Customer case

Telecom market modeling in Europe

Fri 04 Mar 2022

In response to the profound changes in the new information and communication technologies (NICT) sector, telecom operators must imperatively adapt to the successive waves of evolution and disruption of technical and economic paradigms.

These metamorphoses are accelerating at an incredible pace. Technological innovations as well as their infiltration in the activities of the telecom operator are thus at the heart of the pertinent transformation projects in order to continue to meet customers' expectations and generate value. In this context, the operator must organize itself in order to anticipate and take advantage of business development opportunities. It is also a matter of reducing as much as possible the potential threats that could jeopardize the durability of its activity.

Having the appropriate information, sorting, analyzing, but also detecting structural business opportunities and even scouting new client companies have become essential to anticipate the evolution of its market and the needs of its clients.

A strategic review allows to explore and detect all micro-signals emanating from both the external and internal environment. The challenge is to have a radar of the organization that revolves around a recurrent and iterative system of monitoring and prospective listening to the environment, controlled and animated.

Thanks to its knowledge of international ICT markets and its expertise in marketing intelligence and market modeling, Sofrecom creates and implements market intelligence systems for our clients. Our experts in market intelligence make strategic recommendations on market positioning.

As an example, and following the request of an international operator in Europe, Sofrecom's Marketing Intelligence consultants have set up a monitoring system to improve the knowledge of its customers (profiles and needs) in each of the countries of presence. 

The challenge of this analysis is to anticipate needs and identify growth levers. It is about building a global marketing vision to:

  • Understand the mass market client in all its aspects: usage trends, market studies, best practices observed...
  • Developing new uses: mobile data, banking, wearables, smart home, etc.
  • Lighting up the future: modeling and sizing of demand over 5 years

In this context and to establish a decision-making tool, marketing intelligence experts relied on different data sources and several production phases to structure and prioritize the information:

  • Collecting and analyzing primary and secondary information on the markets concerned: operators' reports, analysts, etc.
  • Carrying out regulatory studies by country based on data from the regulators' databases
  • Then, a market modeling according to the bottom-up methodology  

Based on all these elements collected, the informative data on the weak signals or warning signs captured allowed the consultants to formulate hypotheses, to detect changes, and to provide insights on the future, all in the form of reports:

  • Market evolution and disruptions to anticipate,
  • Benchmarks by country on the key KPIs of the market studied,
  • A plan of recommendations and a synthesis of best practices observed by telcos.

Once provided to the operator, these studies offer input for various strategic considerations:

  • Choices and positioning to operate in a country or zone,
  • Strategic plans with relevant figures,

In addition, they provide the operator with:

  • Risk and opportunity analyses for each market studied
  • A consolidated view of the operator's footprint markets
  • Relevant comparisons between countries, either with similar or more mature markets.

The deployment of this monitoring system has enabled us to create a continuous research dynamic of the best practices in the various areas of intervention (Best Practices). This monitoring has contributed to the development of a strategic vision and a 360° view of the market.