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Ericsson Dynamic Discount Solution

Maximize your mobile network utilization

Dynamic Discount Solution helps operator to maximize mobile network utilization and increase call revenues.

The solution provides discounted voice call tariffs based on traffic load in network where the subscriber resides. The discounts are broadcasted to the phones, which change the call patterns; it decreases the traffic at peak times and increases the traffic during off-peak times when free capacity is available. The increased traffic due to the discount enables the operator to maintain revenues initially and in the long run both increased traffic and revenues.

Eyecatcher
Key benefits

For the operator

  • Delayed or reduced CAPEX for network expansion through more efficient network usage
  • Reduced OPEX due to lower maintenance costs (in proportion to the above CAPEX reduction)
  • Improved quality of service as network congestion is reduced during busy hour
  • Increased subscriber loyalty and reduced churn resulting in reduced cost of acquisition
  • Expanded addressable market with the new possibilities to address the low-income segment using deep discounts to a low marginal cost
  • Increased market share by attracting subscribers from competitors
  • Improved operator perception, customer satisfaction and strengthened brand
For the consumer
  • Improved value for money by more and longer calls for the same amount of money
  • Improved quality due to for example less congestion at peak traffic hours
  • Affordable mobile subscriptions for the lower income subscriber segment through the option to make calls with high discounts

Meeting market needs

Dynamic Discount Solution provides operator the possibility to address the low income segments. Call tariffs are today the single largest barrier to entry for the low income population groups. Network operators are facing the dilemma of how to address this segment without cannibalising or eroding the existing revenue streams. Dynamic Discount solves this dilemma as low income users can now get affordable telecom services if they are willing to call outside peak hours.

Generate new revenue

Dynamic Discounts Solution has also high effects on reducing churn and attracting subscribers from the competitor’s networks. Hence increases the subscriber base and the total revenues for the operator.