New opportunities for mobile operators to increase revenue from non-traditional sources.
As mobile markets mature all over the world, mobile operators need to find new sources of revenue. With penetration rates exceeding 100%, the traditional business of winning new subscribers is increasingly becoming a zero-sum game which puts an immense pressure on prices with few prospects for long-term growth.
In this market landscape, wholesale provides opportunities to grow revenues from non-traditional sources, as well as leveraging the market access of virtual operators wanting to offer mobile services to niche segments. Enterprises and organisations interested in reaching out to customers, employees and other contacts have created a market for terminating A2P text messages to subscribers. The growth of IoT applications also means that an increasing number of new actors such as device manufacturers and service companies are interested in establishing mobile connectivity globally. Finally, the MVNO business model enables operators to sell capacity wholesale to external actors specialised in targeting specific market segments.
For operators ready to take on wholesale opportunities, a whole new range of revenues is waiting!
Succeeding in wholesale
To grow in the wholesale market, mobile network operators must ensure that they can offer what customers need. These needs depend on the markets served, and each market has its own challenges.
The enterprise messaging, or A2P, opportunity, is growing rapidly as organisations realise the value of communicating using text messaging. The global and immediate reach of text messages means that enterprise messaging revenues are about to overtake traditional text messaging revenues, but network operators must protect their network to profit from this new market. A large portion of enterprise messaging traffic is delivered via so-called grey routes that do not provide any compensation to the terminating party. Thus, operators must make sure that these messages are routed via channels compensating for termination to profit.
For IoT applications, it is important to establish relationships with industry actors that can connect you to the customers. Few customers are large enough to establish relationships with operators in every market where they need connectivity, relying instead on aggregators that connect to operators globally and resell connectivity.
To reach actors in the MVNO market, service providers must offer services that cater for customer needs. Dedicated solutions handling their MVNO subscribers give MVNOs the flexibility they need to reach their niche segments, while separating MVNO operations from the operator’s own offering.
Monetising wholesale with Symsoft
Symsoft offers a range of solutions that help communication mobile operators profit from wholesale opportunities:
- Symsoft SMS Firewall, in combination with Symsoft Firewall Update Service, helps service providers profit from the enterprise messaging opportunity. To explore your opportunity in this area, contact Symsoft for an estimate of how much you could profit from a protected network and to perform an Enterprise Messaging Business Audit
- Symsoft’s sister company CLX Communications sells mobile connectivity to companies globally, establishing connections to operators to serve IoT customers.
- Symsoft MVNE & MVNO Solutions provides a complete portfolio for handling MVNOs in your network, all the way from the core network to charging, billing and customer care.
Read more about these products, or contact us to know more!