Consumers often think of carriers being somewhat stuffy and dusty, being slow to give customers flexibility and big at small print. But there are great exceptions to the rule with T-Mobile in the US, Free in France and Tele2 in Sweden, and we believe the next two years will see some further fun, entertaining and disruptive carrier offerings on the market. Continue reading Freedom to stay – The power of 40000 Tweets
The message? Tele2 had questioned all industry practices and concluded that many of them were outright stupid. And consequently stopped or changed them. Continue reading Tele2: From industry’s black sheep to customer’s best friend?
The last day to confirm participation in the Nordic operator benchmark 2015 is 23 January.
A few operators have confirmed their participation already, but since we 2015 expand the scope of the benchmark from mobile to mobile, fixed/cable and integrated operators (respectively) and add Denmark, there are a few operators who have been asked for the first time.
The operators who are asked are displayed.
You of course ask “why should I“?
To become aware of your blind spots. To measure and compare is to know. If you don’t participate, you blind spots will remain blind spots. You might even think you don’t have any.
If you don’t participate, you don’t know where competition is – and you don’t know what is local best practice.
If you do participate, you will get your business measured and compared to a relevant, local, unadjusted peer group.
33 functions are covered within these six domains:
- Marketing & sales
- Customer service
- Support functions
- Product development
- 80 revenue,
- 130 OPEX,
- 15 CAPEX,
- 130 productivity,
- 90 subscribers & channel,
- 70 performance,
- 50 load,
- 10 quality and,
- 10 innovation & growth KPIs
The KPIs are carefully selected for each function – and have been improved in cooperation with the operators having participated in 2013 and 2014.
Your position is only showed to yourself. The identities of the actual participants are anonymous. The data is not used for any other purposes than this benchmark. That’s our confidentiality promise.
We also promise a 100% fact based benchmark where no numbers have been “adjusted”.
Think again. You do have blind spots. Spot them.
More information: Nordic operator benchmark 2015
There are two major changes to this benchmark compared to 2013 and 2014:
- The scope has been expanded from mobile operators to mobile, fixed/cable and integrated operators
- The peer group country cluster has also been expanded: We now welcome Denmark as a complement to Sweden, Finland and Norway
In total, 16 operators (see above) will be invited to participate. As previous years, the identities of the actual participants will be confidential.
An operator can, depending on business scope, focus or budget, participate in one, two or three of the benchmarks: Mobile, fixed/cable and/or the integrated benchmark.Integrated operators: Since the mobile-fixed mix is different from one integrated operator to another, integrated operators aren’t just compared “as is”. With tefficient‘s methodology, an operator’s actual mobile-fixed mix will be taken into account on a per-KPI basis making the integrated peer group totally relevant for this specific operator’s mobile-fixed mix.
Other modifications to the benchmark are: Improved comparability for equipment sales via subsidy and instalment models; M2M split-out; Improved comparability between telesales in incoming and outgoing calls; Improved comparability between “make or buy” in Networks OPEX & CAPEX; More detailed network quality KPIs.
Mobile benchmark: 603 KPIs derived from a maximum of 376 input data points
Fixed/cable benchmark: 549 KPIs derived from a maximum of 471 input data points
Integrated benchmark: 555 KPIs derived from a maximum of 594 input data points (stand-alone) or just 99 additional input data points (if mobile and fixed benchmarks done)
All three benchmarks cover revenue, OPEX, CAPEX, headcount productivity, performance, traffic & load, quality and innovation & growth for 33 functions.
Deadline to participate is 23 January 2015. Input data (FY 2014) frozen 20 March 2015. Results available 24 April 2015. If you’re among the 16 operators, please contact tefficient for an introduction.
TeliaSonera started to separate out equipment revenue in their new reporting format. Lovely!
We can now compare the equipment revenue vs. mobile revenue ratio for all Swedish operators (see graph). According to reporting notes, Telenor and ‘3’ realise the full equipment price as equipment revenue and let the equipment subsidy dilute service revenue instead. Telia and Tele2 realise the actual equipment sales price after subsidy as equipment revenue.
Active in the same market, there is likely no material difference between the equipment sales of the operators; the differences between Telenor/’3′ on one side and Telia/Tele2 on the other are rather a consequence of the revenue recognition used.
If so, we can by comparing these two approaches estimate that Swedish operators averagely subsidise around one third of the nominal equipment price. That is how much Telia and Tele2’s lines would have to be raised to match the lines of Telenor and ‘3’.
For the second consecutive year: Comprehensive business benchmark including a total of 577 KPIs covering revenue, OPEX, CAPEX, headcount productivity, subscriptions & channels, performance, load, quality and innovation & growth – for 33 functions within a mobile operator.
Peer group consisting exclusively of primary data from Swedish, Finnish and Norwegian operators. Due to pre-agreed confidentiality requirements, the identities of the participating operators are fully anonymous.
The results again demonstrate the value of a region-specific benchmark approach: Swedish, Finnish and Norwegian operators have global leadership in a wide array of business aspects and a global benchmark would therefore leave them without guidance on how to improve further. In contrast, participating operators now have a great tool to improve their local competitiveness even further. The benchmark will run again in January 2015 and then cover also Danish operators. Operators can participate either as a mobile entity or as an integrated (fixed and mobile) entity.
Remember Blyk? The high-profiled venture that targeted the young UK population with free calls and texts – if they agreed to received targeted advert texts on their mobiles. After launch in 2007, the UK service was shut down 2009. [The Blyk name still exists in e.g. the Netherlands where Vodafone uses the concept.]
The question is if Swedish ad-funded MVNO Wifog – launched yesterday – can make a similar concept fly. Wifog has realised that in 2013, people spend most of their device-interaction time connected to the Internet. Their proposition is therefore data-centric: Watch 2-5 minutes of video adverts a day (you can schedule these) and in return get unlimited data (on 3’s 3G network), 120 minutes of voice and 200 SMSs per month.
Wifog tells advertisers that they can reach the right audience – through targeting and analytics. It’s likely that Wifog’s users will be profiled based on what they use the Internet for – much more powerful than the orginal Blyk concept which was based on end-users selecting their “areas of interest”. The question is just how interesting this is for advertisers in a world where Google – without asking for our opt-in consent – already targets us with device-specific, location-specific and usage-based adverts.
Peer group consisting exclusively of primary data from Swedish, Finnish and Norwegian operators. Due to pre-agreed confidentiality requirements, the identities of the participating operators are fully anonymous.Comprehensive business benchmark including a total of 444 KPIs covering revenue, OPEX, CAPEX, productivity, customer distribution, performance, load, quality and innovation & growth – for 33 functions within a mobile operator.
The results demonstrate the value of a region-specific benchmark approach: Swedish, Finnish and Norwegian operators have global leadership in a wide array of business aspects and a global benchmark would therefore leave them without guidance on how to improve further. In contrast, the participating operators have got a great tool to improve their local competitiveness even further.
Mobile operator revenue is under pressure. Increased competition leads to decreased prices. Smartphones have transformed the business of operators: Data services are now more used than both voice and messaging. In parts of the world, these challenges are however coped with.
“Swedish, Finnish and Norwegian operators play in a league of their own”, says Fredrik Jungermann at tefficient. “Nowhere else you’ll find as high mobile data traffic, as many smartphones, as many dedicated mobile broadband subscriptions and as high network quality. In addition, the mobile operators in Sweden, Finland and Norway are among the most productive operators in the world.”
To improve further, the Swedish, Finnish and Norwegian mobile operators can’t continue with global benchmarking – it is simply not challenging enough. Consequently, the international efficiency expert tefficient brings a benchmark specific to Sweden, Finland and Norway only.
The benchmark covers all business aspects: revenue, OPEX, investments, productivity, customer distribution, quality, load & complexity and innovation & growth. In total, there are 435 KPIs in the benchmark.
Swedish, Finnish and Norwegian mobile operators can – by using the benchmark and the analysis that comes with it – improve its local competitiveness.
Deadline for participation is 31 January 2013. Input data is for the full year 2012 and need to be finalized by 25 March. The results are ready latest 26 April 2013.