Etisalat Launches Prepaid Feature for Businesses

UAE operator Etisalat has announced the launch of a service called Easy Prepaid that business customers may add to their existing postpaid mobile plans. The new hybrid capability enables customers to switch between prepaid and postpaid features without needing to change their telephone numbers. They can top up credit, make out-of-bundle calls and subscribe to add-ons using standard prepaid tariff rates.

Easy Prepaid allows employees of a business subscriber to make personal calls at their own expense. He or she can use a prepaid account—with the same number—after he or she reaches the maximum allowance given by the company. The feature also caters to customers who have company restrictions on making international calls using their existing business mobile plans. The new hybrid capability also enables employees on postpaid plans to pay for parking and other value-added services using their prepaid credit.

Customers can recharge their prepaid credit using any existing recharge option, the Etisalat Business Mobile app or online banking apps. Once the account is recharged, the customer can switch from postpaid to Easy Prepaid by dialing a code.

We find Easy Prepaid to be an innovative and simple solution to a common problem faced by businesses and their employees. While using a mobile phone whose service is paid for by the company (typically a postpaid account), employees will at times want or need to make personal calls and use data for personal purposes. The company will not want these charges on its account, and in cases where the company actually bars certain services from its lines, such as international calls, Easy Prepaid gives employees a way to use those services without involving the company.

Of course, there are other possible solutions—having a separate device for personal use, dual SIMs and various unlimited service arrangements. Still, there is something particularly appealing about this idea of adding a personal aspect to a business line. And the fact that it is prepaid is particularly appropriate, in that it allows the employee to pay only for service used, on the assumption that the device with the business plan will not be that employee’s only device. This way, the employee can essentially customize his or her personal service.

The add-ons such as mobile parking are also good fits for this service, in that parking is something that employees often need to pay for after having driven to work.

In sum, this prepaid-postpaid hybrid is a clever, innovative, and low-impact solution to a common problem. Since many people do have more than one device, it will not be for everybody, but we believe it has a significant target demographic.

Tarifica is a global SaaS company and a market leader in the real-time collection, analysis and delivery of telecom plan and pricing data worldwide. Through a mix of AI, modeling and market expertise, Tarifica tracks hundreds of thousands of plan and pricing data points daily. No other company tracks more. Tarifica's mission is to continuously convert data into the dynamic intelligence that fuels opportunities for its clients, the world's leading operators, regulators and consultants. 

Learn more about Tarifica at www.tarifica.com.

Etisalat Offers Data and Voice Bundle to Dubai Taxi Drivers

Hala, the Dubai taxi joint venture between the Roads & Transport Authority (RTA) and Careem, has partnered with UAE operator Etisalat to offer its cab drivers a data bundle and international minutes package. Around 25,000 taxi drivers in Dubai will benefit from the year-long postpaid package, which can be activated on any existing or new Etisalat UAE mobile number. 

The offer began on 10 February and is one of several initiatives by Hala to improve the lives of cab drivers through partnerships under the guidance of the RTA. Hala is also helping drivers by providing advanced mapping and journey-planning tools. By way of this in-car technology, drivers can have access to a wider passenger base and get to their next pick-up in the shortest time possible.

We think this partnership between an MNO, Etisalat, and a taxi consortium is an excellent example of a public-spirited private-sector collaboration in the mobile marketplace. The in-car solutions, which make it easier for taxi drivers to conduct their business, use technology that is requires mobile connectivity to function. So it is a natural extension of Hala’s previous initiatives to offer a special package of mobile data and voice minutes for the drivers to use for their smartphones, which they also use as an integral part of their work process.

The fact that the package is offered on a postpaid basis will tend to keep the drivers in Etisalat’s ecosystem on a longer-term basis. That will also help Hala to maintain consistency in its relationship with its drivers. Finally, it should be noted that the number of taxi drivers in Dubai, 25,000, is quite substantial and therefore constitute an important potential customer base for the operator. As long as the price is right, it should do well for the operator in terms of customer retention and acquisition.

Tarifica is the global leader in monitoring and analyzing telecom pricing. Covering hundreds of operators in every region of the globe, Tarifica’s databases of mobile and fixed line data and voice tariffs are among the largest and most in-depth in the world. Tarifica is also a leading publisher of benchmark and other pricing reports, and its analysts are recognized authorities in the telecom industry, relied upon by operators and businesses worldwide for pricing insight and guidance.  

To learn more about Tarifica, please visit www.tarifica.com 

Etisalat Launches Cloud-Based Surveillance and Analytics for SMBs

UAE operator Etisalat has announced the launch of a video surveillance and analytics service to provide small and medium-sized businesses with a service that addresses their security and regulatory compliance needs. Etisalat Video Surveillance VSAAS offers customers end-to-end managed services, security surveillance with analytics, business intelligence, upgradeable cloud storage, as well as web and mobile access, on a monthly subscription model. 

VSAAS offers heat maps, people-counting, a security system and queue management. It covers all CCTV requirements, ranging from supply to installation, testing, commissioning and maintenance. It will provide cameras, network video recorders with local storage, cloud video management with analytics, web access, a mobile app, and basic seven-day cloud backup as default for continuous streaming. 

Customers can view live and played-back recordings remotely, get alerts on critical transactions and store data over a secure cloud server.

This offering from Etisalat appears to be a very strong one in terms of carving out new markets and finding reliable, high-revenue customers. As operators across the board have seen it become more difficult to rely exclusively on traditional telecom and mobile-data services, they have been exploring a range of ways to offer added value, especially in the realm of new technologies.

Etisalat Video Surveillance VSAAS is a powerful offering in that is checks more than one box among the desiderata for value-added offerings. It offers access to a secure cloud server with storage, the actual surveillance features (enabled by hardware provided by the operator) and the addition of built-in analytics for the surveillance. The interface via mobile app makes it relatively seamless to use.

And beyond that, the offering intelligently targets a client base that is particularly appropriate. SMBs are likely to be in the market for such solutions, in that they are unlikely to have developed it themselves or engaged in a partnership with a major technology firm to design a tailored system, as with a large enterprise.

In addition, SMBs are quite a good market for operators in terms of economy of scale. A deal with an SMB carries with it a large number of users at once, and the nature of the business at hand makes it likely that the service will be needed on a recurring basis, medium-term or long-term. Simply put, SMBs are less fickle than consumers, and once the operator has locked in this revenue, it can count on retaining it as long as it actually meets the needs of the client.

Of course, that is the most important factor here, and if Etisalat has designed its video surveillance and analytics solution well, it should have little difficulty selling it to SMBs that are already customers, as well as acquiring new clients that are attracted by VSAAS’s features. In addition, the cloud-based nature of the product most likely makes it likely that it can be updated and adapted in response to changing conditions within the client’s sphere of operations. 

Tarifica is the global leader in monitoring and analyzing telecom pricing. Covering hundreds of operators in every region of the globe, Tarifica’s databases of mobile and fixed line data and voice tariffs are among the largest and most in-depth in the world. Tarifica is also a leading publisher of benchmark and other pricing reports, and its analysts are recognized authorities in the telecom industry, relied upon by operators and businesses worldwide for pricing insight and guidance.  

To learn more about Tarifica, please visit www.tarifica.com 

Etisalat Launches Postpaid Plans

UAE operator Etisalat has announced the launch of new postpaid plans under the moniker of Freedom. Customers can choose a no-contract plan or a one-year contract plan. Data and voice allowances will be the same on both plans, but the one-year contract offers savings up to 20 percent on their rental charges and six months of free access to Apple Music.

Customers can choose from six tiers starting from AED 100 (US $27.22) for the Freedom Plan 100, which offers 2 GB of data and 100 flexible minutes or 200 local minutes. The Freedom Plan 275 includes 20 GB and 750 flexible minutes or 1,500 local minutes, while the Freedom Plan 1000 offers 100 GB of data and 2,000 flexible minutes or 4,000 local minutes. All the Freedom plans come with 100 free Wi-Fi hours each month, which customers can use at more than 350 locations in the UAE.

One of the signal trends in the worldwide mobile markets that we have observed is the strong increase in desire for plan-feature flexibility among many levels of consumers. Budget operators and large operators’ budget tariffs have been leading this trend, with no-contract plans and prepaid offers dominating.

Here we see a major operator catering to this need, clearly announcing its approach in the very name of the plans—Freedom. The fact that these are postpaid plans indicates that this emphasis on flexibility and freedom is now very relevant in the postpaid sector, not just the prepaid. This flexibility is expressed in the relatively intricately tiered plan structure, which provides different levels of data and voice calibrated to usage levels. It is also apparent from the fact that voice allowances are convertible between local minutes and flexible minutes, again catering to users’ various needs.

Finally, although Freedom is a postpaid option, the plans can be subscribed to in contracted and no-contract forms, without any disadvantage in terms of basic plan features. This is a significant fact in light of the traditional conception of a postpaid plan. Etisalat is depending on the Apple Music service and a price reduction to attract user to the one-year (note, not two-year) contract versions, but it is clearly aware that freedom from contractual obligations will be a major element of the concept of “freedom” for many customers. 

Tarifica is the global leader in monitoring and analyzing telecom pricing. Covering hundreds of operators in every region of the globe, Tarifica’s databases of mobile and fixed line data and voice tariffs are among the largest and most in-depth in the world. Tarifica is also a leading publisher of benchmark and other pricing reports, and its analysts are recognized authorities in the telecom industry, relied upon by operators and businesses worldwide for pricing insight and guidance.  

To learn more about Tarifica, please visit www.tarifica.com 

Etisalat Announces Mobile POS Service

UAE operator Etisalat announced the launch of a point-of-sale (POS) service for small and medium businesses called Mobile Cashier, which enables businesses to accept card payments from their customers anywhere in the UAE. The service transforms merchants’ phones or tablets into business-grade point-of-sale terminals, enabling them to accept debit, credit and prepaid cards in a secure and simple-to-use environment.
 
Mobile Cashier includes bundled point-of-sale terminals, mobile voice and data plans, a free smartphone every year, and zero-percent bank commission. Users need to download the application on their smartphone and connect a pocket-sized card reader, and then they can start accepting payments in retail stores or on the go.
 
The entry-level plan starts at AED 119.00 (US $32.39) per month. In addition, customers can opt for the monthly bundled Essential plans, which include zero-percent bank commission, local and international minutes, mobile internet, intra-company calling, and a free smartphone every year. The Essential plans start at AED 199.00 (US $54.17) per month.
 
This mobile POS service from Etisalat is a good example of a type of value-added service that does not have to come from an MNO but is the very thing for an MNO to offer. In other words, Etisalat is creating a valuable new opportunity for itself to derive some revenue from a fast-growing technology that depends on mobile connectivity but is not necessarily branded by mobile operators. By creating its own POS system and providing customers with the hardware they need to use it, Etisalat is positioning itself to profit not only from the data used in POS transactions but, more so, from the monthly tariffs involved.
 
We feel this is a savvy way for the operator to strengthen its relationship with SMBs. Not only should it help upsell existing SMB customers to Mobile Cashier, but with the addition of the Essential suite of plans, it should be able to attract new SMBs to Etisalat. For businesses looking for a complete package, the Essential plans offer what appears to be just that—voice, data, free devices, and intra-company calling, as well as the Mobile Cashier functionality. And the price increase over the basic Mobile Cashier service is not very high. Finally, the agreements that Etisalat must have reached with the banks to be able to extend a no-commission offer must have cost the operator something, but if the offer proves a good enough selling point, it will have been well worth it.

Tarifica is the global leader in monitoring and analyzing telecom pricing. Covering hundreds of operators in every region of the globe, Tarifica’s databases of mobile and fixed line data and voice tariffs are among the largest and most in-depth in the world. Tarifica is also a leading publisher of benchmark and other pricing reports, and its analysts are recognized authorities in the telecom industry, relied upon by operators and businesses worldwide for pricing insight and guidance.  

To learn more about Tarifica, please visit www.tarifica.com 

Etisalat Launches Start/Stop Data Service

Prepaid customers of UAE operator Etisalat can now access a new service called Start/Stop data, as and when required, for only 2 fils (US $0.05) per minute. The service, launched for the first time in the region, is expected to foster a completely new usage behavior of short-period on-demand mobile internet access, making data easy to use and affordable to all UAE prepaid subscribers. By dialing *777#, customers can start or stop a data session and will be charged only for the data used during that time, with no volume limit on usage. Data speed will be limited to 1Mbps during any Start/Stop data session. Khaled ElKhouly, the operator’s Chief Consumer Officer, said, “Etisalat’s launch of the ‘Start/Stop’ data service will be a game changer for the industry, making data usage accessible to all prepaid subscribers and most of all affordable. Time-based data access with pay-per-minute charging has not been launched on a commercial scale as we have done here. We are confident customers will enjoy this innovative new data service that gives them the agility to use and pay as per their usage.”

 

Whether or not Start/Stop data will revolutionize consumer behavior, we do believe that it is an innovative offering with the potential to tap into users’ oft-stated desire for more flexibility in mobile offerings. Prepaid users in particular tend to be budget-oriented, and a service such as this one which frees them from being charged for data that they do not use seems likely to be popular. The limit on speed may dissuade some, but 1 Mpbs is probably fast enough to enable basic internet use without undue difficulty. 

Tarifica is the global leader in monitoring and analyzing telecom pricing. Covering hundreds of operators in every region of the globe, Tarifica’s databases of mobile and fixed line data and voice tariffs are among the largest and most in-depth in the world. Tarifica is also a leading publisher of benchmark and other pricing reports, and its analysts are recognized authorities in the telecom industry, relied upon by operators and businesses worldwide for pricing insight and guidance. To learn more about Tarifica, please visit www.tarifica.com

Viettel Announces US $1 Billion 3G Investment in Tanzania

During a visit from Tanzanian president Jakaya Mrisho Kikwete to its Vietnamese headquarters, multinational operator Viettel committed to investing US $1 billion to build a 3G network in Tanzania. Viettel won a license to operate in Tanzania in early October, and one of the conditions was connecting the country’s expansive rural areas with mobile service. On awarding the license, Tanzanian deputy communication, science and technology minster January Makamba stated, “They will roll out broadband through fibre-optic cable to rural Tanzania.”  In announcing this sizable investment so soon after winning the license, Viettel appears to be preparing to make good on this commitment.

The strategy stands in contrast to the path Viettel pursued when it expanded into Peru, where a significant amount of time elapsed between acquiring the license and rolling out the network infrastructure. Viettel’s urgency is likely driven by the crowding of the Tanzanian market—there are already four sizable players, all of which are owned in part by major international telecom players—Bharti Airtel, Tigo (part of Millicom), Vodacom Tanzania and Zantel (part of Etisalat), as well as three smaller operators. Even given this volume of competition, there are still significant opportunities in Tanzania; only 64 percent of the country’s 49.25 million citizens have mobile service. Given the rapid uptake of mobile service in developing economies, however, it is unlikely that the penetration rate will stay this low for long.

In the future, there will likely come a point where some market consolidation is needed—we have seen numerous examples of the unsustainability of markets with five operators—however, with many Tanzanians still unconnected and significant opportunities existing to upsell others to higher-cost service packages, this type of M&A activity does not appear imminent. While Viettel may be getting a late start compared to its competition, it would be foolish to count it out, since the company has significant experience building and marketing mobile service in emerging economies from its operations in eight other markets across Southeast Asia, Africa and Latin America.

“With telcos in Europe and North America appearing locked in a constant cycle of increasing infrastructure costs and declining ARPU, companies like Viettel and Millicom, which have significant and expanding operations that are exclusively in emerging markets, could be poised to become among the most important international mobile players in the near future. Not only do the countries they operate in have much more room for growth, their success in these rapidly shifting and diverse markets has required operational flexibility and institutional creativity. This cultural difference has enabled these companies to capitalize on new revenue streams—like mobile money—much faster than many of the established telecom heavyweights.”

Jamie Davella,

Research Analyst at Tarifica

The above item appeared in a recent issue of The Tarifica Alert, a weekly resource that analyzes noteworthy developments in the telecoms industry from around the world. To access all of the latest articles and issues:  http://www.tarifica.com/TarificaAlert.aspx

Etisalat Launches Data Plans for Tablets

Etisalat, the larger of the two mobile operators in the United Arab Emirates, has launched data bundles designed specifically for tablets. The MNO’s consumer postpaid offers, which can be purchased with 12-month or 24-month contracts, start at a monthly cost of AED 150.00 (US $40.84) and include 1 GB of data and a free tablet such as the Samsung Tab S. Subscribers can upgrade their plans to 5 GB or 10 GB of data per month at an additional cost of AED 100.00 (US $27.22) or AED 200 (US $54.45), respectively. Prepaid customers who purchase a data bundle with a free tablet on an upfront payment basis receive 1 GB of data at no cost for the first month and pay AED 99.00 (US $26.95) per month thereafter.

In the UAE there are many barometers that indicate that a good deal of the population is tech savvy. The country has the world’s highest mobile penetration rate, and according to a recent study, it has a 94 percent smartphone penetration, with the shift from feature phones to smartphones continuing. The UAE also ranks 13th in the world in terms of the number of people who go online. Furthermore, a recent trend indicates a growing use of tablets in lieu of computers and laptops. Survey results for the first time show that in Q2 2014 tablet shipments surpassed those of computers by more than 6,700 units (see graph). This consumer behavior, plus the growth in high-end devices, is increasing the demand for data. On the other hand, it could be the case that data-hungry users are driving the sales of these devices.

It is a good move for Etisalat to offer tablet data bundles to go with the devices the market is choosing, and we believe these new offers will provide the operator with a new revenue stream. In addition to satisfying the adult population, it has created these bundles to meet the needs of the country’s youth, who are turning to tablets for educational and entertainment purposes. This is another good strategic move by Etisalat, since Du, the UAE’s other mobile operator, has already launched tablet data bundles for its business subscribers, and it appears that each operator dominates different sectors of the market.

The above item appeared in a recent issue of The Tarifica Alert, a weekly resource that analyzes noteworthy developments in the telecoms industry from around the world. To access all of the latest articles and issues:  http://www.tarifica.com/TarificaAlert.aspx

 

Mobile Telecommunication Developments Worldwide

Asia/Pacific

According to a recent report, mobile data use will become the key revenue driver for operators in Malaysia and will exceed mobile voice revenue in 2017. The growth will result from an increase in 4G LTE service, lower-end smart devices and affordable data offerings from operators. Robust media content that is becoming more and more available to users will also drive data use in the country.

Europe

U.K. mobile operator EE has launched what it says is the world’s first pop-up retail bundle. The MNO has partnered with Appear Here—a company that rents vacant spaces to businesses—the British Retail Consortium and entrepreneurs to launch the Pop-UP UK bundle. The bundle, which costs £11.25 (US $19.20) per month, includes 4G service for 30 days and discounts on products outside the telecom industry that are suitable for pop-up businesses. According to a recent report, pop-up retailers contribute £2.1 billion (US $3.58 billion) to the U.K. economy each year. The figure is expected to grow by 8.4 percent over the next 12 months; however, the report indicates that the sector could experience double-digit growth with improved technology. By using EE’s 4G network on their mobile devices, pop-ups can receive mobile payments, connect with customers via social media and securely access data from cloud storage.

Latin America

A recent study that involved the 100 top commercial banks in Latin America has indicated that approximately 92 percent of these institutions will offer mobile banking services by the end of 2014. Through 2013, 80 percent of the region’s banks had offered mobile banking services. In addition to the increased number of banks, there has been an increase in the types of mobile financial services that are being offered.

Middle East/Africa

Etisalat Nigeria has launched Vringo, a video ringtone service that is available on Android phones. To use the service, subscribers can download the app, which will enable their devices to play a video clip (sound included) instead of an audio clip as a ringtone. The content of the available video clips includes movies, musicals, comedy and football. The service costs NGN 100.00 (US $0.62) per month, and subscribers will receive the first month at no charge.

North America

U.S. operator Sprint has partnered with PlayPhone, Inc., a global mobile social gaming developer, to offer gaming content to prepaid customers of the operator’s MVNOs Boost Mobile and Virgin Mobile USA. The service is an add-on feature and will be charged as a flat rate. This collaboration will enable game developers to reach the prepaid market, a budget-conscious sector of the customer base that may hesitate to use credit cards, and as a result may not previously have had access to gaming content.

The above item appeared in a recent issue of The Tarifica Alert, a weekly resource that analyzes noteworthy developments in the telecoms industry from around the world. To access all of the latest articles and issues:  http://www.tarifica.com/TarificaAlert.aspx

The First Dual Screen Smartphone in the World.

United Arab Emirates-based mobile operator Etisalat, in partnership with Jumbo Electronics, is offering the recently launched dual-screen YotaPhone with several of its prepaid and postpaid packages. The device costs AED 2,199.00 (US $598.69) upfront with a monthly-prepaid package of 1 GB of data, which costs AED 99.00 (US $26.95). Postpaid users will receive the device at no charge with Etisalat’s Plan 1 (1 GB of data and 100 Flexi-minutes, which include local, international and inbound roaming minutes) and Plan 2 (10 GB of data and 300 Flexi-minutes), which cost AED 250.00 (US $68.06) and AED 400.00 (US $108.90), respectively per month on 18-month contract options. The YotaPhone, developed by Russian manufacturer Yota Devices, has an LCD display screen on the front side and an e-Ink screen (electronic paper display) on the back. This second generation of the phone, which was released in February—just a few months after the phone’s first-generation debut—is Android-based with both a 5-inch display and a 4.7-inch qHD e-Ink touchscreen. The phone also features a Qualcomm Snapdragon 800 processor, 2 GB of RAM, 32 GB of storage and an 8-megapixel camera. When just using the e-Ink screen, the phone’s battery will last for over 50 hours.

At a rate of 73.8 percent in 2013, the United Arab Emirates has one of the highest smartphone penetrations in the world, and Etisalat recognizes that its country’s users have a high level of interest in innovative devices such as the YotaPhone. “At Etisalat, we consciously team up with innovators to bring exclusive opportunities to our customers to own new types of handsets ahead of others in the market,” said Khaled El Khouly, the operator’s chief marketing officer. Etisalat is banking on tech enthusiasts and users interested in the latest device trends embracing the YotaPhone, even though its specifications are lower than those of the latest premium offerings from other device manufacturers, including Samsung. Etisalat has priced YotaPhone postpaid and prepaid bundles to be competitive with the bundles that it offers with the Samsung Galaxy S5.

Yota Devices CEO Vladislav Martynov reinforces this concept by saying that the value users find in the YotaPhone’s e-Ink screen will more than outweigh the phone being equipped with processors and cameras that are high level but not the most powerful available. As the company plans for the much larger global launch of the YotaPhone 2 at the end of 2014 or in early 2015, it remains to be seen if the phone’s battery saving-feature and the easier reading experience that it provides—especially in bright sunlight—will drive mass-market sales of the device or if users will wait for some of the giants in the industry to offer similar products.

The above item appeared in a recent issue of The Tarifica Alert, a weekly resource that analyzes noteworthy developments in the telecoms industry from around the world. To access all of the latest articles and issues:  http://www.tarifica.com/TarificaAlert.aspx