Cross-selling and Upselling With Content & Adjacent Services
2016.08.16   |   50 pages   |   Direction, Strategy and Brand Differentiation

Author:
Pippa Walton


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Operators face new and more dangerous challenges brought about by evolution in data consumption and the market for digital services.

New service areas are being developed, such as the connected home, sophisticated mobile money services and personal health and fitness applications, that have the potential to increase mobile usage but also to disintermediate the MNO.  Mainstream content consumption has evolved from downloads to streaming, and users in developed and developing markets are quite happy to deal direct with content owners rather than requiring someone to curate content for them.  Skinny bundles with a high degree of personalisation are required when dealing with these sophisticated and increasingly cost-conscious consumers.

MNOs have a unique opportunity to exploit their existing assets (networks, customer relationships, partnerships, billing and support systems) to increase their share of the total spend of these new consumers.  If successful, they will have a strong role to play in the new digital content-oriented markets.  If they do not carve out their own role, they stand to be bypassed and confined to connectivity provision at marginal profitability.

This report looks at services operators are already using to maintain and increase the value of their existing customers and explores how innovative and flexible product design and relationship management, combined with effective cross-selling and upselling, can help to ensure a more central (and profitable) future.

 

Companies: Yonder Music, Orange, Telia, TDC, YouSee, Vodafone, Millicom, AT&T, T-Mobile, Deezer, Safaricom, Spotify, Facebook, Twitter, Skype, WhatsApp, Google, Apple, Microsoft, Cisco, YouTube, Twitch, Wikipedia, Econet, SMART Communications, Tele2, HBO, Readly, Storytel, Texture, Sprint, Amazon, Rogers Communications, LINE, Sky,  Verizon, Asurion, MTN, Axiata, Tigo, Digicel, Warid, Bima

Countries: World, USA, Canada, Latin America, Europe, France, Sweden, Denmark, Africa, Kenya, Zimbabwe, Uganda, Ghana, Senegal, South East Asia, Philippines,  India, 

Keywords: Data charging, upselling, Customer Experience, Unbanked, Streaming, TV, Applications Convergence, User Generated Content, Music, Multi-play, Cross-selling, content, Video, IoT, Social Networks, Insurance, Data, Convergence, UGC, Technical Support, Personalisation, Mobile Money, Content curation, Discounts, Data consumption, Pay TV, Bundles,

1

Overview

1

2

Introduction

2

2.1

Background to the Report

2

2.2

Report Content

3

2.3

Currency and Conversions

3

2.4

Further Questions and Feedback

4

3

Growth in Mobile Data Traffic

5

3.1

All Data Traffic

5

3.2

Music & Video

7

3.3

Video Games

7

4

Customer Development

9

4.1

Developed and Developing Markets

9

4.2

Cross-selling & Upselling

10

5

Upselling Products and Services

13

5.1

Video and Other Content

13

5.1.1

Innovation in Data Consumption and Charging

13

5.1.2

Local Content

15

5.1.3

4G and 4G+ Services

15

5.1.4

Content Curation

16

5.1.5

E-books and Magazines

16

5.1.6

Music Services

18

5.1.7

Evolving Business Models in TV and Video

20

5.2

Handset Insurance & Technical Support

22

5.3

Mobile Money

23

5.3.1

Background

23

5.3.2

MNO Benefits From Mobile Money

26

5.3.3

Inhibitors to Growth

26

5.4

General Insurance Services

27

6

Upselling & Cross-Selling Approaches

30

6.1

Yonder Music USA

30

6.2

Orange France

31

6.2.1

Mobile Money

34

6.3

Telia Sweden

35

6.4

TDC Denmark/YouSee

37

6.5

Vodafone and M-Pesa

38

6.6

Millicom

39

6.7

AT&T USA

40

6.8

T-Mobile USA

42

7

Key Findings

46

8

Recommendations

49

 

Appendix – Feedback Questions

51

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