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VIKAS SHARMA
ANAMIKA
MANISH PANDEY
SAMEER VALOKAR
Presentation on
Quality of Service, Customer Care,VAS
RACHIT JOSHI
ARCHIT SARWAL
ADITI ROHIT DOSHI
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Total Quality Management
Total Quality Management
TOTAL QUALITY MANAGEMENTAND CONTINUOUS IMPROVEMENT
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Total Quality Management
Why TQM?
Ford Motor Company had operating losses of $3.3 billion between 1980 and 1982.
Xerox market share dropped from 93% in 1971 to 40% in 1981.
Attention to quality was seen as a way to combat the competition.
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Total Quality Management
TQM
Total - Made up of the wholeQuality - degree of excellence a product or
service providesManagement - Act, art or manner of
planning, controlling, directing,….
Therefore, TQM is the art of managing the Therefore, TQM is the art of managing the whole to achieve excellencewhole to achieve excellence.
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Total Quality Management
What does TQM mean?
Total Quality Management means that the organization's culture is defined by and supports the constant attainment of customer satisfaction through an integrated system of tools, techniques, and training. This involves the continuous improvement of organizational processes, resulting in high quality products and services.
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Total Quality Management
What’s the goal of TQM?What’s the goal of TQM?
“Do the right things right the first time, every time.”
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Total Quality Management
Another way to put itAnother way to put it
At it’s simplest, TQM is all managers leading and facilitating all contributors in everyone’s two main objectives:
(1) total client satisfaction through quality products and services; and
(2) continuous improvements to processes, systems, people, suppliers, processes, systems, people, suppliers, partners, products, and services.partners, products, and services.
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Total Quality Management
Productivity and TQM
Traditional view: Quality cannot be improved without significant losses
in productivity.
TQM view: Improved quality leads to improved productivity.
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Total Quality Management
Basic Tenets of TQM
The customer makes the ultimate determination of quality.
Top Management must provide leadership and support for all quality initiatives.
Preventing variability is the key to producing high quality.
Quality goals are a moving target, thereby requiring a commitment toward continuous improvement.
Improving quality requires the establishment of effective metrics. We must speak with data and facts not just opinions.
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Total Quality Management
The three aspects of TQM
Counting
Customers
Culture
Counting
Customers
Culture
Tools, techniques, and training in their use for analyzing, understanding, and solving quality problems
Quality for the customer as a driving force and central concern.
Shared values and beliefs, expressed by leaders, that define and support quality.
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Total Quality Management
Total Quality Managementand Continuous Improvement
TQM is the management process used to make continuous improvements to all functions.
TQM represents an ongoing, continuous commitment to improvement.
The foundation of total quality is a management philosophy that supports meeting customer requirements through continuous improvement.
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Total Quality Management
Continuous Improvement versus Traditional Approach
Market-share focusIndividualsFocus on ‘who” and
“why”Short-term focusStatus quo focusProduct focusInnovationFire fighting
Customer focusCross-functional teamsFocus on “what” and
“how”Long-term focusContinuous improvementProcess improvement
focusIncremental
improvementsProblem solving
Traditional Approach Continuous Improvement
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Total Quality Management
Quality Throughout
“A Customer’s impression of quality begins with the initial contact with the company and continues through the life of the product.”
◦ Customers look to the total package - sales, service during the sale, packaging, deliver, and service after the sale.
◦ Quality extends to how the receptionist answers the phone, how managers treat subordinates, how courteous sales and repair people are, and how the product is serviced after the sale.
“All departments of the company must strive to improve the quality of their operations.”
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Total Quality Management
Value-based Approach
Manufacturing Dimensions◦ Performance◦ Features◦ Reliability◦ Conformance◦ Durability◦ Serviceability◦ Aesthetics◦ Perceived
quality
Service Dimensions Reliability Responsiveness Assurance Empathy Tangibles
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Total Quality Management
The TQM System
CustomerFocus
ProcessImprovement
TotalInvolvement
LeadershipEducation and Training Supportive structureCommunications Reward and recognitionMeasurement
ContinuousImprovement
Objective
Principles
Elements
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TELECOM APPROACH FOR QOS
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CELLULAR SERVICE PROVIDER REPORT OF U.P(WEST)
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SOURCE:TRAI
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SERVICE LEVEL AGGREMENT(SLA)
A Service Level Agreement (SLA) is a formal definition of the relationship that exists between a service provider and its customer.
A SLA can be defined and used in the context of any industry, and is used to specify what the customer could expect from the provider, the obligations of the customer as well as the provider, performance,availability and security objectives of the service, as well as the procedures to be followed to ensure compliance with the SLA.
Service level agreements are often used when corporations outsource functions considered outside the scope of their own core competencies to third party service providers.
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2. Typical Components of SLAsA service level agreement would typically contain the following information:1.A description of the nature of service to be provided: 2.The expected performance level of the service specifically its reliability and responsiveness: 3.The procedure for reporting problems with the service: 4.The time-frame for response and problem resolution: 5.The process for monitoring and reporting the service level : 6.The consequences for the service provider not meeting its obligations: 7.Escape clauses and constraints:
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SLA EXAMPLE
AIRTEL WITH IBM AND COMVIVA TECHNOLOGY LTD.
BT WITH TECH-MAHINDRA AND INFOSYS.
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STANDARDS FOR QOS
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ISO 27001 STANDARD
(An International standard for ISMS)
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ISO 27001 CERTIFIED Clients ISO 27001 CERTIFIED Clients
Semiconductor
Banking
Government
Electronics/Entetainment
IT Related
Telecommunication
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Information Security is the preservation of: Confidentiality
ensuring that information is accessible only to those authorized to have access
Integrity safeguarding the accuracy and completeness of
information and processing methods Availability
ensuring that authorized users have access to information and associated assets when required
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Information Security
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•Provides a systematic approach to secure sensitive information
•Encompasses employees, processes and information systems
•Includes all the good information security practices
Information Security Management Systems (ISMS)
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What is ISO 27001 standard
The formal standard against which organizations may seek independent certification of their Information Security Management Systems (ISMS) to provide a common base for developing organizational security standards and effective security management practice to provide confidence in inter-organizational dealings
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What is ISO27001?
• AN INTERNATIONALLY RECOGNIZED STRUCTUREDMETHODOLOGY DEDICATED TO INFORMATION SECURITY• A MANAGEMENT PROCESS TO EVALUATE, IMPLEMENT AND MAINTAIN AN INFORMATION SECURITY MANAGEMENT SYSTEM (ISMS)• A COMPREHENSIVE SET OF CONTROLS COMPRISED OF BEST PRACTICES IN INFORMATION SECURITY
•APPLICABLE TO ALL INDUSTRY SECTORS•EMPHASIS ON PREVENTION
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Development, Maintenance & Improvement
Cycle
1. Establish ISMS scope & policy 2. Perform Risk Assessment & Treatment Plan3. Prepare SOA
1. Establish ISMS scope & policy 2. Perform Risk Assessment & Treatment Plan3. Prepare SOA
1. Monitor & Review ISMS2. Mgt Review3. ISMS audit
1. Monitor & Review ISMS2. Mgt Review3. ISMS audit
1. Design & Implement ISMS2. Operate ctrls3.Manage resources & implement training programs4. Management of security incidents
1. Design & Implement ISMS2. Operate ctrls3.Manage resources & implement training programs4. Management of security incidents
1. ISMS improvement2. Preventive & Corrective Action
1. ISMS improvement2. Preventive & Corrective Action
Plan
Do
Check
Act
PDCA Model
STRUCTURE OF ISO27001:2005
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Which organizations can undergo ISO 27001 certification?
Any organization that requires protection of Information Assets
Certify organizations in:•finance, banking and insurance•telecommunications•retail sectors •manufacturing sector•various service industries•transportation sector•Government bodies
Applications of 27001
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Benefits and drivers:
Satisfying Customers’ Requirements Requirements from customers to posses a comprehensive security management system
Provision of Security Assurance Certification provides security assurance to the clients that the organization has a robust and reliable security management systems
Why ISO 27001 certification?
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Contd..
Demonstration of Commitment: Certification serves as a guarantee of the effort put into rendering the organization secure at all levels
Showing of Compliance:Certification demonstrates to competent authorities that the organization observes all applicable laws and regulations.
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Enhancing the Risk management: • Leads to a better knowledge of information systems, their weaknesses and how to protect them.• Ensures a more dependable availability of both hardware and data.
Increasing credibility and confidence• Partners, shareholders and customers are reassured when they see the importance afforded by the organization to protecting information.•Certification can help set a company apart from its competitors and in the marketplace.
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ISO 27001 Certification Process
1. Application
2. DocumentationAssessment (Stage 1)
3. Preliminary Assessment (Stage 1)
4.Certification
Assessment (Stage 2)
5. Award of
Certificate(valid for 3 yrs)
6. Post-AwardRoutine
Surveillance
7. Renewal of Certificate(on the 3rd yr)
CERTIFICATION PROCESSCERTIFICATION PROCESS
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IN INDIA……..Bharti Airtel, is a fully ISO 27001 Certified
Organization. Airtel has the unique distinction of being
awarded the largest number of certificates(29) to any company in India across sectors.
The ISO 27001 certification program encompassed all strategic business units - Mobile Services, Enterprise Services and Telemedia Services
It included all central and zonal office locations, data centers, network zones, landing stations, switch locations and Airtel Center.
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TL9000 STANDARD
•. The TL 9000 Quality Management System (QMS) was created by QuEST Forum to meet the quality requirements of the worldwide telecommunications industry.
•It defines quality system requirements for the design, development, production, delivery, installation and maintenance of telecom products and services.
•It provides a measurement system that, when implemented, companies to track performance and improve results
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TL 9000 includes four supplemental areas to the ISO standard: (1)Reliability and associated costs;
(2) software development and management;
(3) requirements for specialized service functions such as installation and engineering;
(4) requirements to address communications between telecom service providers and suppliers
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BENEFITS OF TL9000
AS A BUYER :
By selecting suppliers that are TL 9000 certified, you are assured that they have a quality management system that has been systematically audited by an independent TL 9000 registrar.
AS A SUPPLIER:
TL 9000 certification, along with independent audits, allows you to save time and money by complying with only one quality standard. You save your customers the cost of on-site inspections.
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How TL 9000 SUPPORTS TELCECOM BIZ
Network quality andreliability– Product and service quality– Software development
Customer/supplierrelationships– Quality of supplier services– Customer/supplier communicationand cooperation– Joint quality improvement efforts
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CONTD…
Cycle time reduction– Speed to market– Delivery cycle time
Globalization– Eliminate multiple, overlappingstandards, metrics and audits
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The Goals of TL 9000
• Establish and maintain a common set of telecom QMS requirements,thereby reducing the number of standards for the industry.
• Define effective cost and performance-based measurements to guide progress and evaluate the results of QMS implementation
•Foster a system that protects the integrity and use of telecom products — hardware, software and services
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IN INDIA…….
Infosys Technologies (NASADQ: INFY) has been awarded the TL9000 certification by BVQI (Bureau Veritas Quality International). For the Infosys clients, this means lower total cost of ownership through shared goals on schedule adherence, zero defects, on-time service and improved productivity.
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SIX SIGMA
Six Sigma is the new mantra for IT companies …
Six Sigma is:1. A change management approach2. An improvement approach3. A measurement approach
It uses the following three principles:• Focus on customers• Process orientation• Leadership based on metrics
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Six Sigma for Telecom requires..
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Leading software development companies have embraced Six Sigma :
Infosys Wipro TCS Motorola Texas Instrument Boeing Honeywell
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Customer Care
Customer Care is the processing of meeting (and exceeding) customer expectations of service.
Customer service is the provision of service to customers before, during and after a purchase.
Customer Care is customer service that seek to acquire new customer, Provide superior customer satisfaction and build customer loyality.
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Objectives of Customer Care
Achieving customer satisfaction .
24*7 Services.
Creating rapport and building loyalty .
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Ability Of Customer Care
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Customer Care
Customer Care
Customer CareCustomer Care
Functions OfFunctions Of
Customer SurveyCustomer Survey
Customer Relationship Mgmt
Customer Relationship Mgmt
Customer Service Advisor
Customer Service Advisor
Technical SupportTechnical Support
Sales ProcessSales Process
AwarenessAwareness
Non Technical Support
Non Technical Support
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Strategies adopted by CC
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Standardization
ISO 9004:2000 which is about performance improvements .
ISO 10001:2007 which guidlines the code of conduct on customer services.
ISO 10002:2004 which addresses the quality management on handling of customer complaints .
ISO 10003:2007 which is about dispute resolution .
The International Customer Service Standard (TICSS) .
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Techniques Used in Customer Care
ACD (automatic call distribution).
Call Recording (call recording software) .
Email Management .
IVR (interactive voice response).
AHT (Average Handle Time) .
BTTC (best time to call).
CTI (computer telephony integration).
Issue tracking system.
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Telecom Customer Care
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Customer Care Organization Structure
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Customer Care Structure
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Telecom in Customer Care
In terms of no of call
Source : IMRB Report
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Customer Care in Indian Telecom
www.hud.ac.uk/uni/customer/pdf/Customer_care_booklet_web.pdf
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Customer Care Satisfaction in Telcos
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Time Duration of the Call
Source: www.ibef.com
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Source : www.ibef.com
Feb: 2008
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VAS
Value added services
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Telecom subscribers growth rate more than 50% in 2008.
Source - TRAI
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Most of the subscribers are added from bottom of the pyramid with low usage.
Some alternative revenue streams are required to stop the decreasing ARPU.
VAS is the alternative stream.
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Pre paid and Post paid market share. 2008
Opportunity for generating increase revenue through exploring potential value added services like subscription pack of news , alerts etc
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Need for VAS
Decrease in ARPU despite increase in subscribers.
Decreasing call rates
Saturation in metro and urban areas
Increasing need and demand from consumer
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Definition of VAS
VAS in telecom industry refers to non core services, the core or basic service being standard voice call and fax transmission.
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VAS market
The current VAS industry is estimated at Rs 9760 crore by end june 2009 and Rs 16520 crore by end june 2010.
Source – IMRB report
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VAS REVENUE IN INDIAN TELCOS
Source : ibef.com
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Source : ibef.com
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Source : ibef.com
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Source : ibef.com
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MVAS categories
Entertainment VAS
key contributor to MVAS industry
generates heavy usage and heavy revenue.
jokes, ringtones, games..
Info VAS
provide specific info to end users
news,stock updates..
mCommerce VAS
involve some transactions
buying movie tickets,transfer money from one bank to another.
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Comparison of categories
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Perceived and practical value
Perceived value – depend upon perceived rather than actual utility to the end user. When the immediate benefits may not be clear to subscriber, the value that the user derives from it largely depends on the marketing efforts.
Practical value – completely based on tangible benefits derived from the service. Benefits could be based on time, money etc
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Pillars of VAS
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Access device – lack of features like GPRS, GPS makes the number of MVAS futile
Content – it depends on geography
marketing of content is done by operators, not CA/CP.
regional content will give boost to MVAS market
challenge – different languages.
Infrastructure – setting up infra in rural areas going to play major role in growth of MVAS.
Technology - independent of geography
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MVAS in rural areas.
Depends on some key factors –
1. Depend upon there need
2. Awareness for VAS
3. Easy and cheap access mode.
Communicating the VAS to rural people is bigger challenge
This can be done through regional SMS, separate SMS gateway needs to be installed.
Literacy level is another limitation
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Nature of the Rural Market
Large Numbers
Low Density
Low Purchasing Power
Weak support infrastructure
Low VAS awareness (10%) & usage (1%)
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Understanding the Rural Consumer
Consumers mainly use voice •SMS is difficult to use due to illiteracy and language problems•Most consumers cant even use the address book/ contacts feature•The phone is used mainly for limited purposes:–For business/ employment related enquires.–To enquire the well-being of relatives in nearby towns.–To call for help during an emergency.•Farmers/fishermen want to know market prices for their produce in cities that are nearby•Phone is not personal. A household or many families share phones•Primary & Secondary users•Intermediated Interaction scenarios
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Info Services
Examples
Mandiprices in local markets.
Weather. Trains/Bus routes & timings. Local News. Investment Tips. Job opportunities in nearby commercial centers
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Challenges
Cost
Low density; High investment per user. Consumer education. Localization (Content & Language).
Support Infrastructure.
Social structure.
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MVAS ecosystem
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Revenue distribution
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Key factors playing role in revenue distribution
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Platform – revenue share distribution depends on type of access mode used to deliver VAS. e.g if voice portal is used than technology enabler will get more revenue, as compared to SMS platform is used.
IPR – revenue distribution depends on type of content
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Comparative analysis
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VAS access modes
SMS platform
MVAS market is dominated by SMS in terms of revenue.
Voice platform
interactive voice response is used to deliver voice based value added services
GPRS platform
this contributes around 6-7% of the total MVAS revenue
Unstructured supplementary services data platform(USSD)
session based mechanism for delivery of service to the end consumers. These services are delivered through interactive voice session. Contribute around 2-3% on VAS revenue.
MMS platform
includes multimedia objects.in india it is in nascent stage
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Evaluation of access modes
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Drivers to growth of MVAS
Marketing effort by operators
Increase in user base
Price decline of VAS services
Entry of MVNO
Need for entertainment
mCommerce services
Local content
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Barriers to growth
Limited awareness of services.
High cost of content.
Limited availability of local content.
No Transparency in Revenue sharing arrangements.
Exit barriers for MVAS consumers are high.
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New services in VAS
Mobile marketing.
Mobile banking.
Location based services.
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Mobile marketing
Growth drivers-
High penetration of mobile phones.
Usage of voice as a media for mobile marketing.
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Mobile banking
Various modes –
SMS
USSD
Growth is driven by-
convenience of banking operations
greater reach to consumers
Challenges to m-banking-
security concerns
limited usage of GPRS
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Location based services
High cost of LBS supporting devices –
GPS enables handsets act as roadblock for development of these services
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MVAS market in India
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Future of VAS in India
Consolidation of MVAS content provider’s market
Rational revenue structure
Rural MVAS market
Growth of mcommerce market
Differential pricing of content
Number portability
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