€5.6bn: The cost of 'screwing up' next-generation mobile services

Let's see what you could have won...
Written by Tony Hallett, Contributor

Let's see what you could have won...

Mobile operators could end up missing out on 16 per cent of potential sales if they fail to pitch and price non-voice services properly, a leading consultancy has warned. Revenue from what Analysys calls MCE - messaging, content and entertainment - should reach E35bn by 2008, making up 23 per cent of all mobile operator revenue. However, that level won't be reached - with a possible shortfall of €5.6bn - especially if operators don't understand what works on 2.5G networks, before even deploying 3G, where MCE should shine. Analysys offers the following advice: - Form a common view of where the operator stands in respect of market position and reputation - Decide on a content strategy with respect to the openness of their network and their own approach to packaging and retailing content - Identify the appropriate pricing strategy based on a small number of key parameters - Set actual prices and levels based on a progressive programme of experimentation and optimisation of prices. Further information is available in the Analysys report: 'Pricing Mobile Messaging, Content and Entertainment Services'.
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