Telcos' business challenges in 2023: How can they overcome them
Telcos' business challenges in 2023: How can they overcome them
The telecommunications industry is a world where change is the only constant. Organizations and the global industry face new challenges every day. This makes it crucial for the executives to understand, adapt, and capitalize on the industry changes. To keep pace with time and address challenges in everyday business, telcos need to put their best foot in front.
The telecom business is a massive industry grossing up to $1 trillion (Source: McKinsey & Company) that makes communication possible around the globe. With the changing work culture, daily usage in terms of communication - IoT, calling, or messaging makes it more demanding day by day. End users are looking for uninterrupted communication at all times. To be at the forefront of connection, telcos need to have a strong network setup, especially in times of crisis, where instant communication is more important than ever.
With the telecoms industry facing challenging times, we examine the top 5 challenges of 2023 and how telcos can overcome them:
Telecom companies are overloaded with customer requests on an everyday basis on various issues. But with the inability to address every concern physically, a quick, personalized, and automated communication solution is highly recommended. Ignoring this can make customers annoyed and unsatisfied, which certainly no business wants.
The coming of OTT platforms like Netflix, Amazon Prime, Disney+ Hulu, and various social media and messaging apps like Facebook, Whatsapp, Instagram, and Twitter have brought customers and telcos on the same page. But, then again not all companies do personalization with every customer. And their messages at times are not customized which ultimately leads to a communication failure. Moreover, these apps require the internet to run.
Telcos can make a switch to a no-app, no-data required platform like moLotus that works on all types of handsets. It is a hyper-personalized mobile video ad platform. Telcos can utilize moLotus’ unique mgram technology that works on GSM technology to send up to 40 secs personalized and customized video communication directly to customers' phone inboxes which can be viewed anytime and anywhere.
moLotus has achieved customer lifetime value maximization goals for its telco partners like Indosat Ooredoo, TM, Celcom, Maxis, and Airtel, by delivering highly personalized & customized interactive mobile video campaigns creating brand exposure, awareness, upselling, cross-selling, lead generation, customer acquisition, retention, loyalty, and support. It's a quick communication platform.
2. Automate your Business and Customer Processes
Automating workflows in the telecom sector can eventually omit human errors while improving all business processes. This makes it easy for customers to skip those long queues on call and simply get all the solutions via one-to-one communication. This also reduces call center costs, compliance costs, and costs of training staff. Using a two-way communication platform like moLotus or new points of contact, you can easily automate simple customer conversations. Its automated API tools significantly offer cost-minimization opportunities.
This mobile video customer interaction platform has multiple communication options like USSD, Calls, SMS, Links, and more to keep the customer engaged. moLotus has now become a key element of the telco's digitization strategy.
Digital technologies can help telecoms stay competitive by adapting to changing customer demands. The coding and integration of telcos are still often complicated. As external vendors, suppliers, and warehouses are added, this becomes inefficient and challenging.
In recent years, telecom companies have tried exploring agile networks and ways to work beyond their software delivery teams. Globally, two-thirds of telcos have conducted agile pilots or built agile teams portfolios. Yet, only a few enterprises have been successfully able to adopt it at scale-applying it to the entire business unit, network, or to the enterprise itself.
It's not due to a lack of results. Globally, we have seen telcos reduce costs by 20% to 50% while speeding up the development process. A factor of ten has been achieved in reducing marketing expenses and increasing release cycle times for new products.
When scaling up agility, companies encounter many obstacles and risk falling into various traps. This is basically because many telcos are still following the old business school module. Here, moLotus can be added when we talk about the agile network.
moLotus breakthrough tech platform helps connect and build rapid flow, and align quick video communication and interaction, with real-time analytics and campaign management. moLotus agility helps implement strategic processes and initiatives that lead to scalable high-impact communication. Its personalized interaction helps in configuring processes and systems integration.
Customer loyalty takes time to build. It's not about acquiring new customers. Actually, it's about retaining and acquiring new customers. It's profitable to get new customers, but it's more beneficial to keep them coming back. To achieve long-term success, you should focus on approaching your current and future customers appropriately.
With moLotus transformation technology, brands and telcos can achieve greater customer loyalty and retention. With technology, customer support systems have evolved to meet the convenience needs of speed-driven consumers. It is now possible for brands to serve their customers via mobile devices. With moLotus, telcos and brands can communicate with their customers in real-time and send events, loyalty cards, digital rewards, reminders, FAQs, and more, instantly.
moLotus has also helped brands like Panasonic Malaysia transform their Physical Card into Mobile cards, better known as mCard. It has helped increase usage & revenue while saving huge costs on printing and processing. The loyalty card is always available on the phone as it reaches customers' phone inboxes and gets saved in their phone gallery. So, no more forgetting about your mobile card on the go!
Brands and telcos can send personalized greetings directly to the users. moLotus is helping telcos and businesses earn more customers and retain them with a highly interactive communication platform.
Big data technology provides telecom companies with accurate and actionable insights that enhance their decision-making process. To improve the delivery of media content, and ultimately the overall customer experience, companies can use network traffic data to gain a better understanding of user behavior.
It is crucial for the telecommunications industry to have a solid data strategy and to find a way to effectively integrate new products and functions. This is because of the volume of data it moves and the complexity of its business processes. To identify and seize market opportunities quickly, they need a system that allows for data segmentation and avoids data redundancy.
Today's constantly connected consumers are easier and more effective to reach through new technologies like moLotus. It is a powerful platform that helps telcos scale and reach their entire subscriber base, instantly. moLotus tools help deliver quality services like real-time customer data optimization.
Telecom operators can develop and execute customer-focused marketing strategies with the help of deep data intelligence platforms such as moLotus. Taking into account interactions, demographics, interests, and languages that are essential in developing strategic plans.
6. Mobile Advertising
In the present day, smartphones provide us with the ability to communicate with one another. Thanks to telecommunication industry advancements, we are closer than ever. A robust digital advertising strategy will enable operators to get closer to their customers. Among the fastest-growing industries, telecommunications continue to thrive on growth and innovation. Device-to-device internet access and high-speed mobile networks continue to fuel innovation and market competition.
For a telecommunications company to thrive, it needs to invest in innovative mobile advertising technologies. According to a report by Statista, in 2020, global mobile ad spending was USD 276.21 billion. This figure is expected to reach USD 495 billion by 2024.
The days of watching television are long gone. With everything turning smart and mobile device-oriented, customers are also becoming way smarter than before. So, as an advertiser you need to be present where your viewers are, to grab their attention. Being present on mobile makes you easily reachable and customer-centric thus increasing brand visibility & awareness. Mobile advertising makes it easy for telcos and brands to reach and engage their target audiences. Operators can use customized and personalized mobile video messages to reach their customers directly.
Timely delivery is valuable as it allows you to measure the performance level of your digital ads. This way better campaign strategies can be made after understanding consumer behavior and wants. Going with mobile ads also enables telcos to be creative and unique. Make sure your ads are catchy so they stick in your customers' minds. Mobile video ads powered by moLotus are presently the most popular kind of mobile ads among telcos and brands. It is a multimedia ad platform wherein ad messages can be designed as per the demography, age, name, and details of the customers.
It is a spam-free, all-handset-compatible mobile video messaging platform that has been used by brands, telcos, and advertisers, worldwide. moLotus high level of automation in ad campaigns ensures high conversion rates. The automated messages are directly sent to the potential customer's mobile inbox in real-time resulting in higher conversion and return on investment.
7. Digital Transformation
Digital transformation is about adapting to a customer-centric, digital world. It helps bring organizations closer to their customers. With automation and transformation, telcos can engage their customers more effectively and efficiently. It is possible for telcos to improve customer experience via business process transformation. Globally, digital transformation is taking place at a rapid pace, and telcos need to follow.
Since revenue generation from traditional telecom services is slowly declining, the telecom industry needs to focus heavily on digital transformation for better earnings. By improving efficiency and digitizing products and services, the industry needs to transform. They should enter into partnerships with digital transformation platforms offering high margins like moLotus. With moLotus breakthrough mobile video interaction platform and a win-win strategic partnership, several telcos have automated and digitally transformed their business processes while monetizing mobile infrastructure. It has helped telcos to earn 100x ROI.
In this cut-throat competitive market space, telecom operators can monetize their assets and infrastructure using moLotus. Operators can maximize their profits and increase revenue sources in light of shrinking revenue trends simply by embracing moLotus digital transformation models.
Telecom service providers use ARPU (Average Monthly Revenue Per User) to measure their performance. In both developed and developing markets, ARPU has been declining for the past decade. Several factors have contributed to this decline, including technological advances, intense competition, and an increase in the use of data over voice. One needs to view the entire scenario from a different perspective to understand if the falling ARPU is a concern.
However, digital marketing platforms like moLotus can help increase ARPU for big telcos by 2% to 4% in 2023. With a moLotus-induced marketing mix, innovative marketing campaigns can be planned, developed, and executed more effectively, resulting in improved EBITDA performance at a lower cost, enhanced response, increased scalability, and low-cost customer interactions, with a key outcome of increasing ARPU.
All current telco marketing campaigns are expected to be shadowed by moLotus mobile advertising platform in 2023, providing even more impact, reach, and interaction. By leveraging moLotus analytics, telecom players can measure customer satisfaction and capture additional customer parameters, ensuring higher conversion rates, and better consumer revenues.
With moLotus, telcos will be able to generate maximum ROI through automated video communication, innovation, and agility in 2023. Telecom operators can save up to 30% on cost; enhance product & brand visibility; simplify and improve customer feedback.
To Conclude
Despite growing connectivity, telcos still have a long way to go. The telecommunications industry must be attentive to the changes taking place on the industry front as well as the expectations of its customers. Mobile video advertising platforms like moLotus offer endless possibilities to telcos to overcome common challenges in 2023 and beyond.