Flexibility for the Masses
The trend towards greater flexibility is becoming more apparent in some markets like the U.S. For cost reasons, operators are gradually moving away from the subsidy model, where customers are on long service contracts, to non-contract models, where customers either bring their own equipment or buy it on an instalment plan.
John Legere, CEO of T-Mobile U.S., in December predicted that, “in 2015, two-thirds of devices will be sold without those confusing subsidies, and more than half of U.S. wireless customers will be contract-free.”
When customers are no longer locked in, digital and communications service providers need to make sure they stay attractive – otherwise, customers can churn at any time.
Proactively providing customers with the flexibility to both up- and downgrade their service whenever they choose is critical for sustaining customer loyalty. The more choices you make available, the better you’ll connect with Generation Cloud.
The described changes in customer behaviours, buying preferences and the competitive landscape will make the success of one-size-fits-all offers less and less likely. B2C and B2B customers alike don’t want to be treated as a single entity, so digital and communications service providers must change their approach to one size fits one.
Context is the New King
Flexibility, personalisation and speed are key success factors for digital and communications service providers going forward and looking to get ahead in Nexterday.
To maximise effectiveness as well as prevent customers from being overwhelmed with too many choices, operators should complement policy control and charging with predictive analytics. That way, they can layer the right contexts on top of their offer creation and make the best possible recommendations.
Amazon has already mastered this approach. Those digital and communications service providers that can likewise transform the buying experience to be contextual, convenient and connected will win in the ReConomy.