The mobile broadband market is expected to grow this year. Ovum, an advisory and consulting firm, forecasts that the global mobile broadband market will generate revenues of $137 billion in 2014. That’s a 450% increase from 2008. Ovum also warned telecom operators that user growth will be faster compared to revenue growth for 2014. Ovum’s forecast was reported by the Australian Mobile Telecommunications Association.
There will be over 2 billion mobile broadband users (3G and 3G+ technologies) in 2014. That’s a big jump from just 181 million in 2008. The advisory and consulting firm also expects growth in the global number of users who access mobile broadband services through laptops that connect through USB modems, data cards or through embedded mobile module. The numbers of users who use mobile broadband this way are expected to reach 258 million in 2014.
Ovum’s warning about revenue growth lagging behind user growth for 2014 presents a challenge to telecom operators who are increasingly under pressure to maximise revenues. The development of new technologies provides new opportunities for telecom operators to overcome challenges to increase revenues.
Apps Point the Way for Mobile Marketing for Telecom Operators
Since mobile broadband consumers are likely to consume the service on their smartphones, it would be wise for telecom operators to provide their users with an app that serves many purposes that help operators communicate and engage with their users. Let’s look at some of the features of this app:
Monitor Data Consumption
Mobile broadband consumers need a way to monitor their data use. Ericsson’s study on the consumer trends that was discussed on MoneyMax’s blog show that consumers want to make sure that their telecom operators are not overcharging them for the data they use.
Telecom operators could therefore offer an app that allows their customers to monitor their data usage. Ericsson’s study already shows that 48% of respondents in several major cities already use apps to monitor their data consumption.
With an app equipped with this functionality, customers have a way to monitor their data use so they don’t incur any new fees. Customers are also more likely to download an app for monitoring their data usage from their own telco provider as users perceive this to be more reliable.
The advantage of offering an app with this functionality is that it can increase customer satisfaction. Customer satisfaction is always important for driving customer loyalty which can be translated with minimal effort to greater revenues for the company.
Geolocation
Telecom operators are also sitting on a goldmine of data that they can unlock with the app. The app can be customised according to location so that it can serve relevant area-specific information to the user. It can also alert users about service interruptions in specific areas and this is great for reducing consumer complaints about the quality of service they receive from their operators.
More importantly, an app that’s geo-aware can help telecom operators add another revenue stream by offering marketers a way to offer hyper-local promotions. The app for example, can alert users of deals from nearby stores that are aligned with their interests. Google and Facebook are some of the companies trying to offer this service to consumers so telecom operators shouldn’t be left behind in this race.
Mobile Advertising
The app also offered telecom operators a way to reach out to their user base through advertising. Telecom operators can leverage their position as their customer’s mobile broadband provider to offer in-app advertising to marketers.
Assuring their Customers Have the Best Broadband Plans
Telecom operators don’t just have to worry about increasing their broadband plans but they also need to ensure they’re offering the best broadband plans to their customers. They may be worried about increasing revenues but this doesn’t excuse them from keeping promises to their customers, which is to provide them with the best broadband service available.
Operators need to make sure downtimes and service interruptions are kept at a minimum, and that their customers are getting the right download and upload speeds they promised their customers. Developing an app that has all the fancy features we discussed will only go to waste if customers are frustrated with the quality of service they get from their telecom provider.
In essence, apps that aid consumers in monitoring their mobile broadband data usage can help increase customer engagement and customer satisfaction. And more importantly for telecom operators, apps like these also provide a new revenue stream as they offer marketers a new way to reach their own user base.