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The Challenges in the European Telco Space

February 26, 2007

Analysis of:When perception is the problem | telephonyonline.com

1) In Europe many of the established telco players have experienced the ‘double whammy’ on traditional telco revenues from fixed to mobile substitution and VoIP.
2) However, they have not invested in deeper fibre - preferring to focus on pricing, product and unbundling the local loop.
3) The danger with the “bite the bullet and waterproof your network for 80 years” is that consumer behavior is changing so rapidly and today's youth will have a different attitude to services and monthly fees than the current generation of householders.

The Mobile Internet must focus on Consumer Simplicity

February 26, 2007

Analysis of:The Mobile Internet Won't Grow Without Effective--And Profitable--Search | www.informationweek.com

1. The ‘Mobile Internet’ to date has been about ‘over promising, and under delivering’ - a history that can be traced back to the mid 1990’s in the UK.
2. The focus must be on boosting traffic using the ‘mobile Internet’ via a simple consumer proposition and a simple usage experience – before talk of technology options and monetization.
3. Mobile Internet services need to replace the consumer alternatives of telephony directory enquiry services (or for the more well-off telephone based concierge services).
4. More innovation is required by the likes of Google, Yahoo, Vodafone, etc.

Texting does not necessarily lead to increasing 3G/Data Apps Usage.

February 26, 2007

Analysis of:Leap: Why Limit Texters? | www.wirelessweek.com

1) If we look at the evolution of text message charging in the UK, we can see how it came from a free service to being the key driver of data revenues today.
2) It is slightly presumptuous to say that SMS/text usage is a stepping stone to increased data usage as consumers see SMS/text message as a convenient, simple substitute to calling someone - and not really as a stepping stone to mobile data services.
3) Increased data usage requires good consumer propositions such as Hutchison 3 UK’s mobile music download service - and Japanese mobile data services.

Virgin Media's Efforts on Mobile TV

February 26, 2007

Analysis of:Whoa! What a surprise! Nobody wants mobile TV | www.computerworld.com

1) Operators have been in search of the revenue driving app for 3G services.
2) Mobile TV is yet another example of 3G mobile services to date ‘over promising, and under delivering’ - a service without any consumer driver.
3) Despite all of this, value added services have been driving mobile revenues in Japan.
4) In the UK, Virgin Mobile launched the first broadcast mobile TV service in the UK featuring major terrestrial channels such as BBC1, ITV, Channel 4 and a host of others – along with some Digital Audio Broadcast (DAB) radio stations. However, it has not taken off and not revolutionized how, when and where people choose to watch TV.

Vodafone Focusing on Core Consumer Segments

February 26, 2007

Analysis of:Vodafone Enters Second Life | www.mad.co.uk

1) Vodafone has certainly learnt from the failings of it Vizzavi portal and is looking to nurture its various communities.
2) Indeed, the growth in online gaming communities and the way SE Asian mobile firms have been targeting them can be seen as a precursor for this Vodafone initiative.
3) Vodafone must be congratulated on looking at what its consumers are doing and trying to build relevant propositions (such as in their deals with MySpace and eBay).

 

Joost May be able to take advantage of Viacom and Google Duel

February 26, 2007

Analysis of:Viacom's High-Stakes Duel with Google | www.businessweek.com

1) The integration of YouTube into Google and the ‘formal’ launch of Google Video have been somewhat delayed. This may give an opportunity for new operators such as Joost.
2) Clearly, ownership of content rights across platform and geography will be a great asset that many independent producers and broadcasters can leverage in discussions with Google Video, Joost, etc.
3) Joost is an on-demand TV over broadband service (peer-to-peer, free to download and use and requires no special hardware) that offers media companies an alternative to an IPTV platform. Joost aims to challenge the incumbents' delivery systems - wanting to do for TV what Kazaa did to music and Skype did to telephony.

Bundling Made Simple With a Focus on Customer Lifetime Value.

February 2, 2007

Analysis of:Verizon Adds Wireless Calling to Bundled Services | www.wirelessweek.com

·Verizon’s Freedom packages deliver on the basics of what consumers want from bundled products.
·It appears that a thorough application of Customer Lifetime Value has been applied here - with the Freedom bundles building on the 'quantified' successes of SBC's and UPC's bundling strategy from approximately three years ago.

Previous UK Wireless Broadband Offerings suffered Poor Latency.

February 2, 2007

Analysis of:Sprint WiMAX Spending Creeps Up | gigaom.com

·There are a couple of companies in the UK that have WiMax licences – Pipex and the Hong Kong based PCCW. Indeed there has been much hype and speculation surrounding WiMax in the UK.
· Early WiMax incarnations, such as wireless 3.5Mhz services offered poor latency and customer experience.

The TV Revolution is Well Under Way in Europe.

February 2, 2007

Analysis of:Internet to revolutionize TV in 5 years: Gates | news.yahoo.com

·Rather than being hung up by terms such as Internet TV or IPTV, we should focus on the service and experience that will revolutionize the way consumers watch TV. Europe provides many great examples of innovative services.
·TV/IPTV services will reinforce the bundle as much as telephony and indeed broadband services in pursuit of Multiple Service Operators’ need to generate loyalty and reduce churn. Service differentiation will come in how the experience of separate products combine (see photography application example below).

A Retention Challenge to Providers

January 31, 2007

Analysis of:Will 'unlocked' cellphones free consumers? | www.usatoday.com

Unlocked phones indeed provide more choice for consumers – not just in terms of handsets, but also providers since the SIM card will provide the gateway for services. And so, retention becomes the big battle ground.

Consume Behavior and Technology Drivers of Change in TV

January 31, 2007

Analysis of:Internet to revolutionize TV | news.yahoo.com

-There is too much focus on the technology – not the basics of ‘consumer insight’ in driving change in TV viewing.

-The need to be 'in control' and have content/entertainment on demand should drive the technological innovation from TV and online operators.

-The fiercely competitive UK market illustrates this.

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