Abstract
Much of the effort in designing innovative packages has historically been
focused on postpay customers. The higher levels of revenue generated by this
group were seen to be more likely to generate a return on the investment
needed. However, in saturated markets where MNOs still need to drive growth
and in developing markets where those with the resources to take out a postpay
contract are the limiting factor, network operators are increasingly turning
to the potential offered by innovative prepay offers to deliver the results
stakeholders are looking for. The marginal costs of extending postpay
innovation into the prepay environment means that lower revenues per user can
still contribute to EBITDA growth. However, not all attempts at prepay
innovation have proven successful and, in some cases, a failure to engage the
customer base has had significant negative consequences for the service
providers concerned.
This report examines the development of innovation in prepay offers,
identifies successes and failures and the reasons for them and concludes with
seven concrete recommendations for operators to help them ensure their efforts
to exploit this area achieve the maximum return.
Table of Contents
- 1. Overview
- 2. Introduction
- 2.1. Background to the Report
- 2.2. Report Content
- 2.3. Currency and Conversions
- 3. Segmenting Prepay Innovations
- 3.1. Defining Prepay Innovation Segments
- 4. Prepay Innovation Examples
- 4.1. Introduction
- 4.2. Mass Market Innovation
- 4.3. New Technology for the Broader (Prepay) Market
- 4.3.1. Introduction
- 4.3.2. 3 UK and Skype
- 4.3.3. Prepay BlackBerry Offers
- 4.3.4. Best Buy in the USA
- 4.3.5. MetroPCS in the USA
- 4.3.5.1. Coverage Issues
- 4.3.5.2. The Offer
- 4.3.6. T-Mobile USA
- 4.3.6.1. Coverage and Availability Issues
- 4.3.6.2. The Offer
- 4.3.7. T-Mobile UK
- 4.3.8. Indosat Indonesia
- 4.4. Targeted Propositions
- 4.4.1. Introduction
- 4.4.2. Boost Mobile - Prepay in the USA
- 4.4.2.1. Background
- 4.4.2.2. Boost Mobile Position
- 4.4.2.3. The Boost Mobile Monthly Unlimited Plan
- 4.4.3. SingTel Nationality-Based Community Groups
- 4.4.4. Prepay SIMs for International Calling
- 4.4.4.1. Introduction
- 4.4.4.2. sim2dial from QiComm in the UK
- 4.4.4.3. GO-SIM International Roaming SIM
- 4.4.4.4. Other Roaming SIM Offers
- 4.5. Targeted Technology-based Propositions
- 4.5.1. Introduction
- 4.5.2. Prepay Mobile Broadband Service
- 5. Conclusions and Recommendations
- 5.1. Main Findings
- 5.2. Recommendations
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