CRV and Social MediaWhat it means to mobile operators

CRV – the key revenue opportunity

Updated from Social Media & Applications, Slide share 2010- Jonathan Elliott Adams

“Engage or Buy!”

At its simplest level business monetize Social Media by:

Attracting new fans and followers

Encourage those people to engage or buy

Vision Goal Strategies Tactics

What role does Operator Play?

Operator needs to become the key provider of Social Media services and monetization, with a mix of internal and 3rdparty platforms, applications and services.

HOW DO WE GET THERE?

Vision

Operator, the Social Network

”I can share more with my friends and family”

CUSTOMER

Operators

Partners

Customers

Values

01.

02.

03.

Operator: Makes sharing

easy

Rewards loyalty

Encourages creativity

“Mobileco makes it easy for our customers to communicate positive information about our products and services to others; and for us make relevant and valued offers”

PARTNEROperator is the leading social media operator in the region, delivering valuable, measurable commercial results.

Operators

Partners

Customers

Provide a world-class ecosystem to enable, measure and monetize consumer conversations

OPERATOR

perators

Operator is the essential partner for delivering high-value, measurable CRV and services for Agencies, Advertisers, Merchants and Content partners

Partners

Operators

Opportunities for the mobile operator:

Mobile media consumption deviceMobile at point of need: retail / location opportunities

With:

1. Applications Attract and Retain = increase Customer Lifetime Value

2. Social Media Recommendations = new Customer Referral Value

3. Transactions = new Customer Referral Value

Why?

Customer Referral Value CRV is the core metric that represents real

revenue and monetization of the Operator customer base.

We create new value for and from our customers. We retain the customer relationship, and monetize social networks which are increasingly being provided free by mobile operators.

Data is not the end product – it is the merchant and transactions. Transactions & CRV scale, data plans are capped.

Secondary Values: Brand Advocacy Quotient, Sentiment, Conversation (Mind) share. These are values for which advertisers are also willing to pay.

See: How Valuable Is Word of Mouth?

By V. Kumar, J. Andrew Petersen, and Robert R Leone

GoalsCapture CRV Right Message, Right Moment

NOWSocial Media is a usage driver – sticky applications yields more data revenues & ‘social’ handset sales – drives demand for mobile internet packages.

Problem: Commoditization of data – arrival of capped data plans.

NEXTAlign Social Media activity with partner brands and objectives.

Facilitate sharing, recommendations and transactions, then align and measure consumer Social Media activity with real-world results.

Getting there

Word of mouth (recommendation)

Awareness(promotion)

Consideration(time sensitive offer

/ membership)Conversion

(CRV)

Capture CRV and increase revenue from partners using Operator’s Social Media platforms1

Consumption or Transaction

Our Goals

Word of mouth (recommendation)

Awareness(promotion)

Consideration(time sensitive offer

/ membership)Conversion

(CRV)

Deliver the right branded message at the right moment or location2

Consumption or Transaction

Our Goals

StrategyLeverage trends

Key trends defining digital lives

Capture subscribers and create new consumer segments

Social Networking & Trusted relationships

Relevance (Personalization)

Openness &interoperability

Trend 1. Openness & Interoperability

StrategyCreate an ecosystem & APIs to bring together:

Developers, Merchants, Partners (Agencies, Advertisers)

Provide tools & guidelines to build the applications

Monetize the in-house platforms as a gateway for Merchants, Agencies, Advertisers and Content Partners

Trend 2. Personalization

StrategyPersonalize based on the user’s individual

behaviors and personas:

Deliver updates and recommendations based on their behavior, time and location

Its been tried and tried, but try again!

Trend 3. Social Networking & Trusted relationships

StrategyWith implicit authentication from the device,

enable trusted interactions, recommendations and

transactions

With too much information, filter content through people I trust and talk to.The right contacts at the right time based on customer behavior, time and location.The trusted authentication gateway for social network access, branded apps, content, services.

About Marketplaces

If you are not already, do not try to be the market, participate.

Markets are just a means to an end, you still need compelling wares to sell.

Tactics

Ecosystem & APIs

Co-branding & Partnerships

Unique Consumer Products

New Customer segments

1. Ecosystem & APIs “Innovate from the outside”

Strategy Maximize 3rd party opportunitiesWidening App platform to be a community for developers.

Open the application platform for services and billing

Seed the local application market - Application Challenges.

APIs for wholesale & business markets

In-fill with in-house applications

Develop strategic partnerships with brands, and industry development programs

2. Exclusive / Unique ServicesTreat apps as we treat content – drivers to subscription & retention.

Compete with co-branding to deliver the ‘best’ or most popular apps.

Bundle exclusive app packages on Operator handsets.

Creates the user base to monetize with partners.

Year 1 Year 2 Year 3

Nimble developers

Nimble developers Mainstream gaming

Mainstream gaming Traditional Media Major Brands

Traditional media* Major brands**

*Accelerating adoption curve ** Next entrant

3. Co-branding with consumer brands. There is a major opportunity to capture users with branded marketing apps. This follows the mobile portal experience.

Word of mouth (recommendation)

Awareness(promotion)

Consideration(time sensitive offer

/ membership)Conversion

(CRV)

Capture CRV and increase revenue from partners using Operator’s Social Media platforms1

Consumption or Transaction

Remember the Objectives

2 Deliver the right branded message at the right moment or location

“Operator is the essential partner for delivering high-value measurable CRV and services for Agencies, Advertisers, Merchants and Content partners”

Provide a world-class ecosystem to enable, measure and monetize consumer conversations

Remember the Goal

Partners

Operators

Customers