Wireless operators today need to be even more competitive than ever. It is becoming increasingly difficult to maintain and grow market share, revenues and margins.
Historically, operators using conventional pre-provisioned prepaid and contract SIM cards have been unable to offer subscribers choice of number and no ability to select a tariff before using the service.
In most markets prepaid subscribers are the overwhelming majority, and operators commonly rely on indirect sales channels to serve them. These channels can only support relatively simple service configurations, and pre-provisioning of SIM cards means the range of services available to new customers is constrained by SIM card availability. The result is competition on price alone.
Problems with Current Practice
When operators were first building their prepaid customer bases, almost all of them adopted a pre-provisioning process for prepaid SIMs. This was the easiest way to ensure a simple sales process, in the widest range of retail channels. While there was little complexity or variation in handsets or services, it was an ideal solution.
In today's market though, legacy pre-provisioning presents a number of problems:
- Pre-provisioning makes it impossible to offer even a simple personalization like a choice of telephone number, since everything is fixed well before the SIM card reaches the subscriber
- Lack of personalization, insight, and engagement reduces customer loyalty, and leads to high churn
- An active secondary market in numbers has developed in some regions, with retailers and dealers offering attractive numbers at a premium to satisfy customer demand
- Retailing to subscribers becomes complex. New products and services are constrained by the need to manufacture new SIM cards, so you can only meet demand for new products and services by stocking more and more SIM types
- It becomes impossible to ensure that each customer is offered precisely the right products for their device. Heterogeneous devices, SIM card mobility, regional numbering, and the rise of SIM-only deals all mean SIM cards end up in the wrong context for the services provisioned
- Vanity numbers that could attract a premium payment or tariff choices optimized to meet the specific profile of the subscriber and device cannot be offered
- Significant opportunities to enhance customer satisfaction, improve retention, and increase ARPU through improved personalization are being wasted
While these problems remain, operators are forced to compete on price for basic services, instead of competing through differentiation. The result is ever-decreasing revenue and margins.
How We Can Help
Dynamic SIM Allocation™ (DSA) enables you to sell any product in any channel in any region with unprecedented scope for personalization at the point of first use, and greater engagement with existing customers to help reduce churn. Its revolutionary method of provisioning at the moment of first use enables you to offer your subscribers a much more personal experience.
- A personalized dialog with the customer can be used to gain insight and enhance engagement
- A choice of numbers can be offered, presenting subscribers with a choice of digits they value
- Attractive tariffs, options, products, promotions, and upgrades can be offered to the subscriber, targeted on the basis of their device, location, and other criteria
- Subscribers are attracted by enhanced services, not just low price, and ARPUs are increased
DSA can help you address your market in a different way – competing through differentiation and driving revenues up, instead of competing on price and driving them down.