Implementing and Marketing
VOIP Services
Presented by:
Diane Hicks, Partner
John O’Brien, President
Objective Marketing
April 15, 2005
Objective Marketing • 972-588-8620 • www.objectivemktg.com
1
Objective Marketing
Objective Marketing is a full service marketing firm
specializing in the telecommunications industry.
Our services include:
• Product Development and Management
• Market Research
• Acquisition programs
• Loyalty and retention programs
• Revenue modeling and reporting
April 15, 2005
Objective Marketing • 972-588-8620 • www.objectivemktg.com
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We’ve got the VoIP Equipment,
now what do we do?
April 15, 2005
Objective Marketing • 972-588-8620 • www.objectivemktg.com
3
Implementing and Marketing VoIP
Services
Agenda
• Tools for Implementing & Marketing
VoIP Services
• Case Study: Objective Telecom
• Your Next Steps
April 15, 2005
Objective Marketing • 972-588-8620 • www.objectivemktg.com
4
Developing, launching and marketing VoIP
solutions
Identify corporate objectives
Identify corporate strengths, weaknesses, opportunities and threats
Identify your
market and size
the opportunity
Research
competitive
influences
Research
customer needs
Build
product
Test and
modify
Prepare, launch, and
communicate
April 15, 2005
Objective Marketing • 972-588-8620 • www.objectivemktg.com
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Use SWOT to Identify a Company’s Strengths,
Weaknesses, Opportunities, & Threats
SWOT Analysis
Strengths
Internal analysis of company’s
competitive advantages.
• Market position and brand
• Product
• Services
Weaknesses
Internal analysis of company’s
disadvantages.
• Market position and brand
• Product
• Services
Opportunities
Threats
External analysis of company’s ability to
meet unfulfilled customer needs.
• New technology
• Changes in regulations
• New products and features
• Changes in competitive outlook
External analysis of changes in the
market place that may pose a threat
to company’s sales and revenues.
• New technology
• Changes in regulations
• Competitors
April 15, 2005
Objective Marketing • 972-588-8620 • www.objectivemktg.com
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Sizing the Opportunity through Market
Trend Research
Communications Trends
350,000,000
300,000,000
250,000,000
200,000,000
150,000,000
100,000,000
50,000,000
0
2004
US Population
April 15, 2005
2005
Mobile Users
2006
2007
VoIP Projection
2008
2009
Broadband Projection
Objective Marketing • 972-588-8620 • www.objectivemktg.com
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Sizing the Opportunity through
Segmentation
Major Market Segments
SMB
10%
SoHo
20%
April 15, 2005
Large
3%
Res
67%
• Further segmentation of
residential market
• Age Groups
• Income Level
• Education
• Lifestyle (PRIZM)
• Product (CPNI
consideration)
• Further segmentation of
business market
• Employee size
• Industry type
• Revenue
Objective Marketing • 972-588-8620 • www.objectivemktg.com
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Understand your Customer’s Needs
Residential
•
•
•
•
•
•
•
Reduce telecommunication costs
Unlimited long distance
International calling
Additional lines
Privacy
Control
Simplicity
Small Office/Home Office
(SOHO)
•
•
•
•
•
•
•
Appear larger to customers
Expand reach – need an urban number
Additional lines
Mobility
Fax
Marketing
Simplicity
April 15, 2005
Small to Medium Business (SMB)
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•
•
•
•
•
•
•
Inter-office calling
Tie multiple locations
Expandability
Urban presence
Manage lines and voice mail
Reduce costs
Toll Free
Remote access
Enterprise Customers
•
•
•
•
•
•
•
•
Inter-office calling
Tie multiple locations
Expandability
Toll Free
Manage lines and voice mail
Moves, adds and changes
Reduce costs
Internal control
Objective Marketing • 972-588-8620 • www.objectivemktg.com
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The 4 “P”s of Marketing are used
to Develop & Sell Products
Product
Place
Target
Market
Price
April 15, 2005
Promotion
Objective Marketing • 972-588-8620 • www.objectivemktg.com
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More on the 4 “P”s
Product:
Price:
Promotion:
Functionality
Pricing Strategy
Public relations
Appearance
Discounts
Sales promotions
Quality
Bundling
Promotional Strategy
Packaging
Place:
Features
Sales Channels
Warranty & Support
Brand/Name
April 15, 2005
Order Processing
Logistics
Marketing Budget
Advertising
Message
Media Mix
Objective Marketing • 972-588-8620 • www.objectivemktg.com
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Operational Readiness
• Acquiring Numbers
• LD
• 911
• Regulatory Filings
• Process Flow Changes
• Equipment and Fulfillment
• Customer Installation
• Customer Training
• Technical Support
• Internal Training
April 15, 2005
Objective Marketing • 972-588-8620 • www.objectivemktg.com
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Case Study
Introducing:
Objective Telecom,
an IOC serving Rural and Suburban Markets
April 15, 2005
Objective Marketing • 972-588-8620 • www.objectivemktg.com
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Case Study
Objective Telecom Overview
Objective Telecom
Company Name:
Markets:
Rural/Suburban USA
Total Access Lines:
250,000
Bus:
Res:
75,000
175,000
Company Services:
Access lines, DSL, Calling Features,
Dial and Dedicated Internet, CPE,
Voice Mail, Centrex, T-1s, ISDN
Competitors:
Mobile Telephone, ABC Cable Co.,
CPE Unlimited, VoIP USA,
Alternative Telephone
Corporate Objective:
April 15, 2005
Build future revenue streams and maintain
control of customer relationship
Objective Marketing • 972-588-8620 • www.objectivemktg.com
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Case Study
Objective Telecom’s Position in the Market
SWOT Analysis
Strengths
•
•
•
•
•
•
Weaknesses
Strong brand recognition
Community presence
Existing business relationship
Strong customer service
Knowledgeable, dedicated employees
Full suite of wireline services
Opportunities
• Tie new VoIP to wireless solution
• Bundled broadband, VoIP and
Wireline services
April 15, 2005
•
•
•
•
Not seen as “Cutting Edge”
No wireless product solution
No video platform
Scale
Threats
• Line Loss to wireless, Cable,
national VoIP firms, and CLECs
• Loss of customer relationship
Objective Marketing • 972-588-8620 • www.objectivemktg.com
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Case Study
Objective Telecom’s
Customer/Market Segmentation
30% of customer base
Business Customers by Segment
Large
10%
Residential Customers by Age
Over 55
34%
SMB
30%
SOHO
60%
Other attributes to consider:
• Type of business
• Number of employees
• Age/need to replace CPE
April 15, 2005
70% of customer base
Ages 20-40
26%
Ages 41-55
40%
Other attributes to consider:
• Income
• Education
• Existing Products (CPNI Considerations)
• Broadband Penetration
Objective Marketing • 972-588-8620 • www.objectivemktg.com
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Case Study
Objective Telecom’s
Initial VoIP Target Market Segments
Initial Residential Target Market:
Who:
Why:
Suburban, in territory customers
Age range 20 and 40
With DSL or cable broadband service
Aggressive suburban cable company
has been capturing primary and secondary lines
Initial Business Target Market:
Who:
Why:
April 15, 2005
SMBs in both rural and suburban markets
Many have aging CPE that needs replacement
Growing businesses need additional services
SMBs with aging CPE are looking for alternatives
Sales force needs a new product for this market
SMBs are an influential economic force in our markets
Objective Marketing • 972-588-8620 • www.objectivemktg.com
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Case Study
Objective Telecom’s
Residential VoIP Plan
Product
• Additional line; in territory only
• 2 plans: block of time and unlimited
• Features included:
Voicemail
Caller ID, etc.
Find me/follow me
Sim Ring
• 24x7 Technical Support
• Additional number/out of area
number: optional
Place
• 2 plans available; $20 with 500
minute block; $30 with unlimited
• Installation/Adapter Pricing:
waived with 1 year commitment
• $5 monthly discount when
bundled with:
Access line
DSL
Promotion
• Channel: Call Center initially, web
ordering in next phase
• Adapter Fulfillment: outsourced
• Fulfillment materials required include
installation instructions, FAQs, and
user instructions
• Technical Support: provided internally
by current ISP tech support
April 15, 2005
Price
•
•
•
•
•
Promotion: one month free
Press Release
Bill Inserts, E-Mail
Door Hangers
Mass Media
Newspaper
Radio
• Call Center training and contest
Objective Marketing • 972-588-8620 • www.objectivemktg.com
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Case Study
Objective Telecom’s
SMB VoIP Plan
Product
Price
• Available in territory, plus branch
offices out of territory
• Sold on a “per seat” basis and
includes dedicated internet
• All features included, plus voice mail
• 24x7 Technical Support
• Toll Free numbers & out of territory
numbers available
• Block of time LD available
• 1 POTS line required for FAX & 911
Place
Promotion
• Channel: Direct Sales
• VoIP and IADS warehoused
• Extensive preparation for installation
and customer training; including
quick reference cards and “train the
trainer” material
April 15, 2005
• Per seat price $60
• Price includes dedicated internet
access
• CPE can be purchased or leased
• Installation Fee: waived with 2
year commitment
• Volume and term discounts
provided
• Press Release
• Economic development and civic
group presentations
• Direct Mail
• Sales commissions, plus contest
and bonus during launch
Objective Marketing • 972-588-8620 • www.objectivemktg.com
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Case Study
Objective Telecom
… Six Months Later
What should Objective Telecom do now?
1. Assess sales progress and product feedback
2. Make necessary changes
3. Continue product promotions to initial market
segments
4. Assess market opportunity, select additional target
market segments
5. Develop products for new target segments
6. Market to new segments
April 15, 2005
Objective Marketing • 972-588-8620 • www.objectivemktg.com
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Your Next Steps
Analyze your VoIP Opportunity
•
•
•
•
•
Perform SWOT analysis
Segment and analyze your customer base
Research customer needs
Assess competitive threats
Select target markets and set penetration goals
Develop Products for Selected Segments
• Design products to meet segment needs and corporate
objectives
• Develop pricing and promotional offers
• Set unit and revenue goals
• Name your product
April 15, 2005
Objective Marketing • 972-588-8620 • www.objectivemktg.com
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Your Next Steps (cont.)
Operational Readiness
• Update and test customer life-cycle processes: ordering,
provisioning, billing, repair
• Work with vendors on fulfillment, technical support, LD
• Obtain number pools
• Beta test with select customers
• Train employees
Product Launch
• Identify sales channels and communication vehicles
• Develop product support and marketing materials
• Communicate objectives and marketing plan to employees
• Launch communication plan
• Track results
April 15, 2005
Objective Marketing • 972-588-8620 • www.objectivemktg.com
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Objective Marketing can help
you meet your VoIP Objectives
CONTACT US
Diane Hicks, Partner
972-588-8604
diane.hicks@objectivemktg.com
John O’Brien,
President
972-588-8607
jmo@objectivemktg.com
VoIPossibilities
Dallas, TX
April 15, 2005
Objective Marketing • 972-588-8620 • www.objectivemktg.com
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