The Business Drivers Behind Converged Billing Geoff Coleman
The World Is Changing The OLD Way Trading Auctions Travel Billing Batch process: • Requires an intermediary • Slow, time consuming • Minimal engagement • Few options available • Selective markets The NEW Way Real-time process • End-user is empowered • Instant, responsive • Dynamic, interactive • Many options available • Mass markets 2 Note: All marks, logos and company names referenced above may be registered trademarks or trademarks of Comverse or the respective referenced company(ies) Real Tim€ Billing
The New Way • The risk associated with content, calls for services requests to be authorized and credit limits to be applied to all subscribers in real-time • The way subscribers use new services creates the need for instant availability of account information • Subscribers expect services to be personalized/customized to their needs • The divide between prepaid and postpaid is dissolving – the need is for a unified billing approach Realizing the Vision: 3 “Real-Time Billing for all subscribers to all services independent of payment method”
Real-Time Billing - Really Makes The Difference Revenue Realization Combine service authorization, rating and charging into a single real-time process Fast deployment of new services Minimize time to market - stay ahead of the competition Focused Marketing Real-Time subscriber information to stimulate usage and encourage loyalty Real-Time Billing allows operators to foster a retail relationship with their subscribers by continuously allowing them to capture the moment in which the subscriber is in the purchasing mode, enabling a positive customer experience 4
Operator View of Business Drivers Real-time usage information Very important Reduced costs Important Reduced revenue leakage/risk Not very important Hybrid Accounts Not at all important Real-time billing/credit limits 0 20 40 60 80 100 Source: Informa Telecoms & Media, 250 Mobile Operators May 2005 96% of operators believe that the ability to impose real-time credit limits on all subscribers is important Over 90% of operators believe that converged billing should reduce revenue leakage 5 Over 75% of operators believe that they will need to offer hybrid accounts
SIMPLE AND MORE The VOXmobile success story Vincent Lekens – Head of IT & Billing Department Frankfurt – November 2005
Gaining competitive Advantage in the Next Generation Marketplace by Developing a Convergent Strategy Agenda ° Business Profile ° VOXmobile roll out strategy ° New services ° Why did VOXmobile choose a converged billing solution? ° Questions & Answers
Who is ? ° VOXmobile S. A. is a Luxembourg société anonyme. ° Main shareholders: ° BGL Investment Partners: ° Audiolux: www. bip. lu www. audiolux. lu ° Through its shareholders, VOXmobile has a strong link into the Luxembourg economy (banks, auditors, media industry, …). ° The purpose of the company is to construct, maintain and operate: ° mobile cellular network (GSM Edge, UMTS) ° Public WLAN and ° fixed telephone networks in Luxembourg. ° VOXmobile has been awarded by the Grand Duchy of Luxembourg ° a UMTS (384 Kbps) ° a GSM 1800 license, incl. EDGE (220 Kbps) ° a fixed line network license (fixed, IP, DSL, …) ° VOXmobile has a strong service oriented mobile strategy. ° VOXmobile has a strong content oriented mobile strategy.
WLAN GSM/DCS UMTS GPRS ROAMING the world is mobile Wi MAX EDGE FIXED ADSL Vo. IP SERVICES CMTS
The Luxembourg Mobile Market mobile operators in Luxembourg ° Luxgsm: ° Incumbent ° Start in 1992; ° Vodafone partner since 2004 ° Tango: ° Start in 1998; ° Member of TELE 2 ° VOXmobile: ° Started May 12, 2004 ° ° ° Using national roaming with LUXGSM Own UMTS network operational February 2005 Own GSM 1800/Edge operational Mai 2005 High focus on services and content High focus on corporate customers
VOXmobile – 1, 5 year old ° Subscriber growth rates exceeding expectations ! ° Marketshare today: ~ 22% ° > 48. 000 active postpaid customers 23% marketshare on postpaid! ° > 34. 000 active prepaid customers 19% marketshare on prepaid! ° We intend to archieve a marketshare end of the year 2005: 25%! ° Fixed customers: 6. 5%
Roll-out strategy ° The GSM services of VOXmobile: SIMPLE AND MORE ° Launch GSM services: 12 th may 2004 ° “National Roaming“ with LUXGSM guaranteeing a coverage of 99% of the population at launch! ° Strong differentiation by new services platforms e. g. ° Advanced Messaging, FUN Dial, E Mail Push, IVR ° Supervision of systems from 24 hours, 7 days per week ° Transparent migration from GSM to UMTS for end user. ° Seamless handover between own UMTS network and own GSM/Edge network
The up most complete offer on the market ° Voice and Video: (Mobile and Fixed network) ° All kinds of Voice calls including: Video calls (3 G only), ongoing extension towards Edge and ADSL ° Unified Messaging including: ° VMS & Video mail (fixed & mobile) ° SMS & MMS including Video MMS ° E mail and mobile synchronisation (VOXmobile @vantage) ° WEB and WAP interface ° SMPP SMSC interface for SMS notifications ° DATA services: ° Broadband Internet/Intranet access on GSM and UMTS network ° Broadband Internet/Intranet access via ADSL or leased lines
WIFI – 20 000 hotspots worldwide ° High speed wireless access to Internet ° National coverage in public areas, hotels, banks, … ° W LAN installation and integration at corporate side ° VOXmobile subscribers get invoiced on their classic invoice due to RTB integration ° Easy to use ° VOXmobile subscribers get access to tens of thousands of hotspots accessible worldwide through partners as:
Partners Infrastructure: Information and billing: Messaging and content:
A Unified Approach to Billing Real-Time Prepaid Postpaid Non Real-Time
VOXmobile Converged Billing Customer centric Prepaid Payment Postpaid Payment CAP 3 Data Monitor OSA/Parlay e-payments Rating Engine Real-time Non Real-time CDRs Mediation TAP/CYBER Files Engine Real Time Billing for All Subscriber for All Services
Why VOXmobile converged? Unique Real-Time Billing System ° All subscribers are rated in real time allowing: ° 100% accuracy of invoices as every transaction is authorized (learn from the banking industry) ° Managing consumptions for customer in real time due to real time invoice control ° Impose and manage a credit limit on every user or usage limits with alerts ° Split Billing and Mixed Prepaid/Postpaid ° 2 Lines on a single SIM card with hunting functionalities ° VPN (on fleet; off fleet; short number dialing) ° No differentiation between Prepaid and Postpaid customers: ° ° ° Same services including data, roaming and content Single integration with content systems Same payment interface, including Direct Debit Easy change form Prepaid to Postpaid and vice versa Easy MSISDN change Need for real time roaming billing (Camel ph 2) for prepaid and postpaid ° Integration of mobile and fixed services
Fully secure billing platform ° Fully redundant and clustered platform; ° RTB able to manage simultaneously 500. 000 busy calls; ° State of the art data storage solution with online back up (tapes are stored in a secure building outside our premises); ° Individual authentication on the billing platform; ° Secure access to the servers rooms with video cameras;
RTB/CRM integration ° RTB and CRM provided by same supplier; Comverse, having 100+ references; ° Calls are stored online in the CRM; ° Activation and updates of subscribers is online from the shops, through the CRM, to the RTB, the switch, the VAS platform; ° Bulkload of subscribers through the CRM for corporates.
RTB/VAS integration ° SMSc is able to manage 60 SMS per second; ° Online rating of all events in the RTB, based on the user profile for all VAS services (SMS, MMS, web, Downloads, …) ° Online rating of W LAN and DSL usage in the RTB ° VAS services platforms are easy to integrate, being Comverse or not.
Real-Time Data Billing integration (DCMP) Mobile & DSL subscribers are rated online through DCMP ° DCMP engine provided by Comverse; ° Acting as a proxy for all of our subscribers, prepaid or postpaid, in Luxembourg or abroad; ° Sensitive charging based on content type, website, subscriber category, roaming scenario;
W-LAN integration ° W LAN usage is rated online in RTB ° Integration of the Radius tickets through the payment API ° 1 single invoice for our subscribers ° Differenciation between private and business usage ° 1 integration for both prepaid and postpaid
Billing/SAP integration ° All subscribers automatically pushed in SAP at creation; ° All invoices, credit notes, debit notes are generated in the CRM and automatically stored in SAP; ° All payments are loaded in SAP and automatically pushed in the CRM; ° Autogenerated reports provide daily any inconsistency between SAP and CRM.
Billing and CRM operations ° All users actions are logged in and can be tracked; ° All platforms and services are located and operated in Luxembourg; ° Integrated CRM system for shops and resellers; ° Web self care interface for subscribers;
Tariffs ° Defined in the RTB ° Subscriber based tariff definition; ° International and roaming calls are rated online through a defined matrix pricelist; ° Closed users group charging; ° Formal procedures follow up for tariffs updates
Web. Billing interface ° All subscribers are rated online for all events leads to ° Better cost control for families and corporate ° Better corporate / private usage follow up ° Alerting service offered by VOXmobile to avoid misuse ° Opportunity to change tariff plan / account within a billing period ° Bill split at subscriber knowledge (as soon as the corporate contribution is reached)
IT & Billing department Head of IT & Billing department Billing coordinator SAP project manager Web. Master Software engineer Premium content Software engineer Billing & Intranet Systems Engineer Helpdesk
Converged leads to leading ° Thanks to our converged RTB, VOXmobile is faster on the market: ° 1 Single interface development for both prepaid and postpaid ° Online billing information for all subscribers ° Prepaid – postpaid toggle and vice versa ° Web self care interface offers the same functionalities > NO MORE DIFFERENTIATION ° Online management and financial reporting