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Examining how KPN has achieved flexible billing for their Prepaid Services

Examining how KPN has achieved flexible billing for their Prepaid Services. Mieke van Kalker, Product Responsible for Prepaid . Wednesday 26 th September 2004. Outline of presentation. KPN Mobile: Who are we? The Mobile Market in the Netherlands Replacement of the Prepaid platform

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Examining how KPN has achieved flexible billing for their Prepaid Services

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  1. Examining how KPN has achieved flexible billing for their Prepaid Services Mieke van Kalker, Product Responsible for Prepaid Wednesday 26th September 2004

  2. Outline of presentation • KPN Mobile: Who are we? • The Mobile Market in the Netherlands • Replacement of the Prepaid platform • Keeping up with Marketing requirements • Questions?

  3. 15.5 million customers 5735 employees KPN Mobile More than € 5 billion revenue in 2003 Who are we? Strategic partner More than 45 million voice minutes per day 1.450.000 i-mode customers Status 9 augustus 2004

  4. Germany Market share 12.9 % Subscribers 8.71 mln Penetration 82 % Belgium Market share 16 % Subscribers 1.44 mln Penetration 79 % KPN Mobile Division The Netherlands Market share 39.3 % Subscribers 5.41 mln Penetration 85 % Status 9 august 2004 5

  5. The Mobile market in the Netherlands One of the most competitive markets A lot of (emerging) WholeSale / MVNO parties, e.g. 5 network operators, 6 brands

  6. Market share Prepaid customers Ultimo December 2003 Total prepaid base: 7,8 million Orange 13,9% T-Mobile 12,8% KPN Ultimo August 2004 Total prepaid base: 8,7 million 41,6% Telfort 8,9% Vodafone 22,8%

  7. Replacement of the Prepaid Platform • Why replacement? • The Market demand requires a great amount of flexibility in our ICT environment, both from a technical and functional point of view • Existing platform is end –of -life • Selection proces • Telecom Suppliers • Billing suppliers • Convergence with postpaid billing • Complexity • More than 20 interfaces • More than 3,5 million customers • Many different services

  8. Replacement of the Prepaid Platform • Project New Prepaid • Goal is to replace the current PrePay infrastructure with the Alcatel OSP PrePay solution before the end of 2004 • Minimal service interruptions • Seamless migration of current services and customer base

  9. ICT architecture CRM and Marketing Customer Management Product Management Product Customer HLR PrePay Management Reporting MSC (Voice) Real-time Call/ session control SMSC MMSC Real-time Rating Billing data, Account balance Rating GPRS CDR / event -Mediation Finance Network Domain Bill Calculation Service Mediator Bill payments Content Service Domain EBP Banks PostPay

  10. Migration • Migration in Q4 2004 • Migration of vouchers • Migration of subscribers • Migration of data/ MMS amount • Keep the services running at all time

  11. Marketing in a highly competitive market • More than 10 brands, fighting for customers • New ideas, giving away minutes/ SMS • Price war on SMS • Validity of Prepaid Balance • New services, especially on Value added Services

  12. Speed of technical changes • Market demands a quick reaction at all times • Technical changes take time • Challenge to align these two opposites • Explain technical constraints • Be closely involved with new ideas • Suggests possibilities from technical point of view

  13. Loyalty pograms • Prepaid customers are a challenge to keep • They have no contract • Change very quickly • Price is important • New Prepaid cards come with new mobile phones • Possible solutions • Reward high value customers • Keep new services coming • Always stay ahead of the competition

  14. Prepaid in the Netherlands:a fascinating service Any questions?

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