billing for content cc&b progress and...
TRANSCRIPT
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Billing for ContentCC&B Progress and Challenges
Neil PhilpottPresident, Global Billing Association
&Director, Solutions Strategy, Amdocs
delivering knowledge and networking to the billing community, world wide
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The Wonderful World of Content
• Why are we interested?• What is it?• How difficult is it?• What is the return on investment
(ROI)?• Does it really increase average
revenue per unit(ARPU)?
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Why Content?
RPM: revenue/minute in NA
$0.00$0.02$0.04$0.06$0.08$0.10$0.12$0.14$0.16$0.18$0.20
1Q 01 2Q 01 3Q 01 4Q 01 1Q 02 2Q 02 3Q 02 4Q 02 1Q 03 2Q 03
CPGA weigthed average
$310$320$330$340$350$360$370$380$390$400
1Q 01 2Q 01 3Q 01 4Q 01 1Q 02 2Q 02 3Q 02 4Q 02 1Q 03 2Q 03
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a. Variable data transfer (low speed)• www access & e-mail• corporate LAN access (wireless VPN)• remote workforce data exchange
b. Subscriber-driven formatted data access (pull-information) (low speed)
• air & rail timetables & departure information• stock reports• latest scores traffic reports
c. Provider-driven formatted data supply (push-information) (medium speed)
• daily news and information updates• regularly - e.g. daily or weekly - supplied news and information
d. Value-added content, customer configurable content(high speed)
• music, video, multimedia services• web sites offering goods or services for sale over the net
What is Content?
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What is Billing For Content?The Telecom:
Transporter andBILLER of Value
Voice
Data
Content
Subscriber
People
a. Variable data transfer (low speed)• www access & e-mail• corporate LAN access (wireless VPN)• remote workforce data exchange
b. Subscriber-driven formatted data access (pull-information) (low speed)
• air & rail timetables & departure information• stock reports• latest scores traffic reports
c. Provider-driven formatted data supply (push-information) (medium speed)
• daily news and information updates• regularly - e.g. daily or weekly - supplied news and information
d. Value-added content, customer configurable content(high speed)
• music, video, multimedia services• web sites offering goods or services for sale over the net
Content
Billing for Content is the billing based upon
the direct relative value of the content
rather than utilization of communications
bandwidth
Billing for Content is the billing based upon
the direct relative value of the content
rather than utilization of communications
bandwidth
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Categories of Content Services
Interaction Model; e.g. push/pull e-delivery of stock quotes (transport is negligible)
Transaction Model; e.g. purchase of cinema e-ticket; (transport is negligible)
Streaming Model; e.g. watching CNN, (transport is substantial)
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7delivering knowledge and networking to the billing community, world wide
Order Management
Translation of customer needs into product/service configuration
Customer Service
Integrated management of the interfaces
between customers &
internal processes
Billing & Collections
Rating & Billing of resources used by each customer followed by
collection of receivables
Risk-Management
Ensuring quality of
customer base through credit
check, customer monitoring &
fraud prevention
Source: Veba Telekom
Customer Retention/recovery
Building and managing a “learning relationship” at the individual customer
level
‘New’ processes
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Content & VAS
i-tunes – downloadable MP3 for $0.99 per song-
– MovieBeam, direct video on demand service-
Customized version of Movielink (VOD service)BellSouthprovide gaming and entertainment DSL customers Qwest-Sony
Customized Yahoo! broadband Portal for SBC-Yahoo subscribersSBC-Yahoo!Customized MSN broadband Portal for Verizon-MSN subscribersVerizon-MSN
Disney, Sony, AOL, Google
Disney, Sony, Universal, MTV...
Reuters, BBC, FA Premier League...Hutchison 3G (‘3’)
Wall Street Journal, ABC News, Sony, LA Times...AT&T Wireless
Disney, CNN, Hallmark, MTV...NTT DoCoMoTHQ & Fox (Simpsons), Tomb Raider, UEFA ,Google…
Content ProvidersOperator
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Content & VAS
ÖBB MOBILE TICKETAB-Bahnhof: [wien]AN-Bahnhof: [linz]Name: [muehan]Anzahl Erwachsene: [1][Vollpreis]
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Challenges & Opportunities
• Quality of Service• Customer Management• Content Identification• Pre-paid / Post-paid Convergence• M-payments• Content Roaming• Digital Rights Management• Partner Relationship Management• Context-sensitive Pricing
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Network Quality
Packet delay, Jitter, Throughput, Packet loss,
Availability
Service Quality
Streaming service, Push services, Commerce
Customer Experience
Content server
Own network
3rd party networks
User device
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Quality of Service
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Customer Intimacy
PerceivedValue
Range of Personal Context Time, Device, Location, MyPreferences, Behavior
Profile, Payment history, Balance $
Transport
voice text images audio video multimedia commerce
Services
Super Fan Segment Bundles
$
$
$
Customer Management
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Current pricing includes:
Megabytes, packets, number of WAP
pages, time, flat rate
Pricing must become more intuitive
but identifying content is an issue
Walled gardens
‘Packet sniffing’
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Content Identification
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Pre-paid / Post-paid Convergence
• Payment options: • Pay on bill• Prepaid• credit card• debit card
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Customers need easy to use payment methods
Billing system needs to interface with gateway that
mediates between user and merchant
Need for standards, such as PayCircle
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M-Payments
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Two current models:
ISP roaming – via visited network
HPLMN roaming – via home network (favoured -
good security, tracks customers)
Emergence of GPRS Roaming Exchange
(GRX)
Provides IP connectivity, security, quality of
service
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Content Roaming
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Data exchange direct, or via clearinghouse
GSM – TAP3, and CAMEL phase 3 (volume/duration)
The future will need to accommodate:
LBS, location adverts, home language/currency
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MSC/SGSN
GGSN / PDSNGGSN / PDSN
MSC/SGSN
Home Network
VisitedNetwork
IP/Internet
GRX Backbone
Content Roaming
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Controls access to content against a set of rules
Protects rights of the content owner
Decision to permit / disallow access may be
based on a wide range of parameters
Credit limit, Age, Subscriptions, Maximum number
of accesses allowed, Etc
Execution of rights management requires
agreement and trust between content provider
and service provider
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Digital Rights Management
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NetworkRetail Billing
Customer
Partner
CRM
ContentProvider
Supplier/SalesPartner Interconnect Provider RM Supplier RM
Provisioning
Info
Service Order
Partner Billing Partner Relationship Management
Partner Service
Info
Processes
Provisioning
EDR
EDR
Partner Relationship Management
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Traditional billing
Time, Volume, Distance
IP Billing
IP address, URL, device ID
New: Billing for Context
At home, At work, Different locations (also split billing)
Emergence of context based services
location based, or telematics – a car’s specific location
vs brand of hotel, gas stations
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Context-sensitive Pricing
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Conclusion
Source: 2003 BCE Annual Report
• The hard parts are– Understanding what the
customer wants when they don’t know themselves
– Aligning the whole company to the new business
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Neil PhilpottPresidentGlobal Billing Association
Neil PhilpottDirector
Solutions StrategyAmdocs
Thank you!
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23globalbilling.org
About the GBA
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The Global Billing Association (GBA) delivers Knowledge and
Networking to the Billing community, world wide
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Company Structure
a non profit making companyregistered in the UK
limited by Guarantee
has no shares
exists purely for the benefit of its membersany surplus is re-invested (Web site, events etc)
policy decided by Executive Council
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Executive Council
50/50 between operators and vendors
Sets the direction and policy for the GBA
Members - 75% operators, 25% vendors/SIs
Now open for business in Asia Pacific, Australasia, North America and Europe
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Activities
Process benchmarking for operators (4th year)
Monthly newsletter for members
Web site and archive of notes and newsletters
Complimentary workshops
Regulatory channel
Promote billing issues to other industry groups
Knowledge Integration
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Knowledge Updates - electronicReference Manual
ServiceProvidersurveys
SIG meetings
regional webinars& workshops
issue for discussion:- e-billing- regulation- m-commerce- etc
GBA statement, position paper, report
Association BriefingsCXO BriefingsMarketing/promotion
Members External
Knowledge Integration
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Knowledge Integration
focuses on member’s issues
allows regional discussions
allows easy exchange of ideas/issues, globally
encourages effective communication with wider industry
member driven
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GBA themes for 2004
‘new’ billingmicro billing, billing for content, value chain/partner
revenue managementbenchmarking, ARPU/AMPU, other industries
‘wild card topics’member driven workshops, range of subjects
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Contacts
[email protected] Manager
Mindy Chohan
[email protected] [email protected] van t’Schip
[email protected] Philpott
[email protected] Leslie