Steven Hartley takes a few minutes to remind us of the importance of ‘striving for simplicity when determining a pricing structure for mobile broadband’…"Pricing is becoming a critical component for operators that are looking to maintain or generate incremental ARPU from mobile broadband services. Therefore, mobile operators around the world are deploying new pricing models for mobile broadband. These range from basic innovations such as free unlimited Facebook usage to charging schemes that require network intelligence such as quality of service (QoS) prioritization and speed-based pricing.However, many of these charging models come with inherent weaknesses, and we believe that operators should strive for simplicity when determining a pricing structure for mobile broadband services. Easy to understand charging models are crucial. They must also allow operators to target different market segments and upsell to them. Moreover, these tariffs must come with a data usage cap to ensure that operators have a mechanism to charge for additional usage.
Despite the importance of mobile broadband tariff innovation, operators must be aware that any innovative models that they adopt can be quickly replicated by other operators. A successful pricing model will most likely be copied, or even bettered by competitors. Therefore, operators that pursue innovative tariff models must appreciate that it is an ongoing process that requires constant innovation."Join us at Pricing Mobile Data to hear more from Steven and to learn how innovative tariff models can be achieved.
