Communication Service Providers (CSP’s) have provided reliable voice and data lines (also termed as pipes) to their subscribing customers for decades. While, in general, CSPs have been very successful in providing ‘pipes’ to their customers, they have been diligently trying to move up the value chain.
Given their network centric nature, the growth from voice to basic data, to enhanced 3G data, to now mega 4G data has been around creating the a bigger pipe. Despite the creation of larger pipes, the demand always surpasses availability. Data bits now exceed global voice traffic.
With the advent of smarter terminals, the consumption of data will grow. In contrast to data infrastructure investment, APRU is not in alignment. CSPs then have to turn to data optimization from a commercial and technical perspective.
CSP are required to resolve the issues of commercial and technical optimization. By managing the complete product lifecycle, data offers are optimized for the best revenue-per-unit, best data usage, and ideal technical attributes such as QOS or delivery channel.
CSPs have to break the pipe before they can really grow it. Align the offer and order capabilities of their business with the resources available. This flexibility and alignment will allow them to maximize the usage of the current assets, and also prepare their business models to maximize the ROI on new service and network investments. Agile product monetization is the new methodology of new world CSPs.