White paper: how to get a sweet deal out of Google Play?

White paper: how to get a sweet deal out of Google Play?

Did you know subscribers who make payments on Google Play generate 130% more revenue for telcos?

Over the past few months, we have been working on putting together a white paper for telcos to maximize Google Play revenue. This white paper covers:

  • What needs to be done in preparation for the launch?
  • How to minimize failed payments?
  • How to educate your customer support team?
  • How to optimize spend limits to maximize spend?
  • How to activate subscribers through marketing campaigns?
  • How to analyze the results and improve your action plan?

Whether you’ve been live with Google Play for a long while or just preparing for the launch, there’s fresh ideas in the white paper for everyone.

Fill in your contact details below and you'll be able to access the white paper immediately.

What happened in the digital industry in July?

What happened in the digital industry in July?

July has come to an end so time to look back at what happened in the industry during the month. From our side, we shed some light on how telcos can expand their digital content portfolio through reselling and also updated our dynamic user spending map with numbers from June.

While keeping hard at work through the blazing heat, here are the stories that caught our eye during the last month:

General mobile

Payments

E-commerce

Digital content

Gaming

Co-marketing: What is it, and what can it do for your business?

Co-marketing: What is it, and what can it do for your business?

Note: This article originally appear on The Next Web.

How can we make our company grow faster than the day before? This thought crosses my head on a daily basis. At Fortumo, our success comes down to how well our partner companies are doing.

It’s not an easy thing to grow a company, but I want to share an approach with you that has helped some our partners grow, in hopes that you are able to replicate it.

First of all, let’s identify the obstacles. Most of the companies we work with have the same growth-related challenges: Acquiring more users, converting them into paying customers, and keeping them loyal.

This set of challenges is universal but solving them depends on the target audience. A growing problem for our partner companies is that the audience is changing.

The digital audience used to come out of North America and Western Europe as most of the world’s population with access to the internet was located in these regions. Today, the US has fallen behind China and India in smartphone ownership, and there are 2x more smartphone users in Indonesia than people living in the UK.

This means our customers need to solve the user acquisition growth in countries that are unfamiliar to them. Should we run a campaign targeting Indonesia on WeChat, Line, or Kakao? How many people in the country speak English and do we need to localize our ads? What sort of platform distribution will be expected between iOS and Android? How many of the users have a credit card or a PayPal account? How much are local consumers willing to pay for content, considering their income is substantially lower than those of our existing customers?

Finding answers to these questions is a prerequisite for running a successful user acquisition campaign. The solution is to either do thorough market research or hire local experts. Both of these approaches require an upfront investment in time and money. But there is an alternative.

Introducing co-marketing

Co-marketing means partnering up with another company and promoting both services together through a mixed pool of resources. In the telco industry, this approach has been used for years and is referred to as bundling.

In case of telcos, their main co-marketing partners are streaming services whose products align well with the telco’s goals of selling more of their own products (mobile data). Co-marketing in this case works as follows:

  • Streaming service provides discount to telco subscribers
  • Telco packages the discounted product with one of their own products
  • Telco promotes the offering to their users through their marketing channels
  • Subscribers purchase the bundled product and get access to the streaming service

There are various models used in case of telco-streaming co-marketing, ranging from simple reselling of the service by the telco, to more complex deals where discounted offers are given to users either in the telco’s channels or promoted inside the merchant’s service to customers of that telco.

Co-marketing works successfully between telcos and streaming services because one side has the capability to reach local consumers, and the other side has an attractive service which can be used to incentivize those consumers. Taking a step back, could this approach not be leveraged by other segments in the digital industry?

If your goal as a digital merchant is entry into a new country, there is a multitude of verticals to partner with for co-marketing. Local newspapers, video websites, communication platforms, ecommerce and classifieds sites all have existing marketing capability to reach local users. They all operate in highly competitive environments, so getting an extra incentive (your service, discounted) to provide to their customers is something they’ll likely be interested in.

Co-marketing partnerships can also be effectively leveraged with partners beyond the digital industry. Your service could be linked up with the loyalty card of a local convenience store chain or bundled into employee loyalty program schemes of the target country’s biggest employers.

The key to success is finding an organic match with another product that doesn’t directly compete with yours; if you’re developing a task management tool, it makes sense to team up with the local business newspaper; if you’re developing a fitness app, employers promoting wellness to their employees will want to consume that app.

There are of course costs involved in setting up co-marketing deals as users need to be incentivized by discounts or free trials for the partner company to have the motivation for bundling your product. At the same time, the need to do local market research is significantly reduced and local presence is not required, as the partner company should already know their audience, and have promotional capabilities in place to reach that audience — and bring you new users.

Planning on expansion and launching your service in a new country? Perhaps it’s worth checking out local companies with the biggest web traffic, getting in touch with them and seeing if they are interested in teaming up with you.

In addition to telco co-marketing, our Trident Bundling Platform also supports two merchants launching a bundle between themselves. Get in touch for more information.

How can telcos accelerate digital service launches with reselling?

How can telcos accelerate digital service launches with reselling?

Content bundling is an increasingly popular business line for telcos to grow their digital business revenue and increase customer loyalty. While the overall telco industry is growing at roughly 1.5% per year, Juniper Research forecasts bundling to drive carrier billing revenue to an impressive 300% increase by 2022. In the video streaming segment, over 150 telcos have already launched bundling partnerships according to Ovum.

At the same time, launching bundling partnerships can be challenging for telcos. Since the goal of bundles is to differentiate the telco offering from the regular one on the market, additional incentives have to be provided for the consumer to sign up for the bundle instead of directly with the OTT. This incentive can be longer free trials, additional discounts or extra features provided with the bundle.

In return for providing such incentives, the OTTs expect a guaranteed promotion of their service from the telco to recoup money lost due to providing parts of the service for free. Because of the large sums of money involved and required for promotions, telcos and OTTs often have a tough time in coming to a mutually acceptable agreement. In some cases, we have seen discussions last for more than two years.

There is however a faster way to start increasing revenue and leveraging the brand value of digital services for user acquisition: reselling. A growing amount of telcos are partnering up with OTTs by becoming their vendors and setting up digital storefronts through which they sell OTT services to their subscribers, effectively becoming digital experience enablers. Here is how a reselling flow might look like from a consumer perspective (click for bigger):

Fortumo Trident Bundling Platform digital content reselling flow example

In case of reselling, the telco and OTT agree on the commercial model, based on a revenue share out of each OTT license sold, and the telco is free to choose how they wish to leverage and promote the digital service in their marketing campaigns. Reselling accelerates the launch of new digital services for telcos for multiple reasons:

  • Many OTTs have fixed reselling packages, leading to faster agreements
  • No technical work required on the OTT side lead to faster integrations
  • Freedom of choice in where and how much to promote the digital services
  • No cannibalization from other payment methods as telcos host the reselling flow
  • Lower risk, as no promotional guarantees are required
  • Management, control and transparency of the user lifecycle for the telco

Bundling and reselling aim to achieve different goals and are not mutually exclusive. While for bundling the goal of telcos is to upsell subscribers and achieve bigger sales of the telco’s own services, reselling provides an opportunity to earn revenue from the sale of digital services directly.

This means telcos can and should pursue both activities in parallel as this allows to bring on board more digital partners faster, increase the choice for their subscribers and enables segmented targeting of users with a more flexible range of marketing campaigns.

Telcos looking at both models should keep in mind that our Trident Bundling Platform can be used for both bundling and reselling, requiring minimum effort from telcos to launch thanks to its turnkey setup and comprehensive features:

  • Landing page management on behalf of the telco
  • Consumer authentication with the telco and OTT
  • Free trial and discount provisioning
  • Charging solutions using DCB, cable TV and landline bills
  • Consumer-related notifications and unsubscription flow management
  • Reporting and analytics through Fortumo Insight

Interested in hearing more about Trident? Get in touch.

June is over. What happened?

June is over. What happened?

July is here and we are now beginning to enter the slow news season. Fortunately for us, the digital industry does not stop which means we still have some stories to share with you.

From Fortumo’s side, we published our Western Europe market report in June and also shed some more light on how bundling is coming an increasingly popular way for digital companies to grow. Check it out.

Here’s what caught our eye in June:

General mobile

Payments

E-commerce

Digital content

Gaming

« Previous posts