How Telcos Can Remain Competitive in an Ever-Evolving Landscape (Reader Forum)

In today’s increasingly competitive and digitalized world, telcos strive to remain relevant, but various challenges abound in both B2B and B2C segments. B2B customers, for example, can have a difficult relationship with their telcos across countless portals and assisted channels, creating unnecessary friction in the relationship. This friction affects the selling of new products and services, driving up a higher cost of sale/cost to serve and potential retention/up-sell challenges.

From a B2C perspective, telcos increasingly struggle to provide a personalized experience, anticipating consumer needs and providing relevant offers and services supported by a truly digital customer service experience. Alas, telcos continue to under-index as service providers. In some markets, telcos have the industry’s lowest recorded net promoter (NPS) scores and the highest customer effort (CES) scores.

Another issue affecting telcos is that their consumers and business customers perceive them as purely connectivity providers. This attitude significantly diminishes their value in the market, affecting the opportunity to elevate their relationship to one of a trusted service provider for all digital consumer lifestyles and business needs.

These challenges underscore the need for telcos to move from mere connectivity providers to solution-driven partners. There are four popular business models telcos can use to achieve growth and relevance: ServCo, NetCo, DigiCo and TechCo. Within each business model, telcos can independently innovate and differentiate themselves from competitors.

ServCo

A ServCo provides all customer-facing business operations, working with one or more NetCos—potentially DigiCo and TechCos as well. A ServCo manages marketing, sales, billing and customer care and shapes consumer and business propositions that they market and sell, typically mobile, broadband/fiber, TV and digital lifestyle, smart home and security/storage solutions for consumers.

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Learn how EPAM empowers telcos in their journey to TechCos – building future-ready intelligent connectivity solutions: https://www.epam.com/industries/telecom-media-and-entertainment/telecommunications