The Background
Following the successes of Virgin Mobile and Tesco Mobile, many retailers have taken an interest in the Mobile Virtual Network Operator (MVNOs) market. MVNOs combine the technical expertise of the mobile network operator with the marketing skills of major retail / media brands to focus on niche target groups.
CVL was approached by a major retailer with a strong brand name, an extensive retail network and an impressive sales history in Pay-As-You-Go phones to explore the MVNO market and identify whether there were opportunities to replicate Virgin's success.
“We asked CVL to provide an expert opinion on a potential new market. Their analysis was pragmatic and direct, allowing us to identify several potentially significant opportunities within a very short timeframe.”
Head of IT, Client
The CVL Solution
CVL helped the client understand the market, clarify key issues and identify where opportunities existed.
This process was combined with workshops where these opportunities were matched against the client's internal needs (i.e. business drivers, strengths / weaknesses, etc.).
The work concluded that the business had opportunities to test the market as a value added service provider, but that there was not a strong enough business case to move forward immediately as an MVNO.
There was, however, a much stronger case for moving into other areas of the mobile value chain, specifically in the distribution space where existing expertise could be leveraged.
The Benefits
CVL's combination of market sector expertise, client understanding and consulting knowledge meant we were able to undertake this process, from initial education of the market through to final proposition development, within incredibly short timescales.
The output from this work resulted in the client implementing a major programme to develop the proposition that was identified by CVL. This has now been launched and has achieved significant success.
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