In today’s telecom industry, MVNOs are seeing many new competing wireless, cable and adjacent industry players entering the market. MVNOs should address this new challenge and target high-value subscribers instead of basing their revenue on low-hanging fruit.
Acquiring “cheap” customers can be great for customer acquisition, but running after 10EUR customers should get MVNOs thinking and worrying about the long-lasting impact on their profitability and sustainability.
MVNOs must be able to increase customer lifetime value rapidly by driving higher service consumption and better customer loyalty. Most MVNOs operate on tight profit margins, with discount MVNOs having a monthly ARPU lower than 10EUR when the acquisition cost can go up to 40EUR per subscriber. With end-users always chasing the best mobile deal, MVNOs might never recover the acquisition cost, thus requiring injections of capital to stay afloat.
Read how Tweakker Engagement enables MVNOs to orchestrate effortlessly customised engagement workflows. They have been specifically developed to help you cultivate customer interactions and boost customer spending and margins.