Simyo, Spain’s’ major MVNO, won ‘Most Innovative MVNO award’ at MVNO World Congress 2017.
The ‘Most Innovative MVNO award’ is granted to these virtual operators that they have genuinely introduced innovation in the MVNO market.
In a highly competitive Spanish mobile telecommunications market, how does Simyo, as an MVNO, build an effective brand and business strategy, thus enabling itself to find a way out of the red ocean market?
Simyo focus its strategy on differentiation. Differentiation through product proposition, through commercial offer and through communication. All differentiation focus on being a “smart low cost brand”, targeting a wide audience, simyo developed a price positioning with a key message around smartness and fairness: the smart choice to get the fairest deal.
The differentiation through product proposition is based on a unique DIY offer with more than 2000 combinations, so each customer could build their own tariff, choosing their fairest deal.
The differentiation through commercial offer is based on a fair proposition. While all the market just reward new customers or the ones that want to leave the company, simyo wants to make a fair deal with customers and all promotions or new products are available for current customers. This fair treatment, with a customized offer that allows the fairest deal, make possible one of the highest customer satisfaction, with a 45% NPS.
The differentiation through communication is based on direct messages explaining the fair treatment and the fairest deal, combined with a different scenario in black and white, with direct monologues, increasing awareness with a very small investment.
The market results proved that Simyo’s strategy was a big success. Starting in 2015, with less than a year, the number of users increased by 20%; the number of monthly average order processing increased by 46%; customer satisfaction indicator (NPS) increased 120% from 20 to 45. At the same time, more than 90% of customer services have been completed by self-help online channels, reducing Simyo’s daily operating costs significantly. With only 30 employees, Simyo served more than 800.000 users successfully.
Business strategy needs to be achieved by a powerful digitalized operation supporting system. Simyo selected Huawei BSS Cloud as its digital operating platform, making full use of the excellent capability like codeless product configuration, cloud-based online services of Huawei BSS CLOUD. Based on this successful cooperation, Jesus Noguera (CEO, Simyo) said, "With a significant increase in subscribers in a year, Simyo will continue to collaborate with Huawei BSS Cloud to further improve customers’ experience and enhance business agility, thus boosting Simyo’s new growth". Huawei BSS Cloud will also continue to work with Simyo to enable Simyo’s sustainable business development in the future.