Enterprise MVNOs Need to Target the Right Industries and Offer a Range of Value-Added Services
January 16, 2013
By Deepika Mala
, TMCnet Contributor
According to ABI Research (News - Alert), a major provider of market intelligence specializing in emerging technologies, market opportunity exists for successful enterprise MVNOs but they need to target not only the right industry verticals, but also offer a range of value-added services – services for which they have more control and offer greater margins.
Utilities, transportation and warehousing, finance and insurance and healthcare are some of the industry verticals that offer opportunity based on their mobility and M2M needs.
B2B MVNOs have a smaller addressable market but can glean higher margins. On the other side, B2B2C MVNOs have a larger addressable market.
Value-added services include telecom expense management, mobile device management and mobile application development and management services. These value-added services are capable of contributing around 25 percent of revenue per employee.
Analysis shows that revenue contribution rises as high as 34 percent when M2M connections and management services are added.
Enterprise practice director Dan Shey (News - Alert) said in a statement, “Brazilian insurance company Porto Seguro is an example of an MVNO that could be very successful. They are an M2M MVNO for their car insurance customers and are adding personal mobility services for its employees and customers.”
A recent study by ABI Research, titled “Enterprise MVNOs and MVNEs,” examines the current supplier environment and market conditions fueling the need for the enterprise MVNO/MVNE. The research offers market sizing for B2B and B2B2C MVNOs. It concludes with industry-specific recommendations and review of ICT suppliers who will have the most influence on this market.
In related news, Mer Telemanagement Solutions Ltd has recently signed a renewal contract for its Mobile Virtual Network Enabler service with a large, U.S.-based mobile virtual network operator. The MTS (News - Alert) MVNE service offers a full customer care and billing lifecycle support. This includes registering new customers, provisioning services, catalogue management, point of sale system, CRM module, Web self-care, fully featured rating engine, credit limit alerting, flexible billing and invoicing engine, payment and collection processing, partner commission and royalty management.
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Edited by Rachel Ramsey