“Both increased cost efficiencies and new revenues are achieved using the same technology tools and approach, treating data traffic in a more granular way based on the realization that all data packets may not be created equal in an IP network,” said Monica Paolini, Senza Fili Consulting.
“While voice service has become highly commoditized with declining ARPU, the good news is that mobile operators can reverse that decline,” said Madan Jagernauth, vice president of marketing for Mavenir Systems. “MNOs can reverse the decline of ARPU by introducing new services themselves and by partnering with OTT players to generate revenues.”
HIGHLIGHTS
Mobile operators can raise their ARPU by 15 percent in 5 years by:
Offering subscribers more choice and flexibility
Establishing mutually beneficial partnerships with OTTs, content and application providers, and advertisers.
Requires a new approach in presenting and charging for services
In our revenue-generating framework, optional services become the main ARPU contributors, accounting for 65 percent of service revenues in Year 5.
Partner revenues account for 17 percent of ARPU by Year 5 (operators and ecosystem players).
Adoption of RCS and add-on services give operators more control over traffic.