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ADVISORY CASE STUDIES
Our Advisory services professionals share your goals: reliable products and services, dependable management, and accurate and principled reporting by your company. See how we've helped our clients.

 

OPPORTUNITY ASSESSMENT AND STRATEGY

 

MOBILE GREENFIELD START-UP

 

BROADBAND AND CONVERGENCE

 

ICT AND WHOLESALE

 

CUSTOMER VALUE DEVELOPMENT (CVD)

 

VALUE PROPOSITION REVAMP

 

SALES AND DISTRIBUTION

 

TOWER MANAGEMENT

 

TRANSFORMATION AND RE-STRUCTURING

 

 

 

 

OPPORTUNITY ASSESSMENT AND STRATEGY


Client Context
In one of the portfolio countries of a Mobile Telecom Group, the regulator was starting discussions on allowing MVNOs enter the market.
The local mobile operation asked for support to devise a potential MVNO approach. The operator's requests included involvement in assessing which strategy to follow towards MVNOs, identifying their associated costs and benefits, and understanding the background of operators that embraced a challenger in the market with that model.


Delta Partners' Approach
Delta Partners led the strategic assessment and specifically delivered:
An assessment of the market, client situation, and growth potential in the market
A specific strategy towards MVNOs
A business case quantifying the costs and benefits associated
An action plan to implement the chosen strategy


Project Results
The MVNO strategy helped the client assess the attractiveness of the opportunity and propose a clear action plan going forward:
The client began preparations for the potential MVNO entry in the market (first mover advantage)
The client started actively engaging with the regulator
A clear regulation framework was designed favouring MVNOs, leaving no room for a new mobile greenfield network operator

 

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MOBILE GREENFIELD START-UP


Client Context
Client obtained a new mobile license in a GCC country with the objective to enter a highly penetrated duopoly market focused on value creation maximization and customer excellence. Delta Partners was asked to support the client in the start-up of its mobile operations.


Delta Partners' Approach
Delta Partners start-up engagement was structured across the following main work streams:
Launch office / project management of the commercial and technical areas including business simulation and friendly user testing
Market entry strategy definition and business planning
Interim management support in commercial and technical areas


Project Results
The client's commercial launch was very successful:
Considered the best performing 3rd entrant in terms of subscribers acquired during the first month of operations in a highly-penetrated market
Achieved 2 million active subscribers after 4 months, over performing 6 times the budget
Sustained healthy ARPUs, exceeding budget targets

 

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BROADBAND AND CONVERGENCE


Client Context
The 2nd mobile voice player in an Eastern European country had recently been merged with the 2nd broadband and fixed voice player in the country. They also owned a license to deploy DVB-TV services. As a result, the company aimed to become the first real 4-play in the country, objective to be achieved through the re-launch of the new, integrated company.


Delta Partners' Approach
Delta Partners was asked to define the new integrated offer, as part of the whole re-definition of the new value proposition for the resulting entity:
New pricing structures (Stand-alone products, dual plays, triple plays and quadruple plays)
Launch promotion – Both for residential and business segments


Project Results
3 months after the project, the client launched with the new packages, pricing plans that Delta Partners had proposed
Launch promotion was very successful and the client managed to meet initial targets

 

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ICT AND WHOLESALE


Client Context
The main client activity was related to military and telecom industries in KSA both in ICT and manufacturing businesses, however, the ICT services business had not been properly developed by the client
A sister company was completely focused in the ICT business, however, the company did not have the capabilities and content to grow in the industry


Delta Partners' Approach
Delta Partners was engaged to understand the potential of the ICT market in KSA and define strategic guidelines to start an ICT business:
Detailed ICT market sizing exercise
ICT business model assessment of both companies defining overlap/complementary activities
Definition of alignment model between them and financial model implied
Implementation guidelines of the alignment model


Project Results
Alignment between both company and sister company, maximizing synergies and efficiency to address ICT business and increasing the top line

 

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CUSTOMER VALUE DEVELOPMENT (CVD)


Client Context
The Telecom group operated in several emerging markets where acquisition was still important, but markets were becoming more competitive leading to lower value customers entering the base. Customer value was being lost mainly driven by growing churn and customer inactivity levels.
A consistent approach for all operations was required to help understand the customer base and implement Customer Value Development initiatives while critical customer value development capabilities needed to be built.


Delta Partners' Approach
Given the complexity of the assignment, Delta Partners took the following approach:
Assessment of the operational readiness for CVD for each of the operations
Agreement on common CVD methodology with Group and local management
Implementation of common CVD methodology including CVD capabilities, system requirements and processes across different operations
Execution of a customer base scan to identify priority areas to launch "quick-win" initiatives targeted at churn reduction, ARPU improvement and cost optimization


Project Results
A consistent CVD methodology was initiated and local capabilities (organization, systems, processes, etc.) were built for a sustained customer value management. Additionally several "quick-win" initiatives launched were able to generate tangible results:
Increased revenues by 3% through segmented BTL campaigns targeted at usage stimulation
Reduced churn rate by 17% through dealer commission adjustment

 

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VALUE PROPOSITION REVAMP


Client Context
An operator in Africa had been exposed to intense and increased competition impacting negatively its key KPIs:
Revenues were not following a solid increasing trend
Net adds were decreasing in an acquisition market
Delta Partners was engaged to reverse the negative trend and set clear guidelines on the way forward


Delta Partners' Approach
Delta Partners proposed to first carry out an in-depth analysis to identify the root causes and to then devise a concrete action plan to correct the trend
Competitive market and positioning assessment along all value proposition elements
Customer base analysis
Redefinition of desired market positioning including elements such as vision & mission, strategic objectives and strategic guidelines for all functional areas
Identification and development of measures and actions to achieve the desired positioning and to revamp the value propositioning
Design of a communications campaign accompanied by the launch of targeted products, price plans and promotions


Project Results
Client was able to successfully reposition itself with help of the revamped positioning, value proposition, the launch of new products, price plans and promotions and the refocused communication campaign. And the client managed to reverse the downward trend showing significant improvements:
100% increase in gross adds
40% increase in usage and 25% return to activity of dormant customers
12% of increase in revenues

 

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SALES AND DISTRIBUTION


Client Context
Poorly penetrated 2-player market where the client had 60% market share and where two new players were expected to enter the market. The "pull" distribution model based on many dealers/ distributors and no regional segmentation of distribution as well as a 'barely' managed retail channel


Delta Partners' Approach
Delta Partners was asked to support to tighten control over its sales channel:
Differentiation between distribution & retail roles, categorization of POS according to target segments and performance
Expanded capillarity into new areas
Regionalisation of sales structure
Enhanced logistics function
Enhanced training and communication to leverage the channel
New commissions enhancing activation


Project Results
Strengthening of the client's sales channel has helped him drive market growth
From 6% to 13% penetration rate in less than 1 year ...
... while maintaining a dominant 45% market share in a much more competitive market environment with 4 players

 

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TOWER MANAGEMENT


Client Context
The client had considered for some time the potential of sharing and potentially externalizing its towers. The group management needed to get a better understanding of the key elements and drivers of this business model and its potential implications.
The client requested Delta Partners to develop a broad tower management strategy which the telecom group would be able to leverage for its operations.


Delta Partners' Approach
Delta Partners applied a structured and analytical approach in defining the concept and assessing the business model including financial drivers. Key steps in the approach included:
Definition of the target concept and business model
Understanding of key financials and the size of the opportunity
Getting buy-in of all stakeholders
Agreement on the next steps forward


Project Results
The project achieved buy-in from key stakeholders and functioned as a basis for ongoing negotiations with other operators.
For selected markets, based on the outcome of the detailed financial assessments done, the telecom group was able to adopt a very clear approach and actions

 

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TRANSFORMATION AND RE-STRUCTURING


Client Context
The client had acquired several mobile operators in Africa and the Middle East and had integrated them into the Group. As a next step, it was key for the client to set up a centralized Procurement Function at Group level and to define and implement key procurement processes for both Group and local operations.


Delta Partners' Approach
Delta Partners was leveraging on its extensive experience in business process redesign and efficiency improvement:
Streamline and (re)design of Procurement processes at Group and local level in terms of:

Quality of outputs/ results
Minimization of interfaces/ handovers
Overall process time / delivery speed
Cost efficiency of the process

Implementation of enhanced processes at Group as well as at local OpCo level
Achieve quick wins in terms of savings across different functional areas at Group and local


Project Results
Successfully designed and implemented Group procurement function and related process.
Quick-wins resulted in $150m savings
Managed to reduce OPEX by 13% and 22% CAPEX

 

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