Service providers have evolved from offering a single service to bundles, triple play, quad play and now multi-play. Having seen this development with our own eyes, it’s no surprise that many of us consider ourselves multi-play experts, or at the very least believe we have a concrete understanding of the basics.
Could we be wrong though? What if these long-accepted multi-play beliefs aren’t actually true?
According to a white paper by independent research group, Analysys Mason, entitled, “IT Infrastructure of Service Providers – Analysis and Future Direction” there are some remarkable facts about multi-play that might challenge what you think you know.
Myth #1: New service types in multi-play packages sole purpose is to attract new audiences
Fact: Despite it being true that developments like M2M are generally aimed at new audiences, Analysys Mason found many instances of existing bundled services being opened and enhanced. This could be with extras like cloud storage, Wi-Fi and OTT (over the top), such as Netflix being added to existing bundles. The great thing about multi-play packages is that although they are key to attracting new audiences, they also prevent churn and improve existing customer experience.
Myth #2: Bundled services will stay fixed and are mainly used to launch campaigns
Fact: Across the globe, service providers are putting multi-play bundles to use by combining previously disparate services into a sole offering, giving discounts to customers who choose the bundles.
As well as a key way to drive revenue, service providers’ bundled services encourage customers to stick around for longer. According to Analysys Mason more and more service providers are advancing past traditional quad plays by adding content. This includes more third-party content, as well as new services like home networking, home security, Software as a Service (SaaS) for home and business use, cloud and OTT services.
What’s more, the combination of the proliferation of new devices, from smartphones to tablets and smart TVs, and advanced, super-fast communication networks and technologies, is giving customers endless opportunities to consume any service, on any device, wherever they are at any time.
Analysys Mason anticipates that bundled services will continue to grow and will help address falling margins in traditional service offerings.
Myth #3: Strong financial situations and established situations enable mature service providers to possess greater convergence.
Fact: What’s actually true, as found by Analysys Mason after studying the current and future direction of service providers, is that mature service providers have less convergence than newer ones and this is down to several reasons.
Firstly, established processes are complicated and difficult to change and often become cemented into current systems. The diversity of the underlying network also tends to be more noticeable with age.
In addition, mature service providers usually have a greater number of service offerings. Diverse services need a rich set of functions to support them, but these functions are often delivered in projects where short-term goals do not include system transformations to convergent solutions, helping to encourage the use of adjunct systems.
How does convergence directly compare to multi-play? “When convergent systems are in place at service providers, their ability to launch multi-play and other complex service types quickly is greatly improved,” says Analysys Mason.
Although all service providers can benefit from greater convergence, it’s essential to remember that there is no ‘one size fits all’ solution.
Myth #4: Both small to medium business and large enterprises have the same multi-play requirements.
Fact: Large enterprises have unique needs: low volume, highly complex and customised services and the systems needed to meet these needs have tended to remain separate from the higher volume, fully automated solutions for retail or smaller business requirements. There are different systems to support SMB customers from the large enterprise customers, and they have more in common with the retail customers’ needs. It’s important for enterprises and SMBs to work with a vendor who is experienced in offering multi-play solutions designed to meet their specific business requirements.
Myth #5: A consolidated experience for all customers can be delivered with just a thin layer within the CRM system.
Fact: Systems that support multi-play services need to offer a consolidated experience for customers. Usually, according to Analysys Mason, this is achieved through a thin layer within the CRM, which doesn’t provide deeper convergence. Deeper convergence is needed to create new service offerings more quickly and cost-effectively than can be obtained by configuring multiple systems responsible for the different services within a single bundle.
The Last (and Greatest) Multi-Play Myth
It seems the biggest myth of all is related to the actual description of multi-play. The literal definition is a bundle with additional services beyond the traditional quad play. However, that just isn’t sufficient.
Do service providers’ multi-play bundles appear to customers like a single, integrated unit, or as a combination of businesses with their own procedures and systems? Are the operations that support these services integrated? Can today’s operators provide a single company view along the major customer process touch-points related to multi-play operations? Can operators launch new services and lines of business – such as home security, SaaS, cloud services and OTT services – quickly and easily?
If the answer to any of these questions above is “no,” then service providers still need to do a lot more work to be able to take full advantage of their multi-play potential.