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Disruptive shift on mobile market: business case for Blue Ocean Strategy with ZERO FORFAIT in FranceLaurent Blondeau – May 2011 1 Low-cost telecommunications solutions Keep Talking
SUMMARY• Call In Europe is low-cost telecom operator• Struggled with price war, decided to flip the usual models• Considered what make value for customers and leveraged it• Focused on widening the keys of competition…to make it irrelevant 2Low-cost telecommunications solutions Keep Talking
THE PROBLEM• Crowded Market• Engagement: consumers tied up• Me-too products: promotion lowering the value• Confusion between hardware, service and loyalty 3Low-cost telecommunications solutions Keep Talking
THE STRATEGY CANVAS “Identify keys to market and offer level” 4Low-cost telecommunications solutions Keep Talking
THE TARGETS “Identify segments of customers/non-customers” No prepaid, no money advance Engaged & PacksPrepaid Lowering the recurring costs Post & Low-cost Freedom of choice, BtoC Market change and quit The three tiers of opportunities 5Low-cost telecommunications solutions Keep Talking
THE STRATEGY“Don’t compete with rivals, make them irrelevant” (from BOS book)• What? Create new keys of valuation for the customers• How? Innovate with opportunities and reducing barriers for non-customers or non-satisfied customers• Why? Wake up the me-too market and serve the unsatisfied market 6Low-cost telecommunications solutions Keep Talking
DECISIONS/ACTIONS “Concentrate forces on credibility”• No battle on: Finance, distribution, promotion, communication• Do it the best: Customer offers, experience, web reputation, process and delivering• Focus on essential: Innovationas-you-go, low-cost rates, no risk or engagement, mobile renting, 7Low-cost telecommunications solutions Keep Talking
THE BRAND “A new space of communication to express the promess”• Smart, cheap and no surprise with: “Fed up with flat rates, pay what you use” 8Low-cost telecommunications solutions Keep Talking
THE RELEVANT CANVAS “Focus on new value and needs” New 9Low-cost telecommunications solutions Keep Talking
SUSTAIN IT “Constant move and opportunities hunt”• Create: No interest for competition to catch the train• Use: Flexibility and low-cost structure as weapons• Shout: To create the buzz, revolution and disruption in the market 10Low-cost telecommunications solutions Keep Talking
REFERENCES• Blue Ocean Strategy Visit the website at http://www.blueoceanstrategy.com• Call In Europe Low-cost telecom solutions at http://callineurope.com• Zero Forfait Low-cost mobile solutions at http://zeroforfait.fr• Laurent Blondeau, Head of sales and Development firstname.lastname@example.org +33(0)6 01 790 790 Skype: laurent.blondeau.cie 11 Low-cost telecommunications solutions Keep Talking