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Network services for developing the future

Network services for developing the future. Best Of Wireless – 26/11 B. Lemaire. Agenda. Belgacom Mobile – The Company A changing market, and the Proximus approach From infotainment to any business. Who is Proximus ?. 25%. 75%. Proximus Vision.

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Network services for developing the future

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  1. Network services for developing the future Best Of Wireless – 26/11 B. Lemaire

  2. Agenda • Belgacom Mobile – The Company • A changing market, and the Proximus approach • From infotainment to any business

  3. Who is Proximus ? 25% 75%

  4. Proximus Vision My mobile, my personal assistant, always, everywhere Sport Traffic information Adressbook Stock quotes IVR Positioning News Dispatching Media conversion Fax Unified messaging Gambling e- mail Gaming Voice mail Ticketing Time tables Calender Workgroup Reminders coordination Payments File transfer Banking Internet access Weather Forecasts Account queries

  5. Agenda • Belgacom Mobile – The Company • A changing market, and the Proximus approach • From infotainment to any business

  6. Mobile World evolving from simple to complex 3G - Tomorrow 2G - Yesterday Voice Telco/ Network Operator User Infrastructure Devices Delivering rich 3G service portfolios require a multitude of players. Mobile operators will only be one of these players, having to deal with business models in complex partnerships and two broad sets of customers: - end-users: retail (B2C, B2B) - service/application/content providers: wholesale (B2B2B, B2B2C)

  7. Approaching customers under different models CUSTOMERS Consumers / Business Partners who develop and provide applications/services that run on the Proximus network PROXIMUS OFFER B2B RES Content Providers ISP ASP CONTENT PROVIDERS PROXIMUS PORTAL MDG CONTENT AGGREG. NETWORK SERVICES OFFER NETWORK SERVICES LAYER (Commercial access proposition) BEARER SERVICES LAYER (Core network business) Proximus Other Player

  8. Part of our future growth depends mobile data services • Data development are one of the axes that will support the revenue growth of any operator • Business models are key to encourage merchants to develop & offer a large portfolio of goods & services • Access for customers to those goods & services should be secure & easy to use • Proximus needs to play an active role in developing data services • The network services are a natural extension of Proximus existing business: • capacity to manage a large customer base (4.2 Mio active customers) • ability to handle massive numbers of small transactions • capability to bill and collect payments, to control access and spending and to prevent fraud • telecom business is secure (both network & devices)

  9. Proximus Value added Network&Services Goals SMSC Location information MMSC Billing Customer services Network and customer base Mobile operator ISP ASP Content Providers • Revenue share business model • Customer support • Operational excellence • Commercial support Business Partners

  10. Content Provider Connection through : - Leased line - Bilan - IP Proximus  SMS-C  3rd party Mobistar Content Provider SMS-C  Content Provider Base  SMS-C Content Provider Third parties : SMS wholesale Technical configuration And MMS or Location information…

  11. And today, roles and responsibilities… Operator Third party Content provider ProximusMobistarBase e.g.:Paratel, Netsize, Mcube, TMSC, Mobile Way, Telitas, Wap MX, GSM Online, K-Mobile, Jippii e.g.:RTL, VTM, VT4WilstoDe Persgroep, Etri… Roles & Responsibilities • Short code • Billing • Network • Support to 3rd party & content provider • End-User Support • Customer service (opt-in/opt-out…) • Content offer • Applications • Marketing push • Gateway • Coordination with mobile operators • Application provider

  12. The Value Chain ContentCreator Content Provider Application Provider Merchant Gateway Operator End-user Etri Digital Fun Kiwee KMI VTM Jim TV VUM Rendez-vous.be ... Ring Ring Codepartners Zoyd NE Way ... Etri Digital Fun Kiwee KMI TMF De Standaard Rendez-vous.be ... Telitas Goldenbytes Netsize Ring Ring Paratel MCube ProximusMobistar Base Etri Reuters Digital Fun VTM VT4 Jim TV VUM ...

  13. Agenda • Belgacom Mobile – The Company • A changing market, and the Proximus approach • From entertainment to integration in all business

  14. From Entertainment… • Existing business has started with mainly infotainment: • Logo’s and tones • TV interaction • This area of business continues to develop through more sophisticated applications: • Java gaming • Music download • Increased interactivity • MMS wall papers • … The infotainment market is evolving from simple 160 characters messaging to sophisticated applications as the handset market enables this type of applications.

  15. Proximus mobile business solutions • Responding to 3 Business customers needs : • improve productivity • control cost • generate revenues • A customised approach • With partners to deliver end-to-end solutions

  16. …To integration in all business • Business outside the entertainment are now more and more entering the use of mobile device as development area: • Inclusion in distribution channel/process (i.e. use of sms for sales from a distance) • Mobile becomes just another media in the marketing mix (i.e. mobile advertising) • CRM tool (i.e. contacting the customer for confirming reservations to a seminar) • … • Why? • Penetration rates • Customer intimacy • Efficiency compared to other media

  17. Why? - Penetration rates SMS The penetration of SMS is such that it covers an extremely substantial part of the Belgian population. Basis: GSM-users in Belgium

  18. Why? - Penetration rates SMS (N=400 Px customers; 200 postpaid, 200 prepaid)

  19. Why? – Customer intimacy • A mobile phone gives access directly to the user • In addition it is a personal object • It is therefore a dream tool for any marketer, as it enables a direct personal contact with the consumer. • Therefore it is also a tool to handle with care as wrong use will create more rejection than adherence: • E-mail was also considered as a dream tool , however spamming lead to customer rejection • Avoiding the e-mail spamming phenomena will only be achieved by remaining close to the consumer and the respect of the applicable laws: • opt-in, opt-out, • clear and simple procedures, • fair trade practices • …

  20. Why? Efficiency compared to other media Mobile marketing (in this case SMS), showed a high efficiency both on cost and response rate. Source: Forrester research – the marketeer guide to sms

  21. Further evolution Time: 09:45, Nov 4, 2002 From: Take-away From: Find a friend Weekend promo, 2 for the price of 1 INFORMATION SERVICES Call 906 123 456 to Purchase now. • SMS continues to develop itself strongly as it did over the past three years. • MMS and Location will follow the same trend, while offering increased potentials thanks to its multi-media capabilities. • Proximus will support actively the development of MMS like we did for SMS. As of the moment that: • There will be increased penetration • Interoperability will be there • The market will come to a technical maturity MMS will definitely be a killer application. • MMS EXAMPLES: • .

  22. Conclusion • As part of their strategy, Proximus has facilitated the use of SMS by third parties • This has translated itself into first inclusion of the mobile device into entertainment sector through things like logo’s, ring tones, and TV interactivity with as main driver the generation of revenues • More and more mobile is included in non entertainment business. • Because mobile : • Have extremely high penetration rates • Gives access to the customer like never before • Is extremely efficient in reaching the consumer • SMS, MMS and LBS provide enhanced possibilities that enlarge the tools that are available to support the business of any company in search of developing his activities.

  23. THANK YOU! Boris Lemaire Belgacom Mobile BMD – Marketing – Network Services Market Manager Network Services Boris.lemaire@proximus.net +32.2.205.41.24.

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