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Global digitaltelecoms playbook
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About this document
PurposeOperators need to move from beingcommunication service providers (CSPs) to digital
service providers (DSPs). The Global digital
telecom playbook and EY’s advisory services can
help operators with this transformation.
Target audienceQuad-play operators
Triple-play operators
Adjacent industry service providers
Content
EY point of view
Digital solutions
Industry challenges
1
2
3 Communicationservice provider Digital serviceprovider
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C o n t e n t s
Macro context: markets and customers
Telco 2020: the future
Telco segments and digital maturity
Value chain elements deep dive
Solutions and mapping to digital offerings
Digital maturity modeling toolkit
EY capabilities
p01
p08
p15
p18
p29
p41
p45
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Macro context: markets and customers
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2 | Global Digital Telecoms Playbook
Markets and industry stakeholders
Commoditization Limited acquisition
led growth
Alternative
products andbusiness models
Market dynamics
Customer
Organization
Ecosystem
Challenges
• Overall loss of velocity due to slow growth led by declining acquisitionor upsell
• Rising expectations of service with the fast-evolving digital customer
• Decreasing agility induced by years of legacy
• Increasing pressure on margins with declining prices
• Fragile revenue market share with new business models popping up
• Consolidation in industry and pressure to realize group synergies
• Cost pressures mounted by advancing network technologies
• Paralysis due to certain regulatory environments
• Unknown competition with the advent of digital
• Loss of customer ownership to OTT and OS players
Opportunities
• Differentiation and loyalty-building through customerexperience excellence
• Leverage the M2M space by forging strong partnerships with network
management and software platform providers
• The huge digital divide in emerging markets offers immense potential
for the next wave of growth
• Operational effectiveness through state-of-the-art processes,technology, partnering and culture shift
• Leverage capabilities to create own OTT monopolies
• Become enabler champion (e.g., client management) for entire ecosystem
Commoditization
Commoditization Saturation Alternative
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3 | Global Digital Telecoms Playbook
Markets and industry stakeholders
• Digitally evolved
• Higher service expectation
• Low loyalty
Customers
• Compliance inducing
critical delay
• Regulatory tightening
• Articial spectrum scarcity
Regulatory authorities
• Fringe cost model
• Lower time to market
• More innovative
• Global customer reach
Internet players/OTTs
• Aggressive independent
payment platforms
• Regulatory bottlenecks for
telcos as banks
Payment associates
• Advancing technology
• Expensive upgrades
• Omni-channel reach
Equipment andtechnology providers
• Declining dependence on
operators for bundling
• Customer choice evolving from
connectivity to devices to OS
Device manufacturers
Stakeholders
Industry stakeholders dynamics
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4 | Global Digital Telecoms Playbook
Globally, key digital trends have triggered operators’ transformation toward beingdigital service providers
Over-the-top
Big data
1
2
Content
Focus areas
Distribution
Targeted product andmarketing offers
Connectivity
New business modelsenablement
Screen
Network experienceoptimization
User
Proactivedata strategies
ServicesInternetaccess
DevicesConsumer
insightApps
App store/retailing
Data mart provider forcustomer data sets
App store/retailing
Platform provider forinformation processing
Provide insights to partnersfor improving servicesg
Suite of servicescatering to third parties
TelephonySoftware/platform
Discovery
Mobile operators are now open and receptive to partnering withOTT service providers and exploring new revenue oportunities.
Exponential growth in the volume and velocity of datagenerated is creating huge opportunities in big data.
• Telecoms is both a consumer and provider of big data services.
• Telecoms opportunities with big data:
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Globally, key digital trends have triggered operators’ transformation toward beingdigital service providers
E-payments IoT/ M2M3 4With the advent of the digital customer, CSPs will have to invest indigital payments
New business opportunities are emerging from the possibility of connectingnew devices and industriess.
o’
Internet of
Things
Transportation
and logisitics
Industrial
and energy
Medical
and health care
Security
and surveillance
Telc to providecommunication infrastructure
Logisitics
s
Customercard holder and mobile subscriber
NFC-
enabled
handset
New for eWallet
NFC
Merchant Customer’s Bank
Trusted Service Manager(TSM)
Carrier
Potential rental fee per
customer for updatingdata on card
Potential rental fee for UICCslot for an eWallet application
Potential rental fee forslot on UICC card
Mobile subscription fee and/ potentially eWallet fee
Annual credit card feeand potential eWallet fee
interchange fee for
transferring funds
customer paysmerchant for product
Trusted service manager
Customer’s bank
Telcos to provide
communication infrastructure
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Globally, key digital trends have triggered operators’ transformation toward beingdigital service providers
Mobile Advertising Cloud computing5 6Large latent mobile advertising opportunities are still untappedin many parts of the world.
Cloud-based infrastructure presents opportunities to acquirelarge-scale exibility quickly.
Mediachannel andadvertising
services
Advertisingcampaigncreation
Ad sales Technology Targeting Ad serviceCampaignanalytics
Manage
the channel
on which
advertising
is displayed
Create
campaign
and advise
announcers
Sell the ad
inventory
Provide
technology
for ad
provisioning
Provide
customer
intelligence
for ad
delivery
Run the
ad serving
engine
Collect and
provide
campaigns’
results to
announcers Delivering cloud
Third-party Third-party
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Customer 2.0
7 | Global Digital Telecoms Playbook
Customer exposure to host of digital interfaces is increasing rapidly
Customer 2.0 is forcing ecosystem players to provide digital interfaces and consistency of digital experiences across channels
VASWord ofmouth
Traditionalmedia
TraditionalsalesTraditional
marketing
Call centre
Data
Voice S
e r v i c
e
S
e r v i c
eC h a n n
e l
C h a n n
e l
Organization Organization
Video ondemand
E-wallets Socialmedia
Onlinecommunities
Chat
OnlinesalesDigital
marketing
E-care
Music ondemand
Customer 1.0
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Telco 2020: the future
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0
10
20
30
40
50
60
70
2014 2015 2016 2017 2018 2019
Operator revenues Other ecosystem players
0% 20% 40% 60% 80% 100%
Network infrastructure Components Devices Apps, content, advertising Operators
Mobile networktraffic, 3.8
support platform,
6.3
Servienable
platform, .
Service wrap,383.3
9 | Global Digital Telecoms Playbook
Looking ahead: digital will transform the 2020 revenue mix
Operator perceptions of 2020 revenue mix
Operators worldwide predict a marked shift in their revenue mix by 2020
Industry M2M forecasts
Mobile ecosystem revenues 2020 forecast
Q. What proportion of revenues do you believe digital services will account for atyour organization in ve years’ time? (Please select one.)
M2M revenue forecast, 2014-19
Proportion of respondents that see digital revenues accounting for more than 10%of overall revenues by 2020
66%
“Digital services currently account for 3% ofrevenues. In ve years’ time, this will rise to10% or the low teens due to the provision ofservices in security surveillance, smart cityand enterprise services.”
US$b
% respondents
US$b
Source: GSMA
Source: EY research
Source: Ovum
Operater share = 50%
22
13
16
19
13
19
0 10 20 30
25%+
21%-25%
16%-20%
11%-15%
6%-10%
0%-5%
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10 | Global Digital Telecoms Playbook
Supply and demand dynamics create a range of 2020 scenarios Innovation is likely to hinge on collaboration and competition, as regulatory attitudes and network upgrade programs
evolve in new directions
Evolving industry dynamics
Operator geographic footprint growth inconsumer andenterprise services
C h a n g i n g m a r k e t
s t r u c t u r e s
Rise of mobilenetwork sharingUptick in MVNO
launches worldwide
New social media and contentplatforms
Smartphones and appstores
Birth of OTTsOTTs extend
platformcapabilities
Tower sale-and-leaseback
Geographicfootprint trimming
Rising in-marketconsolidation
Rising operator appetitefor bolt-on acquisitions
Web giants extendinto accessprovision
Blurring of digital categories,e.g., e-commerce, payments,
marketing
Increasing disruption across allindustries — blurring of use cases
Increasing operator differentiationthrough network quality
Rising competition for wallet share asall playersboost scale and capability
Wi-Fi rollout S u p p l y - s i d e d e v e l o p m e
n t s
Extensive 3G and ber rolloutBridging technologies
enabling capex efciency
Local loop unbundling and
equality of access regulation MTR reductions
Spectrum release andre-farming
for 3G/LTE
Regulatory support forMVNOs as
merger remedy
New standards andtechnologies for IoT,
5G
4G rollouts beginNetwork
virtualization
More holistic and pro-investmentnational digital policies
Risk of global policy fragmentation,e.g., net neutrality, data protection
Proliferation of network technologiesaccording to use case
Vertical collaboration with tech rms to widen enterpriseservice portfolios
O p e r a t o r s e r v i c e
i n n o v a t i o n s
Mobile operatorsub-brandlaunches
Mass market residentialxed-line bundles
WAP-basedmobile content
services
Mobile operatorsub-brandlaunches
Mobile nancialservice launches
Vertical collaboration with OTTs todifferentiate packages
Partnerships drive operatorservicecreation
Rising operator horizontalcollaboration in digital services
Shift beyond B2C-centricbusiness models
Vertical collaboration with tech,e.g., IoT, smart city
Widening of use cases, customertypes, pricing models
Move to tiered data, PAYG cloud,family and shared data
Widening of product scope alliedto segment-specic focus
2005 2010 2015 2020 scenarios
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11 | Global Digital Telecoms Playbook
Telco 2020: digitized future telecoms end-to-end journey
Potential customerdiscovers your newproduct, researchesacross competitors.
Visits online store,lls online applicationform, pays amountonline and takesonline appointmentfor physical delivery.
Customer visitsonline for upgradeof plan and activatesplan online.
Customer visitsonline/app channelto pay bill, providinginstant credit toyour company.
Customer raisesspeed issue onsocialchannel afterresearching FAQs.Customer is keptinformed andissue isresolved quickly.
Voice Of customer InternalDigital design ve year plan | Build today
Social listen External
Customer experience
Big dataanalytics
Strategy
Design
Technology
Feedback
Analytics identify ifcustomer likely tochurn. Appropriateoffers are providedto retain customer.Customer posts goodreview on socialchannel.
Aware Buy Use PayGethelp
Renew/teminate
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12 | Global Digital Telecoms Playbook
Telco 2020: digitized future telecoms journeys
Online
Socialmedia
Notication(SMS/email)
Calls(voice/video)
Home service
Sees paid Facebook adwhile browsing online fornew mobile connection
Link leads to companyweb site and blog fordetailed information
Reads posts fromfriends about great
experience with product
Looks for reviewsvia Google search
Search for bestprices/plans throughresearch websites Finds sponsored deal
with link to online store
Usage simulatorhelps customer optfor suitable plans Customer chooses
personalizedcombination of services
Customer makes onlinepayment and submit KYC
details. Online appointmentfor any physical delivery.
Customer verifies detailsto agent on the spot, and
connect is activated remotely
Customer receives activatedconnection at scheduled time
Company verifies customer informationwith govt. database available online.Verification is done by delivery agent.
Customer fills in online details andmakes online payment, and appointmentfor product delivery.
Customer visits the website/app andopts for a personalized plan. Usagesimulator help choose appropriate plan.
Potential customer learns aboutyour product.
Gets to know about productexperience from other customers.
Potential customer discovers yournew product.
Aware Buy Use PayGethelp
Renew/teminate
Discover Word of mouth Research Select Purchase Activation
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13 | Global Digital Telecoms Playbook
Telco 2020: digitized future telecoms journeys
Online
Socialmedia
Notication(SMS/email)
Calls(voice/video)
Home service
Gets a welcomemessage with productdemo after activation Guided explainer
for first-timeusage within apps
Content displayedis based on
usage history
Gets notification aboutdata usage hitting thedata cap, with link to
add-on packs
Activatesadd-on pack
Searches for betterpricing/packs
Activatesnew pack
Uploads new nameand address as
required with proof
Customer makes onlinepayment and submits KYCdetails. Online appointment
for any physical delivery.
Pay bill online via app,wallet, credits, loyaltypoints or auto debit.
Receive incentives ontimely payment of bill-Autoalerts if payment pending
Receive e-bill, mobile alertand bill on app, with combinedbill for multiple connections
or family connectionvideo explantion for first bill
Agent check andvalidates change
Customer pays bill over e-channelsreducing credit period
Bill generation through mediation andrating system. Customer receives it onmultiple channels
Customer changes the accountinformation
Customer changes the product orpricing to suit his/her needs
Customers uses products/servicesNew customers try to find out howto use the product
Aware Buy Use PayGethelp
Renew/terminate
First-time usage UsageChange product/
pricingChange prole Billing Payment
Goes online todownload/usenew productsand services
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14 | Global Digital Telecoms Playbook
Telco 2020: digitized future telecoms journeys
Online
Socialmedia
Notication(SMS/email)
Calls(voice/video)
Home service
System detectsdegradation
performance and
applies automatedresolution; customerinformed about
problem andresolution applied
Customer providedwith offer to
compensate forloss in performance
Further research leadsto forum where other
customers offer guidanceon problem resolution
Tweets@custsvcdepartment aboutissue; retweeted
many timesby followers
Issues resolved quickly;receives acknowledgmentwith further steps on email
Issues resolvedthrough video chat
Renew customer gets abetter plan and decides
to continue usage
Terminating customer clears duesand schedules appointment fordevice recovery if applicable;Online refund of any security
deposit. Account settled andconnection terminated
Analytic to identify likely-to-churn customers triggeringproactive etention through
communication to customers
with special offers
Customer requests fortermination online
Customer pays bill over e-channelsreducing credit period
Proactive retention efforts based onservice quality and usage patterns.
Contacts customer service for supportCustomer changes the product orpricing to suit his/her needs
Customer tries to diagnose problemand find resolution on his/her own
Problems detected, diagnosed andresolved without customer getting toknow about it
Aware Buy Use PayGethelp
Renew/terminate
Proactive custom-ercommunication
Self careSocial Media
and CommunitiesAssisted Care
CustomerRetention
CustomerTermination
Customer detects anissue, goes online tobrowses FAQs and
how-to videos
Proactive
customer communicationSelf care
Social media
and communitiesAssisted Care Customer retention
Customer
termination
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Telco segments and digital maturity
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16 | Global Digital Telecoms Playbook
Telecoms segmentation and digital maturity
• Oldest operators in themarket
• Carrying extensiveassets and legacysystems
• Large complexorganizations withmultiple LoBs
Established S e g m e n t s
C h a r a c t e
r i s t i c s
E x a m p l e s • AT&T
• BT
• Deutsche Telekom
• Often regional ornational players ingrowth markets
• Battling increasedcomplexity andcompetition
• Focused on growingreach and connectingwith customers
Maturing builders
• MTN
• Airtel
• Idea
• Telefonica
• Usually incumbents/incumbent challengers inthe market
• Medium to largeorganization with agilityin their DNA
• Fairly high innovation intechnology and businessdesign
Transformers
• Verizon Wireless
• Vodafone
• Orange
• Telstra
• Often regional ornational players ingrowth markets
• Battling increasedcomplexity andcompetition
• Focused on growingreach and connectingwith customers
Builders
• Telenor
• Reliance Jio
• Market disruptive players
• New and path breakingbusiness/operatingmodels
• Customer-centricorganizations heavilydependent on P2Pnetworks
Pioneers
• Giffgaff
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High
Implementation complexity
Low
H i g h
L o w
D i g i t a l m a t u r i t y
17 | Global Digital Telecoms Playbook
Telecoms segmentation and digital maturity
• On the road to digital transformation, telecoms companies need to plan and strategize on how to reimaginetheir business based on their current digital maturity.
• Different telecoms companies will face their own unique challenges based on their digital maturity levels
Pioneers
Builders
Transformers
Established
Maturing builders
Established
Digital ambition subdued by high barriers to implement; digitalinitiatives launched in pockets leading to low maturity
Transformers
Digital ambition to be competitive in the market; quick to implement
given their size and scale
Maturing builders
Moderate digital ambition; high abilities to embed digital in existingcapabilities; often disintegrated execution
Builders
High digital ambition; opportunity to start from backend building upto digitizing integrated customer interfaces
Pioneers
High digital differentiation; early digital adopter and drivers ofdigital innovation
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Value chain elements deep dive
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19 | Global Digital Telecoms Playbook
Telecoms value chain: key elements
Telecoms key elements
Networkconvergent
technology and
infrastructure
Telecoms core
network elements
including operations
and maintenance
Idea to cash, ideation factory, new product
development, funnel management, product
portfolio management, pricing
Traditional telecoms elements
post- order capture through
to assurance
Marketing including digital sales,
customer service, MACD, channel/
touch point management
Hiring, training, employee engagement,
rewards and recognition
Telecoms core network elements
including operations and maintenance
Technology elements where
digital execution will happen
End user consumption devices and
customer premise access equipment
Spectrum management
and regulatory compliance
including reporting, audits
and minimum obligations,
customer privacy and
intrusion detection
and preventionProducts
and
services
Fulllment,
assurance
and billing
Customer
interface
operations Talent
and
culture
Partner
and
ecosystem
Enterprise
technology
Devices
Regulatory
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MaturityEstablished Maturing buildersTransformers Builders Pioneers
20 | Global Digital Telecoms Playbook
Value chain deep diveNetwork convergent technology and infrastructure
NetworkTelecoms key elements
Network convergent technology and infrastructure
Technologyselection
Digitized networkasset management
EY digitalsolutions
Networkplanning
Digitizedmaintenance monitoring
Physical infrastructuresetup and management
Monetizingnetwork data
Activeinfrastructure setup
Customerexperience management
Network managementand O&M
Ongoing optimizationand expansion
Challenges EY point of view Solutions for digitalenablement
Shorter lifecycle of newtechnologies(2G/3G/4G
• Coexistence of multiple generations of technologies will force operators to have backward compatibility• Smart ofoad of trafc to lower cost channels will be enabled by digitization ensuring optimal usage and cost efciencies
• Digitized networkmanagement and operations
How to use customerinformation for differentiatedcustomer experience
• Customer-level information will allow Telcos to deliver personalized experience
• Network analytics-based interventions in real-time will allow telcos to deliver superior customer experience
• Customer usage analytics
• Customer experiencemanagement
Absence of device eco-systemfor 3G/4G/5G
• Tie-ups with device makers for rollout of devices at lower pricing to ensure usage of new technologies • Digital collaborative toolsdesign and setup
Asset tracking andmanagement
• Digitization of network assets will allow automated tracking and bring true valuation for operators
• Digitization will help reduce the cost of the inventory.• Digitized network asset
management
High O&M cost contributionfrom active/passivecomponents
• Common NOC and common vendors will help reduce OPEX.• Common active/passive infrastructure for further cost reduction.
• Remote digital O&M andself-correcting network tools
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Maturity
Established Maturing buildersTransformers Builders Pioneers
21 | Global Digital Telecoms Playbook
Value chain deep diveProducts and services
Productsand services
Products and services
Needs analysis andinnovation funnel
Innovation throughcrowd sourcing
EY digitalsolutions
Market andconcept testing
Digitized pricediscovery/new models
Product designand experience
Product interfaceexperience design
Productdevelopment
Pricing models
TestingPricing anddistribution
Roll out andmanage portfolio
Challenges EY point of viewSolutions for digitalenablement
Driving product innovation • Consumer needs will drive the next wave of innovation in product design and development.• Product managers will tap the collective knowledge of a large user base to generate the next product idea through crowd sourcing and customer
driven innovation factories.• Product design will be driven by experience needs of consumers and validated through constant experience testing and feedback looped into
product development.• Social listening will help discover which products and services are in demand.
• Digital Inovation factory• Product experience
engineering
• Digital simulation tools
• Virtual product experiencelab
• Automated feedback
Drive digital product life cyclemanagement
• Seamless integration across partners and ecosystem for digitized management of products/services portfolio will enable focus on businessoutcomes like protability, revenue growth and efciency
• Digitize product life cyclemanagement
Driving pricing innovation • Scientic methods of price discovery based on demand elasticity will give rise to innovative pricing models.• Telcos will also replicate freemium models.• Telcos will develop products and offers around bundling of mobile and xed line services to ensure lower churn.
• Digitized demand assessment• Digitized product catalog
Competition from OTTs inB2B space
• Telcos will develop platforms and increasingly invest in newer business models to capitalize on revenue opportunities like mobile advertising,M2M, payment services etc.
• Being a provider of the IoT and personal cloud facilities positions a telco at the center of the digital consumer world, with stickiness for the otherservices and applications in its portfolio.
• Development and growth in these elds will be enhanced inorganically through acquisitions and partnerships.• Common active/passive infrastructure for further cost reduction.
• Dynamic pricing• M&A, post-merger integration
Telecoms key elements
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Maturity
Established Maturing buildersTransformers Builders Pioneers
22 | Global Digital Telecoms Playbook
Value chain deep diveFullment, assurance and billing
Fulllment, assurance and billing
Fullment, assurance and billing
Purchase
Integratedbillingsolutions
EY digitalsolutions
Service provisioned
Proactive and self-carefulllment avenues
Usage
Digital technology
Bill sent
Digital enterprisestrategy
Payment processing Payment complete
Challenges EY point of viewSolutions for digitalenablement
Building trusted billingrelationship
• Independent wallets will continue to gain ground over the existing operator billing relationship.• Operators will have to move toward transparent digital means of allowing customers to manage their account.• With advent of Customer 4.0 operators will have to look beyond digital bill delivery and recharges.
• Mobile self service andaccount management
High time to market dueto legacy billing systemcomplexities and lack ofintegration across services
• Telcos old billing systems will continue to impede launch of new offers due to long conguration time for new products or services.• Telcos will have to simplify and upgrade billing systems to handle complexities in product bundling.• They will require convergent (triple-play or quad-play) billing that supports ease of conguration, supporting real-time charging and billing,
and scalability.• This will help them keep billing costs as low as possible.• Digitized menu for customers to select/de-select a bouquet of services, simulate usage and customize plans.
• Technology stacks andsystem congurations forintegrated systems
• Integrated billing system• Digitization to enable innite
number of portfoliocongurations
Currently assurance is at aservice/product level
• Customer-level assurance monitoring and reporting will be implemented by telcos; however, monetization of this investment will happen overa long term.
• Strategic prioritization and phased investment will help telcos get ROI.
• Customer self-assurance
Telecoms key elements
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Maturity
Established Maturing buildersTransformers Builders Pioneers
23 | Global Digital Telecoms Playbook
Value chain deep diveCustomer interface operations
Customerinterface operations
Customer interface operations
Awareness
Omni-channelenablement
EY digitalsolutions
Purchase
Digitalacquisitions
Pay
Digital distributiontransformation
Use
Socialanalytics
Get service MACD Churn
Challenges EY point of viewSolutions for digitalenablement
Varied customer experienceacross business units and touchpoints)
• Operators will synchronize their operations to be able to present a single face to the customer.• New-age digital customer touch points will be always on (web / mobile / social), leading to multiple interactions and a greater ability to
inuence customers.• Cross-channel context retention will allow customers to initiate a transaction on one touch point and complete it on another.
• Omni-channel enablement
Tedious manual process ofacquiring customers
• Telcos will increase their digital reach and integrate their acquisition process with global customer identity databases for authenticationand verication.
• Automation to enable faster and easier customer acquisition and on boarding process.• Regulations will be increasingly eased to enable lower costs on digitized acquisitions.
• Digital acquisition
• Digital supply chaintransformation
Detecting and xing customerexperience degradation
• Currently data from digital products is used to map usage. It will also be extended to map failure points in customer experience.• Using customer-specic data and mapping with larger customer base data, telcos will identify common failure points and focus on xing
them proactively.• Identication of failure points will allow telcos to resolve the issue before it becomes a failure point for the customer and leads to a complaint.
• Customer life cyclemanagement
Operators have a sales-focusedapproach
• As customers get more digital-savvy, the share of wallet for digital services is expanding much more than core telecom services.• Hence it will become imperative for telcos to shift focus from a customer acquisition to overall customer life cycle management.
• Dynamic pricing
• M&A, Post Merger Integration
Share of high-cost traditionalchannels for customerawareness in BTL is high
• Telcos will need to develop presence across channels and control the brand image, since brand conversations and comparisons occur through aplethora of digital touch points increasingly outside of the control of brands and traditional ATL/BTL marketing methods.
• Operators are increasingly developing intelligent insights from existing inventory of data and using it to improve cross-sell/up-sell conversionsthrough a real-time dynamic mechanism of personalized recommendations and NBAs.
• Digital marketing
• Brand monitoring• Social listening• Big data analytics
Telecoms key elements
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Maturity
Established Maturing buildersTransformers Builders Pioneers
24 | Global Digital Telecoms Playbook
Value chain deep diveTalent and culture
Talent and culture
Talent and culture
Talent strategy
Talentmanagement
EY digitalsolutions
Sourcing andrecruiting
Virtualtraining models
Learning anddevelopment
Collaborationandproductivity tools
Performancemanagement
Knowledgemanagement
Developing highperformance culture
Compensationsand incentives
Challenges EY point of viewSolutions for digitalenablement
Attracting new talent withdigital skill set
• With operator’s focus shifting on digital, telcos will hire personnel with skill set specic to digital solution implementation.• Telcos will hire talent based on a sourcing, screening and selection process that identies candidates with the right knowledge, skills and
behaviors to perform highly complicated digitization.
• Skills and competenciesassessment
Automation of all employeeinterfaces
• Telcos will move to transform complete hire-to-retire talent life cycle management covering talent acquisition, talent development, talentretention and talent management using digital technologies.
• Talent life cycle mangement
Co existence of people withdigital skill set and existingemployees
• Telcos will develop specic programs and initiatives to build a digital–oriented culture across employees. • Collaboration and productivitytool
Upgrading skills in a distributedenvironment
• Telcos will use web and mobile training modules.• Telcos will develop cloud solution for employees knowledge management and development (within and outside organization).
• Cloud-based knowledgemanagement portal
Developing a high-performanceculture with motivatedemployees
• Telcos will identify and develop the right organization culture inline with its values (i.e., scientically led, patient-centric).
• Telcos will develop scientic approach for incentive earning for employees on the right things.
• Employee gamication
Impart specic skills at theright time to each employee tohelp the company
• Improve employee performance by imparting knowledge, changing attitudes and improving skills for an increasingly mobile workforce
• A suite of integrated knowledge database with easy access
• Virtual training models
Telecoms key elements
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Maturity
Established Maturing buildersTransformers Builders Pioneers
25 | Global Digital Telecoms Playbook
Value chain deep divePartner and ecosystem
Partner andecosystem
Partner and ecosystem
Identify needand search
Digitization ofpartner interfaces
EY digitalsolutions
Checkfeasibility
Partner performancemanagement
Negotiateand contract
Partner ITsystems Integration
On board
Demandforecasting
Operationsmanagement
Settlementsand payments
Managepartner portfolio
Challenges EY point of viewSolutions for digitalenablement
Building a long-term strategyfor partner selection andgrooming
• Telcos will use scientic approach to partner selection and onboarding by use of quantitative and qualitative techniques.• Telcos can quickly skip the learning curve and provide a great digital experience to customers through careful selection of partners.• Partner grooming and development will be a long term process with partners evolving along with the organization.
• Partner selection framework• Partner contracting
Creating an operator-partnerecosystem
• The customer experience and product performance can drastically change for better or for worse as soon as the customer steps out of the telcoenvironment and goes into the partner environment.
• A better overall experience can be created by tight integration of the telco and partner systems and processes.
• Data security
• Resource demand forecasting
• Partner IT system integration
Creating digital awarenessamong partners
• Telcos can build partner capability through long-term collaborative capability development in digital spaces.• Telcos will involve partners and their systems in earlier stages of process digitization.
• Digitization of partnerinterfaces
Cost reduction in operationsthrough partner efciency
improvement
• Service providers should ensure partner capability development through training programs and IT implementation support for key systems likeERP to ensure high performance levels.
• Digital training
Seamless partner payouts • Timely payments are essential to ensure positive partner relationship.• Integration of variables such as product returns, performance penalties, tax changes, etc. in real time will enable one-time accurate payouts.
• Partner performancescorecard
Telecoms key elements
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Maturity
Established Maturing buildersTransformers Builders Pioneers
26 | Global Digital Telecoms Playbook
Value chain deep diveEnterprise technology
Enterprise
tech.
Enterprise technology
Dene enterprisetechnology strategy
Cloud solutionsEY digitalsolutions
Plan designframework
Innovation factory
Design testdevelopment
Digital technology
Testing
Big data analytics
Execution Settlementsand payments
Maintenance,optimization
and expansion
Challenges EY point of viewSolutions for digitalenablement
Legacy stacks leading todisparate IT landscape
• While the Maturing builders and Builders have the edge in choosing a pre-integrated stack, the Established and Transformers will have to adopt aorganization-wide transformation to leapfrog to the latest capabilities as a unied goal.
• Digital technology road map• Mobility solutions for
enterprise
Disintegrated network andIT elements in the age ofconvergence
• With the advent of IP-based networking, IT-network convergence is an imperative. Traditional boundaries of IT and Network need to be madeporous to ensure a smooth transition to a well-integrated platform.
• Increasingly, CIO and CTO positions will converge to enable unied control.
• Digital architecture for futureTelco
Coexistence of people withdigital skill set and existingemployees
• Telcos will develop specic programs and initiatives to build a digital–oriented culture across employees. • Collaboration and productivitytool
Transform IT to providecapabilities to business basedon cloud
• Cloud solutions have gone beyond application hosting and storage. Telecoms players need to re-position themselves as solution providers,widening their portfolio with personalized problem solving for their enterprise customers.
• Digital innovation factory
• Go-to-market approach
Use of Big Data and analytics
for newer revenue streams
• The established players have the history, information, connection and relationship with the customer to monetize the wealth of data residing on
their network and IT systems. More and more advertisers are turning to telecoms companies as capturers of consumer movement.• Transformers have already made an initial impact in seizing these opportunities and partnering to open new revenue streams.
• Analytics and insights,
complex customerinteractions analysis
• Digital risk evaluation, digitaldiagnostics toolst
Telecoms key elements
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Maturity
Established Maturing buildersTransformers Builders Pioneers
27 | Global Digital Telecoms Playbook
Value chain deep diveDevices
Devices
Access and devices
Interpret technologyand network strategy
Device management —consumption and
connectivity devices
EY digitalsolutions
Assess device andsupplier ecosystem
Convergedaccess solution
Plan buy/buildcollaborate decision
Proactive care —devices and network
Device pricing, bundlingand distribution
Processes and systemsdesigned to support
M2M services
Device informationow and analytics
Maintain, optimize,upgrade
Challenges EY point of viewSolutions for digitalenablement
Varied product performanceacross devices
• The spurt of different OS types in the past few years has led to an increase in fragmentation of OS/device combinations.• This means that each product that is released needs to be optimized as per the device, which is a cost to the company.• Telcos can use their experience and infrastructure capability to take a lead and help OTTs in identifying focus areas for optimization.• integrated product testing will also include elements like network variations.
• Mobile testing lab• Test scenarios
• Issue monitoring
• Proactive care• OTA services
Inability to abstract device fromnetwork for newer IP basedtechnologies
• Usually when customers face loss of experience due to device/ interface issues they will reach out to telecoms operator to try andresolve issues.
• This adds an unnecessary strain on the company resources to try to resolve device issues.• Operators will move towards integrated testing of devices before launch to eliminate issues at source.
• Collaborated testing
• Converged connectivity solutions (EAPSIM/intelligent client)
• Selective converged CRM
Less ARPU from M2M • Supporting an M2M eco-systems and their use in critical applications will require operators to design new processes and systems forprovisioning, real-time monitoring and support and billing/reporting.
• Operators will attempt to nd higher throughput applications of M2M to increase revenues.
• Cloud-based solutions• OTA services
• Innovative M2M services
Transform IT to providecapabilities to business based
on cloud
• Cloud solutions have gone beyond application hosting and storage. Telecoms players need to re-position themselves as solutionproviders widening their portfolio with personalized problem solving for their enterprise customers. .
• Digital innovation factory
• Go-to-market approach
Churn (multi-SIM) possibilitydue to fragmented deviceusage revenue streams
• Consumers have started using multiple device types (mobile phones / tablets / laptops / wearables etc.) for use at different types of theday and for different purposes.
• Each device is an opportunity for a competitor to start a relationship with the customer. Telcos will have to identify and protect againstthe possibility of churn through these means.
• Customer life cycle management
• Device management
• Single sign-on
• Device security
Telecoms key elements
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Maturity
Established Maturing buildersTransformers Builders Pioneers
28 | Global Digital Telecoms Playbook
Value chain deep diveRegulatory
Regulatory
Access and devices
New regulation
Device management –consumption and
connectivity devices
EY digitalsolutions
Building regulationpolicies and processes
Digital risk andcybersecurity
Regulation riskassessment
Digital tax
Regulation communicationand training
Digital enterprisestrategy
Customer duediligence
Implementation
Challenges EY point of viewSolutions for digitalenablement
Meeting consumer protection norms • Stringent focus of regulators for meeting consumer protection rules, privacy and security• Dispute handling, managing customer experience, pricing transparency, consumer data protection
• Information security maturity assessmentand road map,
• Digital rights management capabilities
Physical ling-based compliance • Consortia lobby to introduce digital compliance, making Telcos paper-free from all three perspectives — Outside-in(customer), inside-in (employee) and inside–out (vendor)
• Digital compliance management
New digital tax issues • Emerging trend of new rules for geography-specic taxation of digital income • Digital tax management
Meeting government demands forpolicing
• Governments to look at telco for assisting in law enforcement for their:
• Surveillance needs and Data retention
• Intellectual property rights violations, such as blocking of torrents
• Consumer data protection
• Digital law for data privacy
Increasing regulations for new services • Operators to be increasingly asked to follow new regulations for new services like:• Regulating digital content
• Regulations for new technologies — M2M, SDN, etc.
• Regulations for data protection in cloud
• Digital regulatory compliance processes
Regulatory uncertainty on growth ofOTT services
• Regulators globally are evolving their position on neutrality of access
• Telcos to target partnership with OTTs, new business models and regulatory scrutiny
• Social listening to understand consumersentiments
Managing costly regulatory compliancein a cost-effective manner
• Telcos to comply with regulations by building concrete process and KPIs• Improved compliance automation to manage multiple regulations and standards
• Digital regulatory optimization strategy
Telecoms key elements
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Solutions and mapping to digital offerings
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30 | Global Digital Telecoms Playbook
EY digital solution offeringIntroduction
1 4
2 5
3
11 distinct offerings address alldigital challenges across sectorsand domains
Benets realization frameworks areembedded in each solution to ensurebusiness outcomes are realized.
Each offering is a suite of solutionstailored to suit the needs ofthe client.
EY’s recent acquisitions bolster thetools and technology partnershipsrequired to digitize end to end.
Solutions are modularized to prioritize
point solutions over holistic approaches.
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31 | Global Digital Telecoms Playbook
Digital solutions for telecomsMapped to EY digital framework
• Tax advisory for cross-borderservices
• Tax guidance for new serviceslike M2M, cloud, etc.
• Digital law for data privacy• Digital regulatory compliance
management• Digital compliance optimization
• Digital risk and cyber security• Consumer data protection• Device security
• Digital ledger management
Analyzing
Digital risk and cybersecurity
Digital law
Digital tax
Digital supply chain
Digital operations
Digital technology
Experience design
Digital transactions
Digital enterprise strategy
Sensing
• Digital innovationfactory
• Product experienceengineering
• Digitized product lifecycle management
• Digitized price/modeldiscovery
• Employee gamication• Crowdsourcing
• Enterprise operatingmodel
• Big data, analytics andinsights
• Complex customerinteraction analysis
• Network costoptimization
• Skills and competenciesassessment
• Talent management• Knowledge
management• Collaboration and
productivity tools• Omni-channel
enablement• Virtual training
• Due diligence• M&A• Post-merger integration
• Customer experiencemanagement
• Self care• Proactive customer care
• Simulation tools• Automated feedback• Test scenarios
• Digital supply chainmanagement
• Digitize partnerinterfaces
• Partnerperformancemanagement
• Demandforecasting
• Digital contentdistribution
• Digital assetmanagement
• Digital technology roadmap
• Digital architecture forfuture telco
• Integrated billingsolutions
• Cloud solutions• Network asset
management• Monetizing network data
• Digitized networkmonitoring
• Device management• Converged access
solution• Go-to-market approach• Mobility solutions for
enterprise• Customer life cyclemanagement
• Digital marketing• Social listening and
analytics
• Digital acquisition• Digital distribution
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Deploying cross service line digital solutions
Advisory Transactions Tax Assurance
Grow Optimize Protect
32 | Global Digital Telecoms Playbook
The future of telecomsDeploying tailored digital solution…delivering accelerated solutions
InnovationDigital
enterprisestrategy
Digitaltransactions
Experiencedesign
Digitaltechnology
Digitaloperations
Digitalsupply chain
Digital tax Digital lawDigital riskand cybersecurity
Digitalaccounting
Network convergent technology and infrastructure
1 Shorter life cycle of newtechnologies(2G/3G/4G)
2How to use customer data andinsights for differentiated customerexperience
3Absence of device ecosystem for3G/4G/5G
4 Asset tracking and management
5 High O&M cost contribution fromactive/passive components
Critical solutions
Good to have
Enablers
Not relevant
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Deploying cross service line digital solutions
Advisory Transactions Tax Assurance
Grow Optimize Protect
33 | Global Digital Telecoms Playbook
The future of telecomsDeploying tailored digital solution…delivering accelerated solutions
InnovationDigital
enterprisestrategy
Digitaltransactions
Experiencedesign
Digitaltechnology
Digitaloperations
Digitalsupply chain
Digital tax Digital lawDigital riskand cybersecurity
Digitalaccounting
Products and services
1 Driving product innovation
2 Driving pricing innovation
3Competition from OTTs in B2B space(e.g., Skype for business)
Critical solutions
Good to have
Enablers
Not relevant
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Deploying cross service line digital solutions
Advisory Transactions Tax Assurance
Grow Optimize Protect
34 | Global Digital Telecoms Playbook
The future of telecomsDeploying tailored digital solution…delivering accelerated solutions
InnovationDigital
enterprisestrategy
Digitaltransactions
Experiencedesign
Digitaltechnology
Digitaloperations
Digitalsupply chain
Digital tax Digital lawDigital riskand cybersecurity
Digitalaccounting
Fulllment and billing
1 Building trusted billing relationship
2High time to market due to legacybilling system complexities and lackof integration across services
3Currently assurance is at a service/product level
Critical solutions
Good to have
Enablers
Not relevant
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Deploying cross service line digital solutions
Advisory Transactions Tax Assurance
Grow Optimize Protect
35 | Global Digital Telecoms Playbook
The future of telecomsDeploying tailored digital solution…delivering accelerated solutions
InnovationDigital
enterprisestrategy
Digitaltransactions
Experiencedesign
Digitaltechnology
Digitaloperations
Digitalsupply chain
Digital tax Digital lawDigital riskand cybersecurity
Digitalaccounting
Customer interface operations
1 Varied customer experience acrossbusiness units and touch points
2Tedious manual process of acquiringcustomers
3Detecting and xing customerexperience degradation
4Operators have a sales-focusedapproach
5Share of high-cost traditionalchannels for customer awareness inBTL is high
Critical solutions
Good to have
Enablers
Not relevant
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Deploying cross service line digital solutions
Advisory Transactions Tax Assurance
Grow Optimize Protect
36 | Global Digital Telecoms Playbook
The future of telecomsDeploying tailored digital solution…delivering accelerated solutions
InnovationDigital
enterprisestrategy
Digitaltransactions
Experiencedesign
Digitaltechnology
Digitaloperations
Digitalsupply chain
Digital tax Digital lawDigital riskand cybersecurity
Digitalaccounting
Talent and culture
1 Attracting new talent with digitalskill set
2Coexistence of people with digitalskill set and existing employees
3Upgrading skills in a distributedenvironment
4Developing a high-performanceculture with motivated employees
5Impart specic skills at the right
time to each employee to help thecompany
Critical solutions
Good to have
Enablers
Not relevant
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Deploying cross service line digital solutions
Advisory Transactions Tax Assurance
Grow Optimize Protect
37 | Global Digital Telecoms Playbook
The future of telecomsDeploying tailored digital solution…delivering accelerated solutions
InnovationDigital
enterprisestrategy
Digitaltransactions
Experiencedesign
Digitaltechnology
Digitaloperations
Digitalsupply chain
Digital tax Digital lawDigital riskand cybersecurity
Digitalaccounting
Partner and ecosystem
1 Building a long-term strategy forpartner selection and grooming
2Creating an operator-partnerecosystem
3Creating digital awareness amongpartners
4Cost reduction in operations throughpartner efciency improvement
5 Seamless partner payouts
Critical solutions
Good to have
Enablers
Not relevant
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Deploying cross service line digital solutions
Advisory Transactions Tax Assurance
Grow Optimize Protect
38 | Global Digital Telecoms Playbook
The future of telecomsDeploying tailored digital solution…delivering accelerated solutions
InnovationDigital
enterprisestrategy
Digitaltransactions
Experiencedesign
Digitaltechnology
Digitaloperations
Digitalsupply chain
Digital tax Digital lawDigital riskand cybersecurity
Digitalaccounting
Enterprise technology
1 Legacy stacks leading to disparate ITlandscape
2Disintegrated network and ITelements in the age of convergence
3Transform IT to provide capabilitiesto business based on cloud
4Use of big data and analytics fornewer revenue streams
Critical solutions
Good to have
Enablers
Not relevant
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Deploying cross service line digital solutions
Advisory Transactions Tax Assurance
Grow Optimize Protect
39 | Global Digital Telecoms Playbook
The future of telecomsDeploying tailored digital solution…delivering accelerated solutions
InnovationDigital
enterprisestrategy
Digitaltransactions
Experiencedesign
Digitaltechnology
Digitaloperations
Digitalsupply chain
Digital tax Digital lawDigital riskand cybersecurity
Digitalaccounting
Devices
1 Varied product performance acrossdevices
2Inability to abstract device fromnetwork for newer IP-basedtechnologies
3 Less ARPU from M2M
4Churn (multi-SIM) possibility due tofragmented device usage
5 Varied product performance acrossdevices
Critical solutions
Good to have
Enablers
Not relevant
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Deploying cross service line digital solutions
Advisory Transactions Tax Assurance
Grow Optimize Protect
40 | Global Digital Telecoms Playbook
The future of telecomsDeploying tailored digital solution…delivering accelerated solutions
InnovationDigital
enterprisestrategy
Digitaltransactions
Experiencedesign
Digitaltechnology
Digitaloperations
Digitalsupply chain
Digital tax Digital lawDigital riskand cybersecurity
Digitalaccounting
Regulatory
1 Meeting consumer protection norms
2Meeting government demands forpolicing
3Increasing regulations for newservices
4Regulatory uncertainty on growth ofOTT services
5Managing costly regulatory
compliance in a cost-effective andmanner
Critical solutions
Good to have
Enablers
Not relevant
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Digital Maturity Modeling toolkit
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42 | Global Digital Telecoms Playbook
Tools and frameworks
At EY we work collaboratively, bringing together experience across advisory, transaction, tax and assurance to deliver digital services. EY has developed anextensive set of tools and frameworks to enable the digital journey for customers
# Tool/Framework Description
1 Digital Transformation Framework to approach digital
2 Digital Portfolio Maturity Assessment Maturity model toolkit
3 Social Media and Digital Diagnostics Tool Tool to assess the digital and social media journey
4 Customer Analytics Framework Customer Insights Tool
5 Crimson Hexagon Social listening and analytics tool
6 Customer RoI Parameters to be considered while deriving RoI
7 SEO Framework Parameters for SEO strategy
8 Digital Realization Framework Framework for digital transformation
9 Social Media Governance SM governance framework
10 EY Social Community Maturity Model Assess social media maturity
11 Channel Engagement MaturityAssess how efciently engagement in and handoffs between distributionchannels happens
12 Innovation and Digital Realization™ Framework Customer engagement and innovation questionnaire
13 Digital Diagnostic Tool and Methodology Digital diagnostics to identify interventions and build road map
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Maturity model toolkit: a snapshot
Maturity stage
Business process characteristics
Branding Marketing- Campaigns, communication, customer insight
and analytics
Products, services and new product development
L e a d i n g
Digitally transformed and
best in class. Infused digital
throughout the organization.
Leveraging digital for
competitive advantage.
1. Use of automated sentiment analytics across social media to track andunderstand the attitude of consumers toward brand.
2. Consumer is the co-creator of the brand.
3. Global benchmarks and best practices as a KPI for measuringbrand sentiment.
4. Consumers are brand advocates and have a high loyalty and afliationwith the brand touch points.
1. Digital strategy is linked to business outcomes.
2. Use of analytics and customer insights before and after every campaignto monitor KPIs.
3. Digital and social culture at an enterprise level.
4. People, processes and technology aligned to digital objectives.
1. Accepts payments for products and services via social commerce,mobile commerce and electronic wallets.
2. Products and services are recommended to online visitors/customers byusing online behavioural analysis and “mood recognition”technologies.
3. Monitors social media (sentiment analysis) for purchasing signals andtrigger-related offers to all customer segments across all digital andnon-digital channels.
4. Leverage digital technology for rapid prototyping and visualization ofnew products.
E s t a b l i s h e d
Leveraging digital
successfully, driven by top
leadership. Clear road map
and on parwith competitors.
1. Integrated customer analytics, customer segmentation and targeting,campaign development and management by using digital CRM tools.
2. Strive to achieve a uniform customer experience across, platforms,devices, channels throughout customer life cycle.
1. Leveraging digital and social for brand building and acquisition as one ofthe primary objectives.
2. Higher brand recall and loyalty.
3. One of the buzziest brand on social media.
4. Very likely to enjoy higher positive sentiment.
5. Leverages analytics at every stage for drawing the next line of attack.
1. Allows customers to purchase products and services in a one-click,simple experience through their preferred digital channels: social medias(Facebook), e-commerce portals (eBay and Amazon), aggregators (Mon-eysavingexpert.com) as well on our website and via smartphone apps.
2. Websites and mobile applications are integrated with popular mobile andsocial networks.
C o l l a b o r a t i v e
Working extensively with
fans, followers, external
partners and internal public
towards a higher brand
impact and better CX.
Exploring and experimenting
with digital to achieve
objectives
1. Introducing campaigns, crowdsourcing, tools and digital properties toco-create the brand.
2. Leverage free digital content (e.g., youtube videos) and digital gamingaround brand, products and services to interact with customers andenhance their experience.
1. Co-creatin g marketing campaign s with a target set to nd new customers.
2. More focus on establishing customer relationship
3. Reach out to inuencers and a wider support base for brand impactand reach.
4. Use digital technology to drive collaboration, knowledge sharing, andidea development and promotion.
1. Communicate with customers and collect their feedback on website andsocial media (Facebook, Twitter).
2. Leveraging digital for consumer dip stick analsis, polls, feedback forimproving existing products and services and new product development
3. Seeks customer feedback via websites, online communities, social mediaand mobile apps after a sale to keep the discussion going and recom-mend similar or complementary products and services.
D e v e l o p i n g Enhancing digital capabilities
in pockets but not yet
realizing signicant value
from investments.
1. May have recently established digital properties across channels andplatforms.
2. Push information about company, products and promotions throughsocial media (Facebook, Twitter) and online advertising majors(Google, Yahoo!).
1. Presence on select social channels but lack of focus on brand impact,acquisition or CRM.
2. Building web and business analytics capabilities.
1. Leverages existing online marketplaces to sell products and services.
2. Accept all traditional payments means and allows online transactions tobe paid via payment networks (PayPal, Amazon, Google Checkout).
B a s i c
Little focus or investment indigital. No clear leadership
for digital and lagging
behind peers.
1. May broadcast information about our company and offerings throughmass email, our website and social media presence
2. Would have recently initiated digital journey for brand impact
1. Not enough investments in creating digital touch points
2. Yet to initiate digital journey
3. Heavy dependencies on ATL and traditional media
1. Has web presence that provides information on products and services.
2. Has built e-commerce capabilities with payment gateway and backendlogistics
3. Recommends, Cross sells products or services to online customersthrough engine
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44 | Global Digital Telecoms Playbook
Maturity model toolkit: a snapshot
Maturity stage
Business process characteristics
Sales Customer care Connected workforce Digital HR
L e a d i n g
Digitally transformed and
best in class. Infused digital
throughout the organization.
Leveraging digital for
competitive advantage.
1. Target product and service recommendations toonline visitors/customers by using onlinebehavioral analysis and “mood recognition”technologies.
2. Selling via time-based offers and cyber couponing onsocial media
3. Monitor social media (sentiment analysis) forpurchasing signals and trigger related offers tocustomer segments across all digital and non-digitalchannels
1. Use of innovative servicing channels like intelligentFAQs, virtual assistants, click-to-chat andclick-to-call.
2. Encourage self-help peer-to-peer forums forcustomer service and queries.
3. Proactively scan web and reach out to customer forany negative sentiments, customer requirementsand other fulllment.
4. Establish social CRM KPIs and business objectivesfocused on lowering cost of servicing.
1. Gamication for training, making work fun andchanging behaviors.
2. Internal social network for co-creating, sharing,building sense of community, building employeeloyalty and networking (Yammer).
1. Seamless integration between career website andother job search sites (LinkedIn, Monster.com) to en-able prospective employees to apply using existingsocial networks credentials.
2. Leverage simulated reality training to improvetime-to-competency by aligning training efciencyand the employee interests and skills.)
E s t a b l i s h e d
Leveraging digital
successfully, driven by top
leadership. Clear road map
and on par with competitors.
1. Digital fulllment and new customer acquisition (CAF) via digital channels
2. No dependencies on brick-and-mortar shops forsubscribing to the network, change plans / tariff, buyVAS or update personal details.
3. Salesforce equipped with smartphones and tabletsto perform sales tasks and process orders and pay-ments on the go or at physical locations
1. Proactively use social media (Facebook, Twitter),complaints aggregator sites (e.g., Complaints board)and user communities to address complaints withimmediate resolutions.
2. Establish a dedicated social media customer griev-ance cell with minimum TAT and SLAs.
3. Prioritize engagement on a digital channel based onsentiment analysis (Twitter sentiment, socialeyez.com).
1. Telepresence and video conferences are standardways to conduct business.
2. Leverage collaboration and ideation environment/platform to crowd-source ideas and insight to helpstrategic initiatives (e.g., IBM JAM).
1. Online tools for employee performance evaluationand feedback.
2. Prospective employees can chat real-time with ex-isting employees or get in touch via forums or socialmedia (Twitter and Facebook page).
C o l l a b o r a t i v e
Working extensively with
fans, followers, external
partners and internal public
towards a higher brand
impact and better CX.
Exploring and experimenting
with digital to achieve
objectives
1. Test their ideas and designs on social media andcollect feedback using social media analytics
2. Sales force leverages mobile SFA applications thatprovide access to client, contact and pipeline infor-mation and proactively notify them of upsell andcross-sell opportunities
1. Customers can interact with the content postedabout company or offerings (Facebook “Likes,”comments) and share it on their social networks(Facebook, LinkedIn) and via email.
2. Review comments received on web and social mediapresence (Facebook, Twitter) and via email to createcustomer satisfaction reports.
1. Leverage telepresence/video conferencing capabili-ties to all employees to support remote collaborationand reduce travel.
2. Provide online tools for collaboration, instant mes-saging project management, sharing ideas, knowl-edge base among teams and individuals.
1. Organize interactive online training sessions usingWebEx and GoToMeeting.
2. Communicate company news, mission, values andlife through social media and blogs and build com-munities to engage with prospective employees.
D
e v e l o p i n g
Enhancing digital capabilities
in pockets but not yet
realizing signicant value
from investments.
1. Review industry benchmarks, customer feed-back, price comparison websites and the feedbackreceived from social buzz to ensure correct pricepositioning
2. Process most of the orders and fulllment requests
manually
1. Customer service through standard complaint pro-cess (mail, email, phone).
2. Yet to establish Social Media CRM cell for the brand.
3. Lack of Governance Framework, Escalation Matrix,Crisis Matrix and ORM on Digital Media.
1. Allow employees to access the company networkremotely.
2. Support and encourage exible working programswhere appropriate and provide employees with thenecessary mobile infrastructure such as laptops and
smartphones.
1. Post job ads on social media (Facebook , Twitter) andprofessional networks (LinkedIn, Doostang).
2. Online tests for recruitment and online trainingmodules available.
B a s i c
Little focus or investment in
digital. No clear leadership
for digital and lagging
behind peers/
1. Based on product strategy, the brand recommendscomplementary products or services via sales force,when users interact with digital channels
1. Use of basic digital servicing channels (online FAQ,email, web forms).
2. Servicing experience is not consistent across allplatforms.
3. Heavy dependencies on brick-and-mortar stores forfulllment.
1. Provide laptops and mobile phones to some employ-ees, on a discretionary basis.
2. Some meetings via conference calls.
1. Posts new positions on career website or internet jobboards ( Monster.com ).
2. Standard application process via career website.
3. Face-to-face interviews and training courses.
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EY capabilities
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Case studies
Client Background Our Contribution
Tier 1European operator
• The client is the No. 3 operator in France with 7,500 employees, 650branded shops and 12 million customers.
• Beyond the price war since the arrival of Free on the mobile market, theclient wants to differentiate through digital CE.
• The client wants to adapt its offers, process and organization tofast-changing customer demands and expectations in the new digitalparadigm: customization, self-sufciency, touch point consistency,multi-screen and socialization.
• Understanding of the customer behaviors on the main customers’ touchpoints (physical shops, call center,dematerialized channels, etc.)
• Very fast decision-making based on the simplication of the customerexperience
• New methodologies of project management, from “the customer stories” tothe “Minimum Viable Product” witha three month cycle to assist inimplementation
Tier 1operator in New Zealand
• The client engaged EY with an intent to shift the customer service paradigmthrough digitization in face of declining market dominance.
• Transformation of governance of digital channels• Key risks and controls to manage digital interfaces• Streamlining social media channels
Greeneld telecomsoperator in India
• The client was deploying a large-scale digitization project that willrevolutionize telecoms in the country.
• EY was engaged to design the GTM strategy and a digital operating modelfor customer operations.
• Signicant lead time reduction for activation• Paperless activation a rst in India• Customer experience as a differentiator using digital approach• Designed digital concepts
Tier 1operatorin Australia
• The client wanted to deliver signicant productivity benets and improvecustomer service to achieve competitive advantage in the marketplace.• The wider client program (Project New) involved all the major business units
within the organization, whereas this engagement relates only to theMobiles, Broadband and Bundles product offerings.
• Assisted in delivering signicant, quantied benets identied throughprocess redesign with annualized benets of approximately $650m achievedthrough productivity improvements and reductions in costs, transactiontimes, variance and rework
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EY global advisors
Prashant Singhal, Global Telecoms Leader
Industry expert, leading transformations for operations andselection, pricing, distribution and launch strategy
Frederic Huet, Partner, UK
Convergent strategies for both telecoms and Media, as well asdue diligence and pre-due diligence
Amit Sachdeva, Global Telecoms Advisory Leader
Industry advisor, leading transformations for operations andselection, pricing, distribution and launch strategy
Bart Van Droogenbroek, Global Telecoms Tax Leader,Luxembourg
Supply chain management, as well as financing, holdingand intellectual property structures through Luxembourgintermediate entities
Robert Heukamp, Executive Director, France
Strategic transformation projects in telecoms and mediasector, pushing topics like 4G, FTTH, IPTV, DVB-T, etc.
Praveen Shankar, Partner, UK
Leads the UK and Ireland supply chain team in the telecoms,
media and technology industry sector
Vincent Douin, Executive Director, France
15 years of experience in telecoms, with capabilities/experience in emerging markets, marketing and sales strategyand go-to-market
Joongshik Wang, Partner, Singapore
Capabilities/experience in commercial due diligence,
turn-around strategy, digital business and strategic marketingin telecoms and media industry, payment and retail industry
Adrian Baschnonga, Associate Director, UK
Lead analyst at Global telecoms center, responsible for EY’s
thought leadership output
Anurag Malik, Partner, India
A decade of HR consulting experience with CEOs and HR headsof more than 100 organizations globally and across almost allsectors
GK Anand, Director, India
Customer experience and service strategy design, business-wide cost reduction, IT strategy and transformation
Shilpa Singhai, Senior Manager, India
Industry expert, leading transformations for operations andselection, pricing, distribution and launch strategy
Networkconvergent
technology and
infrastructure
Products andservices
Fulllmentassuranceand
billing
Customerinterface
operations
Talent andculture
Partner andecosystem
Enterprisetechnology
Devices
Regulatory
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Acknowledgements
Shilpa Singhai, Senior Manager, India
Industry expert, leading transformations for operations andselection, pricing, distribution and launch strategy
Ankit Srivastava, Senior Consultant, India
Experienced in product management, customer experienceand sales, with a focus on digital products
Kumarmangalam Moondra, Senior Consultant, India
Experience in GTM, cost management, process developmentand customer experience transformation in telecoms
Akanksha Waingankar, Senior Consultant, India
Experience in leading the sales process for B2B services,including strategy development and salesforce training intelecoms
Parishrut Jani, Senior Consultant, India
Experience in digital and social media, delivering strategy,planning and execution with analytics
Digital Product Service
Digital Sales and Distribution Digital Marketing
Digitized Processes
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Glossary
Acronym Term
ARPU Average Revenue Per User
CSP Communication Service Provider
EAP Extensible Authentication Protocol
IoT Internet Of Things
M2M Machine To Machine
MACD Modify Add Create Delete
MVNO Mobile Virtual Network Operator
NBA Next Best Action
NOC Network Operations Center
O&M Operations and Maintenance
Acronym Term
OTA Over-The-Air
OTT Over-The-Top
P2P Peer-To-Peer
PAYG Pay As You Go
PMI Post Merger Integration
SDN Software Dened Network
SEO Search Engine Optimization
VAS Value Added Services
VOC Voice Of Customer
WAP Wireless Application Protocol
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