Platform based business models increase company value by up to 4x and are used by the World’s 5 most valuable companies and 50% of top 32 global brands. Wholesale operators can leverage this new platform thinking, which BearingPoint call “Digital Ecosystem Management”, to create valuable new products and services fit for the digital economy.
We see technology trends reshaping the wholesale industry and opening up new service areas. Significant future growth is forecast from non-voice products and services enabled by technology (e.g. SDN/NFV, Cloud, 5G, IoT), and new customer markets supporting an increasing variety of retail communications services.
However, revenue growth opportunities for wholesale operators are not limited to technology changes. Wholesale operators can accelerate change through more disruptive approaches – from the rapid introduction of new services, bundles, and agile solutions for customers, to leveraging new go-to market strategies and the implementation of new business models.
DEM enables carriers to grow revenue and efficiency with transformative operating models by providing end to end automation and digitized processes for sales, fulfillment and monetization. In addition, it enables new bundles of products and services within a partner ecosystem through leveraging new disruptive business models.
By applying more disruptive growth strategies, a wholesale operator can transform from being a voice and data service provider to being a digital business platform provider combining all the elements for success – ecosystem, customers, things, IT systems and intelligence.
How can wholesale carriers create complex services the market demands?
How can DEM help wholesale operators?
There are immediate challenges that wholesale operators can tackle with DEM: legacy systems, BSS silos for different services (Mobile, Fixed Net, Voice etc.), and various systems within one silo for e.g. product configuration, CRM, Billing.
- Take out cost – reduce license costs and operational silos and achieve business execution on one single platform
- Accelerate time to market – introduce new services and bundles and implement efficient, streamlined and automated digital processes
- Remove complexity – consolidate the BSS portfolio, allowing for managed sunset of legacy systems
The wider opportunity for wholesale lies in the ability for wholesalers to embed their products and services within ecosystem customers’ own offers (the second ‘B’ in B2B2x) and support them in developing better products for end customers (the ‘x’ in B2B2x).
- Offer Platform as a Service (e.g. BSS-aaS) thereby attracting new customers who are willing to sell telco and other services without having to heavily invest in own BSS systems
- Expand customer options e.g. next generation and emerging players in the wholesale market, and play with new brands or big brands in new places for complete new services like cloud or connectivity services for IoT
- Enable new services, offer services instead of products to become an innovation services facilitator, bundling telco services and new services
- Pay-per-use / pay-as-you grow model to price by value and not by cost
Read more about new growth opportunities for wholesale operators leveraging DEM below.