MTN Group Commercial Overview. Christian de Faria Group Chief Commercial Officer

Transcription

1 MTN Group Commercial Overview Christian de Faria Group Chief Commercial Officer

2 Agenda Transforming the strategic intent Group commercial strategic objectives Augment voice offerings Levering data opportunities Mobile money Consumer eco system ICT strategy 2

3 Strategic objectives Augment voice offerings Drive new revenue opportunities Increase data as % of revenue Establish MTN in digital space ICT Strategy Brand Leadership Dynamism and differentiation of MTN Hold key associations MTN Branded Customer Experience Understand customers to become indispensible Providing access, content, products and services Segmented approach Devices Understanding what drives loyalty and prevents churn Increase speed, efficiency and effectiveness Center-led but locally relevant strategies, models and suppliers Cost efficiencies 3

4 Augment voice offerings Voice still offers revenue potential and remains greatest driver of revenues Development of services based on Niche and Bulk Solutions the main theme within the voice space Voice as bearer for content services, such as IVR services key to maintaining of voice revenues Voice over alternative bearer technology such as VoIP becoming more relevant Enhance MTN Zone reporting and assessment of revenue impact Segmented value propositions addressing exact needs of subscriber bundled with lifestyle products (i.e. Trace TV) The MTN SA analysis indicates how smartphone push of selective handsets can aid in stimulating further voice usage despite perception of inelastic behaviour of high value subscribers 4

5 Transforming strategic intent Mobile broadband(mbb) is the key driver to win or lose value in the market Mobile operator revenue split MBB is key decision factor (% revenue) 6% 4% 8% 12% 19% VAS 10% 12-15% Corporate 9% 15% 15-20% 30% Data access 65-75% Consumers using data connectivity services 1% SMS 79% 68% 70-75% 51% Voice Voice + SMS only 15-20% Emerging markets Europe Japan Today 3-5 years Source: Delta Partners 5

6 3 rd Party Engagements Logistics, Distribution & Sales Support Marketing Technology Partners Aggressive intervention required to remain competitive Non-industry Strategic Partners Digital Malls Internet Gateway Don t compete but Partner Charging Play key role MTN Mobile Money Network Leadership in data Device Core to MTNs value proposition Consumer Subscriber Business Differentiate and focus on business Value Propositions + Key Accounts 6

7 Fast-tracking access through Opera mini browser Group Agreement Signed a Group Agreement 11 August 2011 with Opera Mini Browser Launched to date South Africa (700k downloads) Nigeria (15 Sep mil downloads) Ivory Coast (20 Oct 11) Uganda (31 Oct 11) Launches Planned for November Rwanda Ghana 7

8 Approval on service delivery platform Subscriber to benefit by accessing content via any channel00 WAP Web IVR USSD WIG/STK SMS Seamless delivery of content, regardless of channel Messaging Gateway Device Repository Subscription Engine Billing Engine Transaction Log Reporting, billing, profiling and financial reconciliation SMSC MMSC Streaming Servers Charging Interface Handset Detection OTA Platform Network nodes accessed via SDP and integrated into core network functions Service Delivery Platform Developer 1 Developer 2 Developer n The SDP environment must integrated into various operations and network nodes (deployment shouldn t be for just one operation) Independent developers as well as vendor developers should be able to access and develop applications for all MTN operations 8

9 Service examples mhealth Feb 2011 signed a Group MOU with Sanlam as a strategic partner on mhealth Our strategy is to enable access to affordable healthcare MTN Uganda launched health tips & clinic finder via sms MTN Nigeria facilitated an industry mhealth workshop with participation from Govt, NGOs, private sector to define the landscape on mhealth minsurance March Group Agreement signed with Hollard MTNs role is to facilitate payment, registration and provide co-marketing June Pilot launched in MTN Ghana via Mobile Money 9

10 Segmented device strategy Consumer

11 Segmented device strategy Business

12 Mobile money Achievements Launched in 12 countries with more than 5.1 million subs Finalised Fundamo roadmap of features to be developed Governance process in place Extended partners programme (Western Union, BIBS and MFS) Focus areas Partner selection Evaluation of platform MoMo wallets to be linked to VISA payments Retail payments International airtime transfer Launched in 10 countries Streamline existing contracts 12

13 Developing digital marketing strategy To build a best in class digital presence for MTN, positioning the company as a leader in its emerging target segments To enhance existing and new social networks to drive engagement and increase number of MTN ambassadors To provide customers the platform to contribute and be part of the new Digital MTN within the integrated digital approach 13

14 Social media strategy To manage the brand reputation online, driving awareness and engagement using paid media To compile consumer insights, using owned media and sentiment analysis in building relationships To accelerate problem solving and increase sales, leveraging earned media Objective Branding and Engagement Insights and Sentiment Purchase and Support Metrics Share of voice Engagement Reach Active Influencers Impact Satisfaction Resolution Impact Content Banner Ads Adwords Wikis Blogs Reviews Comments Media Paid Owned Earned 14

15 Months Strategy & Leadership Understanding Customers Planning Activity Customer Propositions Customer Channels Measurement Defined the customer ecosystem Should be addressed via an integrated approach vs isolated projects Segmentation Loyalty CRM! "#$ "%$ "&$ ' %$ ' &$ ( %$ ( &$ ) ( $*$! ) $ "+ $ ", $ ' + $ ', $ ( + $ (, $ ' "$*$) - $! %$! &$. %$. &$ /%$ /&$ AAA AA+ % RGS Naming Top 1% Diamond Next 4% Platinum!" #$#%&' %!!( ) *+#%*,! C ' 2D+%8!+%!$?#!C +E#2!9' %$#A$! Customer Experience = 3,! ( A4#2+#%*#! ( ' $*$' ) $! + $!, $. + $., $ /+ $ /, $ AA- Next 5% Gold!- *. /+0+&' %! 9/0$' : #2!B35/#! ( %?3%*#: #%$! "$*$( /$ 0%$ 0&$ ) %$ ) &$ 1%$ 1&$ A+ Next 7% Silver!1#%#$23&' %! - $*$) $ 0+ $ 0, $ ) + $ ), $ 1+ $ 1, $ A- Next 8% Bronze 1#' 45#!6!7 283%+03&' %! $$ 232$ 32$ 34 2$ 5 4 2$ 5 2$ 252$ B: Next 25% 9/0$' : #2!;%<' 2: 3&' %! GHC C: Next 50% Clusters our customers based on behaviour Prevents churn in customers that provide highest value A framework that informs and integrates the strategic and operational plans of the business 15

16 ICT work group established Objectives Establish the business and technical work streams to further define the detailed scope of the ITC strategy deliverables Define the principle decisions to form the support governance structure to implement the strategy moving forward Develop the coherent strategy and develop a plan for deployment Participation from MTN Business Ghana Nigeria South Africa Group Technology Group Commercial 16

17 Mobile internet ICT & mobility management Mobile Workforce Management Provided Not provided Internet access Collaboration tools Mobile device management Mobile resource management Additional remarks Service providers Verizon provides full-fledged mobile workforce solutions, from VPN network access to enterprise messaging. It also provides service for tracking the location and dispatching mobile workforce MTN Uganda provides a basic version of mobile office solution, combining mobile broadband access and push -based collaboration tools Vodafone s featured mobility as a service offers mobile device management in a hosted Software-as-a-service model Platform providers Partners with operators (Vodafone, Milcom) to offer mobile device management solutions (Software-as-a-service) Product providers Industry specialist focusing on field manpower management, including scheduling, dispatching, location monitoring as a software package System integrator with broad experience in enterprise mobility solutions, partner of international operators such as Vodafone 17

18 Mobile internet - M2M Individuals Enterprises / Governments Multinationals North America & Europe Middle East Africa Asia Pacific Latin America Many Many operators operators are betting are betting big on on mobile mobile health health Enterprisefocused M2M applications Governments are starting smart-grid projects in US and Europe STC started Fleettracking/Asset management applications Vodacom and MTN have both established asset management service Enterprise-focused M2M applications are being deployed in Asia Pacific Telefonica is doing trials with and integrated platform for M2M 18

19 Mobile internet Cloud computing SMEs Enterprises /Governments Multinationals North America & Europe Middle East Africa Asia Pacific Latin America Tata to enter SA market through Neotel subsidiary US vendors are now targeting enterprises and government Etisalat launched cloud marketplace and private cloud services Vodacom partnered with Novell to offer cloud solutions to enterprises WiPro targeted SMEs with SaaS platform and enterprises with cloud consulting NEC and Telefonica partnered to introduce cloud services in Americas 19

20 Mobile internet Data centers SMEs Corporations /Governments Multinationals North America & Europe Latin America Europe Asia Pacific Middle East and Africa Major players are increasing their capacity in the US/Canada both via acquisition or increased capacity Dimension Data (South Africa) is seeking Data Center capacity expansion in Latin America Recent movements in the European market are lead by the new virtual Data Center offer launched by BT Asian operators are also increasing their Data Center capacity and expecting a substantial increase in the demand Dimension Data s Internet solutions expand existing capacity 20

21 Thank you

22 Notice The information contained in this document has not been verified independently. No representation or warranty express or implied is made as to and no reliance should be placed on the fairness, accuracy, completeness or correctness of the information or opinions contained herein. Opinions and forward looking statements expressed represent those of the Company at the time. Undue reliance should not be placed on such statements and opinions because by nature, they are subjective to known and unknown risk and uncertainties and can be affected by other factors that could cause actual results and Company plans and objectives to differ materially from those expressed or implied in the forward looking statements. Neither the Company nor any of its respective affiliates, advisors or representatives shall have any liability whatsoever (based on negligence or otherwise) for any loss howsoever arising from any use of this presentation or its contents or otherwise arising in connection with this presentation and do not undertake to publicly update or revise any of its opinions or forward looking statements whether to reflect new information or future events or circumstances otherwise. This presentation does not constitute an offer or invitation to purchase or subscribe for any securities and no part of it shall form the basis of or be relied upon in connection with any contract or commitment whatsoever.