Three Key Themes at MVNOs World Congress 2024
The MVNOs World Congress in Brussels opened with a focus on three pivotal themes: neo-telcos, personalization, and eSIM for travel. The morning keynote speeches reflected a renewed optimism in the market, which has begun to grow after years of stagnation.
Summary
- Neo-Telcos: The emergence of digitally-focused telecom operators.
- Personalization: Enhancing customer engagement through data analytics.
- eSIM for Travel: Leveraging eSIM technology for global connectivity and new market opportunities.
Market Growth and Neo-Telcos
James Gray, Managing Director at Graystone Strategy, started the day by highlighting the current and projected value of the MVNO market. He stated that the market is valued at $80 billion and is forecasted to grow at an 8% CAGR, reaching $130 billion by 2030. Gray emphasized that this growth excludes the contributions of vendors and service providers entering the ecosystem. This expansion is largely driven by Gen Z consumers, who demand more from their mobile services. Gray also noted the increased focus on AI, comparing the surge in AI-related presentations from last year’s event to this year.
Dario Talmesio, Research Director at Omdia, introduced the concept of neo-telcos, a term adapted from the banking sector’s neo-banks. Neo-telcos are operators that may not own their entire infrastructure but focus intensely on customer experience. Talmesio confirmed the market’s return to growth, highlighting the role of these customer-centric operators. An example mentioned was Revolut, a mobile banking app that launched its eSIM proposition, offering mobile data roaming across 100 countries, primarily targeting travelers.
Embracing eSIM Technology
Talmesio continued by discussing the eSIM market, pointing out that MVNOs have been the first to truly embrace this technology. He noted that while traditional telecom operators have been cautious, MVNOs are eager to adopt eSIM to simplify customer onboarding and target new market segments, including high-end customers with premium devices. The most discussed use case was eSIM for travel, which is expected to become more widespread as post-COVID travel peaks.
Personalization and Customer Engagement
Anirudh Radhakrishnan, Director at Plintron, presented on the importance of personalization in transforming customer engagement. He explained how data-driven insights can help MVNOs address challenges and drive revenue growth through real-time analytics, pattern detection, and customized offers. This proactive approach enhances customer experiences and strengthens relationships, resonating with the neo-telco concept of a fully digital enterprise.
Differentiation Strategies
A panel discussion on differentiation strategies featured insights from industry leaders. Nick Wootten, MVNO Director at BT Wholesale, stressed the significance of network experience as a differentiator. Liz Parry, CCO at Lifecycle Software, and Martina Klingvall, founder of Telness, emphasized hyper-personalization and effective messaging. Klingvall advised spending more time refining the messaging around differentiation to make it stand out.
eSIM for New Opportunities
Jacques Bonifay, CEO of Transatel, wrapped up the morning with a keynote on how eSIM can unlock new services and opportunities for MVNOs beyond domestic markets. He highlighted the potential of eSIM for business and IoT applications. Bonifay noted that while devices like laptops and tablets come with embedded WiFi and Bluetooth, few are connected via mobile eSIM, which is crucial for device security.
Overall, the first day of the MVNOs World Congress was filled with optimism and opportunities, with a focus on growth and innovation in the MVNO sector.
