New growth rules for the communications industry
February 5, 2019
February 5, 2019
Accenture’s Global Communications and Media Industry Lead, Francesco Venturini outlines the challenges—and the incredible opportunities—for the industry to build on its strong heritage and flip to a choice of new growth models.
The industry is being squeezed from all sides. Top-line growth is stalling. Revenues have levelled off. Customers are finding new ways to engage, digitally and digital disruptors are undermining the traditional base of services.
The commoditized core business isn’t profitable and there’s ongoing substitution with low cost, digital alternatives.
Market boundaries are collapsing and traditional approaches to growth are no longer sufficient. Historic positions of strength are eroding.
Ongoing reduction of customer loyalty. Incumbency is no longer an advantage—CSPs are not an essential part of the users’ daily digital routine.
Infrastructure-bound, with vertical integration & siloed operating models. CSPs have unscalable operating & technology models and legacy workforces.
Success demands a departure from today’s models and competencies if CSPs are to scale new growth models. In the long term, we see there being two key growth scenarios for CSPS. Each scenario needs distinctively different skills and capabilities, as well as divergent investment priorities and value creation logic.
Building the B2B business by connecting industry X.0 with secure, reliable & smart connectivity.
Maximum reach in B2C via an ecosystem of partners, customers and developers.
About the Authors
Riding on the disruptive trends, the CSP can reinvent itself by updating technology and operating models, adopting new growth models in both B2C and B2B, revisiting competitive positioning and moving to hyper-personalization for customers.
Successful transformation is about more than completeness of vision. It’s about execution. Play to your strengths and make transformation a reality.
20 minute read
20 minute read