mobile number portability_roll no_38!39!40

8/3/2019 Mobile Number Portability_Roll No_38!39!40

1/13

Mobile Number Portability

and

Customer Retention

Rohit Kumar Sarang

Sarthak Parnami

Satya Prakash


2/13

What is Mobile NumberPortability?

Without Mobile Number Portability, consumers are forced to changetheir number if they change service providersA fundamentalbarrier for new entrants

Research conducted by the Singapore regulator in 2005 indicated that64% of consumers considered it critical to keep theirnumber when switching mobile service providers

A 2005 survey in Canada found that80% of mobilesubscribers want the option to keep their number


3/13

Some Highlights in IndianContext

Mobile Subscribers in India : 874.68 Million

Active mobile subscribers is 70% at 588.13 Million

Idea leads with 92.33% active users.

MTNL has 34.39% active.

Mobile Number Portability (MNP) requests increase from 8.54Mn subscribersat the end of April 2011 to 10.57Mn subscribers at the end of May 2011

More than 60 countries have already adopted Mobile Number Portability

India will be 8th country in Asia to launch MNP


4/13

Reasons why customers switchoperators

1

3

3

3

6

8

99

11

18

47

0 10 20 30 40 50

Factors(%age)

Subscription Plan Price

Free Goodies/HeadphonesRewards

Customer Service

Offers/Promotions

Brand Image

Bundled Services

IDD Services

Auto-Roaming

Billing

Others


5/13

Two Weeks after MNP Launch

Top Gainers In Mobile NumberPortability

Operator Port-In Port-OutNet

Gain

Vodafone 94747 44041 50706

Idea Cellular 74978 43011 31967

Aircel 36650 14574 22076

Airtel 77240 60970 16270

Tata TeleGSM 41448 25360 16088

Top Losers In Mobile NumberPortability

Operator Port-InPort-Out Net Gain

BSNL 13522 61315 -47,793

Reliance 1664 35663 -33, 999

Tata TeleCDMA 1573 26251 -24,678

Reliance

CDMA 343 23264 -22,921

AdWords CPC and AdSense CPC for Mobile related keywords went up 200% with the launch of MNP in India

(31st January ,2011)


6/13

Major Telecom Providers In Indiaand prevailing scenario

Bharti Airtel - Neutral

Market leader and Most popular among the high spending group Least competitive tariff plans but it offers wide range of VAS 90% penetration in rural India Pricing competition and innovation to play the major role

Idea - Negative

No unique services Innovative adverting and focus on 3G services Follower in the GSM space

Reliance Communication - Positive

Leader in the CDMA telecom services Presence in GSM segment as well Best available tariff plans after TATA Tele services

Most popular telecom operator in rural areas


7/13

Contd..

MTNL

Positive First one to launch 3G technology MNP implementation will turnaround the company as 3G

demanding customer switch to the MTNL

TTML - Positive

Ranked No. 1 in the overall customer satisfaction (by TRAI)

Most popular in less spending subscribers group Tata DoCoMo becoming popular TTS offers cheapest plans in India Existing customer is less likely to switch as company is

providing competitive plans and likely to offer value addedservices.


8/13

The Defenders: Airtel andVodafoneAIRTEL : Largest operator = Biggest Risk

Providing more value to existing customers through

"My Airtel My Offer

"Start Stop

The "My Airtel My Offer"

Customised services suited to individual requirements Based on the customers' past usage, current recharge behavior and

VAS preferences

VODAFONE

Focus on Value Added Services through the Zoo Zoo campaign Wide variety ofVAS

Voice SMS

Fashion Tips

Dating Tips

Phonebook backups

Innovative Advertising and Brand Image building through VAS


9/13

C E d


10/13

Customer Engagement andRetentionContd.

Insights Create analytics-driven, actionable consumer insights.

Use call behavior, past interactions with the company and basictransaction data as the source.

Customer focus intent

Consumer Awareness

Educate your customers and empower customer decisions that arebest suited for him/her in the long run

Personalize:

Customize interaction at every possible touch-point

Be it an SMS, an electronic mailer, an outbound call or a visit towebsite

Every interaction has to be meaningful.

The right offer at the right time through the right channel


11/13

Impact of MNP on MobileOperators

Benefits

It increases competition by allowing consumers to switchservice providers, giving a chance for new players to compete

Fair chance to all the service providers

It can bring consolidation to the industry and higher level ofmaturity

Drawbacks

Increase in attrition rate

Increases price competition High pressure on margins as marketing and sales costs could

increase

Increasing costs on improving Quality of Service as a way tokeep customers satisfied


12/13

Impact of MNP on End users

Benefits Free mobility from one service provider to another,

without losing their mobile number

Attractive offering either for retention or change

Player will have a higher pressure on enhancingtheir offering and quality of service

Drawbacks

Depending the regulation porting charges can beexpensive for low ARPU segments

Often, waiting time is too long and the process canbe complex resulting in a lot of hazzle for end users


13/13

Thank You

mobile number portability_roll no_38!39!40

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