The telecom industry is at a turning point. Amid increasing competition and rapidly changing customer needs, the challenge for telecom operators, CSPs, MVNOs and MNOs today is not just to keep up, but also to stay ahead of the curve. How can operators differentiate themselves and stand out in an increasingly competitive and tech-driven market? By adopting innovative strategies that put customer needs at the heart of their business model, telcos can navigate the evolving landscape and chart a path to long-term success.
In an age of relentless digital transformation in telecom, the industry finds itself on the brink of overhaul. The stakes are high, and the competition is fierce. As operators strive to outpace each other, the battleground has shifted beyond mere coverage and connectivity. Success in this new era hinges on a multi-pronged approach that encompasses innovative services, sustained customer experience, shorter time to market, customer segmentation, improved network quality, superior customer service, competitive pricing, and strategic partnerships.
Read also: 6 Key Factors Driving Digital Transformation in Telecom Industry
Embracing Innovative Services: The Data-Driven Approach
Innovation is no longer an option but a necessity. A GSMA study predicts that by 2025, the global revenue from innovative services like AR/VR, AI, IoT, and solution engineering, data storage is expected to surpass $1.1 trillion, highlighting their growing significance.
This is why telcos ought to get their heads into streaming services. By leveraging its existing customer base and infrastructure, telcos can offer a unique and immersive entertainment platform resulting in increased subscriber base ensuring recurring revenue stream.
- Content Streaming, Virtual Reality & Augmented Reality
- Data Storage, and Personal Organizers
- Personalized Services
- Customer Segmentation (Age, Income, Job, Gender, Geography)
- Need Analysis
The aim here is not just to ‘sell’ a service but to build an immersive experience that resonates with the digital lifestyles and needs of modern consumers. According to McKinsey, telecom companies that invest in advanced analytics for customer segmentation and predictive modeling can achieve up to 10% increase in sales. Many of the leading Asian telecom companies have already begun investing in digital transformation consulting services to leverage the power of segmentation and predictive analytics to reduce customer churn and boost their ARPU (Average Revenue Per User) through advanced telecom billing and revenue management solutions.
Read also: Checklist for Choosing a Digital Transformation Partner for Your Telecom Business
Network Quality: The Silent Customer Retainer
Network quality remains a cornerstone of customer satisfaction and loyalty. Investment in network infrastructure and consistent improvement in network coverage, speed, and reliability is crucial for telecom companies. High-quality networks are synonymous with a telecom operator’s commitment to their customers, resulting in enhanced trust and brand loyalty.
- Improved Network Quality
- Robust Network Infrastructure
- Enhanced Network Coverage & Speed
- Regular Network Audits
- Network Infrastructure Upgradation
- Network Security
A recent survey conducted by Deloitte revealed that 85% of customers consider network quality a crucial factor when choosing a telecom provider. According to the study, telcos that invested heavily in 5G infrastructure witnessed a stark 30% increase in customer satisfaction scores and an 11% rise in their customer retention rate.
Sustained Customer Experience: The Brand Amplifier
Providing stellar customer service is vital for retaining customers and cementing a positive brand image. Personalized and responsive customer service can serve as a powerful differentiator for telcos. Round-the-clock support, AI-powered chatbots, and intuitive self-service tools are key components of a robust customer service strategy. By understanding customer usage patterns, needs, and spending habits, telecom operators, CSPS, MVNOs and MNOs can offer a truly personalized service experience to customers. Investing in new-age telecom BSS/OSS solutions will not only help telcos reduce CAPEX and maintenance costs, but will also help to offer seamless customer experience.
- Personalized and Responsive Customer Service
- 24/7 Customer Support, AI-powered Chatbots
- Self-Service Tools
- Customer Intelligence
- Sentiment Analysis
- Omnichannel Customer Experience
A study by PwC shows that 73% of consumers point to customer experience as an important factor in their purchasing decisions. Telcos in Australia that have successfully implemented AI-powered chatbots witnessed a whopping 40% reduction in call center load coupled with notable improvements in customer satisfaction.
Smart Pricing: The Customer Magnet
Smart and competitive pricing strategies can be leveraged to attract and retain customers. Bundled services at discounted rates, loyalty rewards, and flexible payment options are great examples of such strategies. It’s not just about being the cheapest option, but providing value for money through well-crafted packages that combine the core telecom services with personalized add-ons.
- Competitive Pricing
- Loyalty Rewards Program
- Flexible Payment Options
- Personalized Add-Ons
- Bundled Offerings
A survey by EY suggests that 74% of customers see value-for-money as a key factor when choosing their telecom provider. Telcos that offer data rollover and flexible payment options experience a 20% uplift in new subscriptions and a 15% decrease in churn rate.
Strategic Partnerships: Expanding Horizons
The evolution of the telecom industry towards providing integrated communication technology (ICT) services offers a new arena for strategic partnerships. By collaborating with FinTech, InsureTech, Security Providers, SaaS, and Content Providers, among others, telecom operators can significantly expand their service horizons and offerings and penetrate into new markets. It’s about transforming from a standalone operator to an integrated marketplace, capable of delivering a host of services to meet diverse customer needs.
- Integrated Communication Technology (ICT) Services
- Strategic Tech Partnerships
- Partnering with Cloud/SaaS, FinTech, InsureTech & Security Providers
- Tailored Services to Businesses
- Competitive Service Portfolio
Check out our FinTech and InsureTech Solutions
Strategic partnerships offer tremendous potential. For example, the successful partnership between AT&T and DirecTV, which expanded AT&T’s content offering, validates this trend. Such partnerships can create a more comprehensive and attractive service bundle, leading to improved customer retention and an expanded market footprint.
Takeaway
Staying ahead in the fast-paced and intensely competitive telecom industry necessitates a blend of innovation, strategic investment, customer-centricity, and great partnerships. The future belongs to those who understand this new paradigm and are willing to reinvent themselves in line with the ever-changing dynamics of the telecom industry.
At Avisys Services, we offer all-inclusive telecom BSS solutions and digital services modernization helping telcos, CSPs, MVNOs and MNOs optimize as well as modernize their processes enabling them to provide sustained customer experiences, shorter time to market and generate better business value. Our custom telecom BSS solutions form an integral part of our holistic digital transformation consulting services approach for telcos, designed to help them embark on a seamless and painless digital transformation journey.
Staying competitive in the dynamic landscape of telecom industry requires more than just adaptation – it requires foresight, innovation, and a commitment to customer-centricity. We can help you redefine your strategy and create an impact by helping you embrace these innovative strategies and set your telecom organization on the path to success.
Reach out to our team today to discover how our market-winning telecom BSS solutions can drive your transformation journey on the right foot.
