Customer Centric Business Development. Baard Eilertsen, CEO at Maingate
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1 Customer Centric Business Development Baard Eilertsen, CEO at Maingate
2 Maingate facts Founded in 1998 A virtual mobile operator focusing on M2M services for industrial applications B2B Professional message service provider Nordic market leader Customers worldwide More than 1500 customer references 2
3 What is it?
4 Source: Pekka Viljakainen, Tieto
5 Is it...? WESTPORT, Conn. Velocity Express, Inc. (NASDAQ:VEXP), a leading provider of time critical delivery and supply chain solutions, announced today a major expansion of its integrated customer centric business development strategy by opening a centralized, state of the art and highly automated Customer Care Center. The Center is designed to provide world class customer service to Velocity's customers nationwide. It was designed with the assistance of Alvarez and Marsal, and will provide Velocity clients with a single point of contact, service escalation, detailed... Source: BusinessWire 2005
6 Or is it...? Utility Value Chain Generation Trading & Wholesales Transmission & Distribution Sales Generation Trading Wholesales Transmission Distribution Sales
7 Supporting the business processes Generation Trading Wholesales Transmission Distribution Sales Meter to cash The objective is cost effective operations based on integrated and automated processes Close the gap The objective is to achieve higher margins and gain better control of the business CRM The objective is to retain existing customers, increase sales and minimize operational costs Asset management and services The objective is to achieve costefficiencies by supporting the process from strategic planning to operations of the distribution network
8 Key issues Willingness to listen Ability to understand Humbleness to learn How does the customer buy? Why does the customer buy? Understand your customers business Respect your customers challenges Exceed on expectations Measure your added value
9 Adding Value is Better Than Being Cheap!
10 Assignment! In groups of two: What are your customers real challenges? Could your company address these challenges, how? Spend ten minutes discussing the issue
11 Let s have a break!
12 Session 2: Maingate approach in customer centric development
13 Market & Future market M2M subscriptions 2009 future (2020) 50 Million M2M Subscriptions 1 Billion M2M subscriptions Currently there are 1,6 Million M2M subscriptions within the Swedish market (Source: PTS report Oct.2009). This gives Maingate a market share of 12,5% in Sweden Globally Maingate represents 0,004% Market share (in subscriptions 2009)
14 Competitive landscape System - Ericsson - Nokia Siemens - Huawei etc. Inter-/Intranet - Google - Microsoft etc. Hardware - Landis & Gyr - Echelon - Cinterion etc. European market for M2M MVNO s -Maingate -Jasper (KPN) -Wyless - Aspider etc. TietoEna tor Integrators -IBM - Logica -Telvent -Accenture etc. Operators - Vodafone - Telenor Connexion - Orange - Telefonica - Telia (Nordic) etc.
15 Wireless WAN Devices Shipped by Service Sector Worldwide (millions) Source: Beecham Research 2008
16 What to do?
17 The new market leaders! Shift of strategic focus Product leadership ( ) superior products time to market R&D, innovation Industry level Superiority Operational excellence ( ) cost leadership quality and service efficiency Customer intimacy (2005 ) adapt to special requirements deep, long relations loyal to brands Treacy s three competitive strategy principles
18 1 st decision Vertical focus and cross industry knowledge brings added value Security Utility Industry (POS)
19 2nd issue What do these have in common?
20 Obsolete apps replaced by digital one s
21 And they have gone from products to Value added services online ipod >Itunes BlackBerry >Office applications
22 Products position in value added services Value Non Networked marketplace Transition point Networked Marketplace 1. The device becomes secondary to the value it brings to the customer Unfilled needs 2. A way to deliver the service 3. Services become the means to cultivate an ongoing customer relationship Time
23 Wireless WAN Devices Shipped by Service Sector Worldwide (millions) Source: Beecham Research 2008
24 Source: Beecham Research 2008
25 We have to innovate new customer experiences, every day! Because if we fail someone else will!
26 Q&A
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