Differentiation in price isn't going to suffice, says du CCO
EXCLUSIVE: UAE operator positions itself as a 'challenger' brand
Going forward, differentiation in terms of tariff innovation and price is not going to be sufficient, says Fahad Al Hassawi, chief commercial officer at du.
He adds that there's a need for the operators to differentiate by moving to digital through the creation of new services as well as moving current services to a digital model.
In an exclusive interview to CommsMEA, Al Hassawi talked about the digital transformation journey of the UAE telco. When asked about the decline in ARPU in the 2016 results, he said that it's an industry trend, further adding that at times it's a healthy sign of penetration. "The more you penetrate into the market, and the deeper you go into different sizes of wallets, the ARPU figures tend to change too."
For a brand like du which has positioned itself to be quite a youth-centric brand, does the entry of Virgin Mobile brand into the UAE bring in any kind of threat? Al Hassawi believes that's not going to be the case. "Though du and Virgin Mobile might have some commonalities, each has its unique appeal and customers can choose based upon their preferences. The two brands will complement each other," he adds.
Sharing an interesting point of view on new revenue streams and business models for telcos, Al Hassawi says how it might be a great idea to do something similar to the model of hospitality industry, wherein hotels charge different fees for different levels of services offered to the customers. Customers might be willing to pay a premium for a great level of experience, and the key to that would be to understand closely the needs and preferences of various kinds of customers in the market.
For the complete interview with Fahad Al Hassawi, stay tuned to CommsMEA.