The Operator offers both internet services and mobile telephony to its customers.
As with all operators with international roaming agreements, calls to and from other countries is an issue. Subscribers demand transparent pricing structures, which the Operator finds it difficult to live up to. Maintaining an updated and accurate price list for subscribers is a demanding task.
Subscribers also have a false preconception that it is the Operator who is making all the money on the high per-minute roaming charges, while its actually the visited network that earns most. So, how can the Operator help its subscribers to lower international roaming rates, and at the same time increase its margins? The solution is to supplement existing products with mobile VoIP from Challenger Mobile.
For the Operator, the partnership with Challenger Mobile will reduce the per-minute roaming tariffs while maintaining or increasing margins. The Operator can then seriously compete with other actors that offer cheaper alternatives for international roaming calls.
Furthermore, it can create new revenue in its domestic market from already sold data traffic. The Operator and its customers are both winners when it comes to integrating and using Challenger Mobile’s solution.
Although mVoIP is seen as threat to the traditional telecom value chain, it could also provide opportunities for market players, through partnerships between mobile operators and mobile voice OTT providers. Going forward, telecoms operators are expected to move away from blocking or penalizing the usage of VoIP services, in order to avoid the risk of alienating a significant portion of their customer base and increasing churn. Operators can use partnerships as opportunities to establish themselves as innovators and gain market share through cost-efficient customer acquisition. Voice OTT providers like Challenger Mobile will consider partnerships as a chance to accelerate the number of mVoIP users by getting access to operators’ customer base.
Summary of benefits
- Let customers bypass international roaming charges – tariffs are lowered
- Compete with fixed IP telephony thanks to a more attractive mobile phone based offering
- Create new revenues from data traffic in your 3G/LTE network
- Complimentary service that poses no threat to the core business, rather decreases churn.