Move beyond discounts to monetise fixed mobile convergence

September 2016

Source: European Communications

Fixed-mobile convergence has become a reality in Europe, driven by operators in markets with infrastructure-based competition and essentially adopted by customers for its discounts. Behind the nice take-up figures, there is a contrasting reality - the challenge being for operators to capture the value creation potential. In this article, Gregory Pankert of Arthur D. Little discusses why moving beyond discounting is critical to maintain differentiation and secure a positive incremental margin. Operators will need to deepen their understanding of how convergence affects customer segments and value contribution, and translate it into new go-to-market strategies.