems. Depending on your needs, Comarch is able to build an IT platform of all or a subset of the above. Modular architecture makes it possible to upgrade the platform in the future as new requirements are identified.
  13. 13. Comarch solution for MVNOs – basic facts <ul><li>References </li></ul><ul><li> (Single MVNO model) (MVNO aggregator model) </li></ul><ul><li>Comarch can offer you a o ne-vendor, pre-integrated and preconfigured solution </li></ul><ul><li>We can provide a complete MVNO and / or MVNE platform </li></ul><ul><li>Learn more: </li></ul>