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In the mobile telecom industry, optimizing revenue growth continues to be a key success factor. Mobile operators face a range of macroeconomic and structural challenges that are unique to their markets. Despite this, telecom operators can be grouped into three general categories: early phase, growth phase, and advanced phase. To boost revenue, telcos can focus on a select few strategies that apply to their specific development phase.

Defining which phase an operator is at involves an analysis of market maturity, including:

  • Economic condition 
  • Network development
  • Smartphone penetration
  • Regulatory situation
  • Demographics
  • Education literacy rates
  • Political conditions

 

 

Once the development phase is determined, telcos can take strategic action to optimize their capacity to generate revenue within their market conditions. 

Early phase

Early phase operators usually have a limited service offering. This can be due to internal challenges with resources and technology or due to the broader macro conditions. However, these conditions mean that early phase operators have plenty of opportunities for growth. Early phase telco operators should focus on the following strategies: 

  • Diversifying the recharge product offering
  • Offering microloan services
  • Introducing a mechanism allowing subscribers to self-register as resellers
  • Introducing value-added services bundles

Growth phase

Telcos in a growth phase market typically experience high revenue growth but experience increased competition as the market becomes more attractive to other operators. Growth phase telco operators should focus on the following strategies: 

  • Adopting an agile and adaptable go-to-market strategy
  • Implementing revenue booster services
  • Using intelligent profiling and profile-based recommendations
  • Introducing advanced mobile wallet offerings

Advanced phase

Usually, advanced phase telecom operators operate in mature markets where revenue growth is stable and consumer demand is stagnant. Because of this, delivering innovation and exceptional service is key to retaining a competitive edge. Advanced phase telco operators should focus on the following strategies: 

  • Introducing sales force optimization
  • Implementing campaign and incentive management strategies
  • Introducing a complete sales and distribution ecosystem
  • Offering loyalty and gamification programs

To find out more about the development phases and strategies for optimizing revenue, download our guide.

Author Mahwish Ilyas

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