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Revenue sharing in Telecommunication Business

engineer — Mon, 22 Feb 2010 11:04:45 +0000

Why Revenue Sharing?

Tight competition on telecommunication business made all the telecommunication companies to make some innovation on the telecommunication service. This innovation is including how they will invest the telecommunication network. Revenue sharing is the best option to reduce high investment while deploying new telecommunication service or expand the existing telecommunication service. Revenue sharing in telecommunication business is giving much benefit to the three parties which involved to the telecommunication services.

Revenue sharing schema

Telecommunication companies will involve one or two parties to have revenue sharing while they plan to launch telecommunication service. It is depending on the agreement, to percentage of revenue sharing cold be different to each three parties. Some of telecommunication service requires the infrastructure provided by telecommunication companies and some by three parties. So there will be different schema of revenue sharing for each telecommunication service. Telecommunication companies used to higher revenue sharing rather three parties and it could more than 50% of revenue

Revenue sharing case

The sample of revenue sharing which used to happen on the telecommunication business is Ring Back Tone (RBT) service. RBT service will run if telecommunication companies cooperate with the music label which provides the music content. Â Three parties in this case music label will earn revenue sharing once mobile telecommunication subscriber subscribes to the RBT service for a month or a week. It sharing schema could be 40% : 60% for telecommunication companies or 30% : 70% for the telecommunication companies

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Innovation in Telecommunication Services

engineer — Fri, 12 Feb 2010 23:20:39 +0000

Ideally telecommunication companies

If you have more than ten of competitors on your telecommunication business, what you can do? By ideally, you should have unlimited budget to a lot of things such as continuously promoting your telecommunication service, expanding telecommunication network in everywhere, upgrading to the latest of telecommunication technology and acquisition small telecommunication companies. Unfortunately, doing all of them is an imagination. What we can do is continuously making new innovation on telecommunication service to be a winner event though you are a small telecommunication company

Innovation on voice service

Innovation on voice service should be done to give more valuable and attractive voice service as the primary service on telecommunication business. Innovation on voice service could be free of charged to make calls to local destination, free of charged to make calls to the same network. Giving a free call to any destination to make calls to anywhere while top up balance and giving a talk time while receiving a call from the competitor of telecommunication companies etc

Innovation on SMS service

Innovation on SMS services could be giving a mount of free SMS per day, giving a mount of SMS after top up balance, SMS tariff per character, unlimited SMS package, free of charge to send SMS to the same network etc

Innovation on Data Service

Innovation on data service here is innovation on mobile internet service such as CDMA 1x, GPRS, 3G and EVDO services. Innovation on data service could be giving a mount of bytes traffic per day, free of charged to browse to certainty sites, giving a discount while accessing internet during weekend etc

Innovation on Value Added Service (VAS)

Innovation on Value Added Service (VAS) is always presenting new fresh idea and definitely attractive service. Innovation of Value Added Service (VAS) could be applications on single mobile phone with integrating BREW platform, Facebook feature on low end mobile phone, download content service etc

More innovation on telecommunication service especially Value Added Service (VAS) definitely will generate significant mobile telecommunication subscribers and revenue

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Cheap tariff strategy in Indonesia

engineer — Fri, 27 Nov 2009 16:57:26 +0000

There are some reasons why telecommunication companies in Indonesia campaign cheap tariff to any telecommunication services they offered to the mobile telecommunication subscribers. Telecommunication companies used to applied cheap tariff to the prepaid phone number instead of postpaid phone number. The first reason, there are some new telecommunication companies which offered cheap tariff while they promote their new product and service. The second poor innovation of telecommunication services and as the result some of telecommunication companies rely on cheap tariff while mobile telecommunication subscribers made a session on basic telecommunication services either call, SMS or accessing internet through broadband internet service or CDMA 1x 2000

Once new telecommunication companies in Indonesia launched and offered cheap tariff to the call, SMS and wireless internet than the existing telecommunication companies will do the same few days later. Actually it is legal to offer cheap tariff to achieve as many as mobile telecommunication subscribers but telecommunication companies should give high performance of telecommunication service other wise the new mobile telecommunication companies will leave them and migrate to another telecommunication companies once their balance on prepaid phone number is zero due to they disappoint with the quality of telecommunication network.

Telecommunication companies should consider two things while they plan to promote cheap tariff to their new or existing telecommunication product and service. The first thing, the cost they should pay to lease several frequency channels for their license to the government as the telecommunication regulator.

As you know that telecommunication companies with GSM or CDMA platforms and mobile wireless access license should pay the frequency they have been leased more expensive than telecommunication with GSM or CDMA platforms and fixed wireless access license. Telecommunication regulator (government) is also giving lowest level tariff they should charge to their mobile telecommunication subscriber. Telecommunication companies with mobile wireless access license has higher tariff rather than fixed wireless access license. The second is the cost they have spent to invest the telecommunication infrastructures. Telecommunication companies should consider the investment they already spent while they plan to give cheap tariff to their mobile telecommunication subscribers. Telecommunication companies which has Manage Service (MS) with the vendor should be no issue while they plan to campaign cheap tariff strategy but not for telecommunication companies who already spend much money to invest the telecommunication infrastructures.

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