Monthly Archives: September 2015

SME Targeting in Oman: MNO’s Are Shooting Themselves In The Foot!

Telco MNO’s are currently focusing more & more on enterprise services since consumer revenue is decreasing drastically over the past 5 years. In order to maximize their profit, they are tapping into a segment that has always been considered a mass market segment & targeted by consumer offering: the SME’s. SME’s have been using the consumer offerings to save money & benefit from the features available. They need voice, data, & sometimes fixed voice & data.

In a drill to help a friend with the best package in Oman, I was checking the SME offerings versus the consumer ones. It turns out that MNO’s in Oman are offering much more to the consumer rather than the enterprise. With packages in the consumer segment loaded with national minutes, data, & international minutes, it was still cheaper as a whole package to the customer rather than taking one of the SME packages (around 30% more with around 80% less minutes & data). This has raised a very serious question: how are the MNO’s targeting these SME’s and luring them to sell them more services?

If the MNO’s do not have or compile their database of SME’s, how can they be able to target them later rather than treating them as consumers? If the SME package costs 30% more than the consumer packages compiled for 5 – 15 employees, even more in some cases, how will they be able to target & segment such SME’s?! In more developed countries, SME or enterprise packages are about 10% less in price and loaded with much more features. The rationale behind that is luring the customer with voice & data packages to upsell & cross-sell them more features & bigger packages. SME packages for 5 -15 stick more to the network than consumer packages.

My experience with such a drill made me think that the MNO’s in Oman are shooting themselves in the foot, unless they don’t care about tapping & segmenting SME’s by selling them consumer packages.