Two recent news stories perfectly capture the road ahead for telcos and broadband providers in 2015. First is the news that Vodafone 4G customers can access NOW TV live and direct from from their handset – allowing access to content including hundreds of new movies.
In other news, the industry analyst Ovum has warned that at least half of all global telco customers are at risk of churn in the next year.
So, it’s getting harder and harder to keep customers loyal and the telcos are exploring content as an answer. These developments capture the balance that the telcos need to strike.
A smart phone is useless if customers cannot use it to browse the Internet quickly and easily. Likewise, fantastic wifi at home is great, but even better if that fast connection can be used to access interesting content.
The various content deals taking place in the market at present point to an increased desire by the telcos to share network costs, but compete on the content they are offering to customers.
I have talked about this several times on the blog recently, but this Ovum data highlights the importance of getting the package right for customers. Every customer now expects more than just access to a network – that’s just the most basic expectation. Customers are now looking to see which telco will add the most value to their subscription with content they can consume using the network.
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