Presentation Analysys Mason Research Key Themes for 213 25 October 212 Alexandra Rehak
2 Analysys Mason s research programmes cover key telecoms services and technologies globally Research practices Research programmes Research programmes Consumer Services Fixed Broadband and Media Mobile Broadband and Devices Mobile Content and Applications Voice and Messaging Enterprise Enterprise (focus areas: M2M and Cloud) SME Strategies Network Technologies Fixed Networks Wireless Networks Spectrum Data and Regional Markets Europe Country Reports Core Forecasts Telecoms Market Matrix MEA Middle East and Africa Asia Pacific Asia Pacific India Wireless Software Applications Software Data Software Strategies Telecoms Software Revenue Management Infrastructure Solutions Service Assurance Service Delivery Platform Customer Care Service Fulfilment Telecoms Software Market Shares Telecoms Software Forecasts Telecoms Software Strategies Service Provider Strategies
Analysys Mason Research Key themes for 213 3 Our 212/213 research addresses 5 key themes Driving growth in a low-growth environment Understanding and improving the customer experience Protecting core service revenues Maximising effectiveness of investments Innovation strategies: finding the right niche in the value chain
Retail revenue (EUR (211) billion) Retail revenue (EUR (211) billion) Analysys Mason Research Key themes for 213 In an environment where telecoms revenues are flat or declining Fixed and mobile retail revenue, Western Europe, 29-217 Fixed and mobile retail revenue, Central and Eastern Europe, 29 217 4 14 45 12 1 4 35 3 8 25 6 2 4 15 1 2 5 29 21 211 212 213 214 215 216 217 Mobile Fixed Mobile Fixed Note: Revenue is shown in EUR (211), where local currencies are converted using the average exchange rate for 211.
211 212 213 214 215 216 217 218 219 22 221 Connections (billion) Analysys Mason Research Key themes for 213 driving revenue growth from existing and new sources is a key challenge for operators 5 Targeting segmented niches effectively: prepaid low-end smartphone users/featurephone users SIM-only offerings In the enterprise sector: SMEs and SoHos; BYOD users support from analytics New services: M2M Device Connections Worldwide: 2122-221 2.5 2. 1.5 1..5 LTE IPTV. Cloud M2M B2B2C Utilities Automotive and transport Retail Financial services Security Healthcare Government
Analysys Mason Research Key themes for 213 Protecting core service revenues from competition and cannibalisation Pricing strategies and subsidies Bundling / multiplay Benchmarking Churn reduction (analytics, loyalty, targeted marketing) 6 Connected Consumer Survey 212: Mobile and fixed broadband subscriber intentions Have only mobile broadband 14% 7% of consumers that take both fixed and mobile broadband services are planning to give up their fixed line 21% of consumers that have only mobile broadband are considering also taking up fixed broadband Have mobile and fixed broadband 86% 48% of consumers that plan to take up mobile broadband intend to use it as their only broadband service
Analysys Mason Research Key themes for 213 Innovation strategies: finding the right niche in the value chain OTT: countering the third-party threat, telco OTT Mobile content and applications, advertising, payments services, app stores Two-sided business models and wholesale opportunities: e.g., open APIs Partnering and investment - with developers, vendors, content providers SME and Enterprise wholesale/white-label service strategies 7 Two-sided operator business model
VDSL-CO FTTC/VDSL FTTB/VDSL FTTH/GPON FTTH/PTP Years USD VDSL-CO VDSL-CO FTTC/VDSL FTTC/VDSL FTTB/VDSL FTTB/VDSL FTTH/GPON FTTH/GPON FTTH/PTP FTTH/PTP Cost per premises (USD) Analysys Mason Research Key themes for 213 Maximising the effectiveness of investments in infrastructure, platforms, software, and devices Wireless: WiFi and offload 2G switchoff, 4G launches Spectrum crunch myth or reality Infrastructure-sharing strategies Network investments vs traffic growth Fixed: Optimising FTTn Accelerated DSL Phasing out TDM Software: Forecasting IT spend; customer care and revenue assurance strategies 8 6 4 2 25 2 15 1 5 Cost per premises passed and connected for NGA technologies Cost recovery required by subs per month for NGA technologies 1 5 Asset life 8 Recovery/ sub/ month
Pecentage of panellists Analysys Mason Research - Key themes for 213 Understanding and improving the customer experience is a key element of success 9 How consumer usage and attitudes are changing Active use of different communication apps among smartphone panellists, by country Device evolution and the impact on the customer experience Multi-screen, TV Everywhere offerings Churn prevention strategies On the enterprise side impact of mobility, BYOD 1% 9% 8% 7% 6% 5% 4% 3% 2% 1% % USA UK France Germany Spain Email SMS Social networking IM/OTT VoIP The penetration of OTT communications services amongst smartphone users in Spain was due to a combination of high unit prices for telecoms services and ever-increasing affordability issues in the country. Spain serves as a magnified example of the impact of the recession. Source: Analysys Mason and Arbitron Mobile, 212