Vodafone NL Unveils Google Search On Live!

On May 22nd Vodafone NL launched Google mobile search within Vodafone live!, together with a new mobile data flat-rate option, Zorgeloos (‘Carefree’) Mobiel Internet. Zorgeloos Mobiel Internet is a classic BLOX option at EUR 9.50 per month, with an opt-out opportunity after the first month. Customers will be able to search the entire Internet using Google Search enhanced for Vodafone live! or via a Startpagina link, at up to 1.8 Mbps.

Recommended Competitive Responses

► KPN should put pressure on Vodafone NL by lowering its monthly charge on Hi! Enderloos offer (currently at EUR 9.95 with similar opt-out monthly terms). KPN should now leverage its differentiated mobile data flat-rate brands to achieve an advantage in the youth sector, via Hi!.

► KPN should implement ‘bucket search’ alignment with Google search on its KPN Today portal. KPN should argue that its multi-branded strategy allows it richer insight into its customer base profile, and therefore a bucket search approach will be more accurate, and valuable to the end-user.

► T-Mobile NL should argue that Web’n’Walk offers the only real mobile Internet experience in the Dutch market – unadulterated, unfiltered and uninfluenced by mobile operator on-portal prerogatives, and untied to a specific mobile operator portal.

► All competitors should anticipate that Vodafone NL will align its 3GSM-announced mobile application partnerships with this Zorgeloos Mobiel Internet pricing and initiative in the coming weeks and months. Google search and Startpagina search is just the beginning: YouTube, eBay and enhanced IM services are coming down the pipe.

Recommended End User/Customer Responses

► Vodafone live! handset owners looking for a mobile Internet option are advised to try out a single month Zorgenloos Mobiel Internet BLOX for size. The accompanying BLOX opt-out clause makes this a commitment-free exercise.

► Dutch consumers interested in taking out a mobile Internet service are advised to wait out the next six to eight weeks until all competitors have put their cards on the tables. Major and minor service enhancements are in the pipelines of all the leading competitors.

BT Takes Corporate Fusion to France

On April 24th BT announced the upcoming launch of its fixed-mobile convergence solution, BT Corporate Fusion, in the French corporate market. BT Corporate Fusion uses WiFi as the interface to the fixed network to enable large companies to combine their fixed and mobile voice services, as well as a common series of applications and calling functionalities through an integrated broadband IP network. BT will provide its customers with dual-mode devices that support both WiFi and GSM.

Recommended Competitive Responses

► Orange Business Services should point out that it has a competitive SME and SOHO FMC offering under its ‘Unik for SMEs’ and ‘Unik for Professionals’ services, giving the carrier a large SME base to target.

► AT&T has a strong offering under its NetGate 8100 service, which has remarkably similar delivery and box features as BT Fusion and Orange Business Services’ Unik for Professionals. This does give AT&T the opportunity to address the FMC market in Europe.

► Verizon Business Services has been lagging the market in its effort to work on its FMC strategy. Given that Verizon Business Services has emerged from a major restructuring exercise, it should take its mobility strategy in Europe forward a bit faster now and showcase its delivery capabilities.

► T-Mobile, O2, Telefónica and Proximus have often spoken about their FMC strategy, but the market has yet to witness a competitive product in their stables. However, they do have competitive fixed-mobile substitution offerings and they should work on these to extend them to an enterprise environment.

KPN Launches Mobile Advertising Trial

On May 2nd KPN initiated an 18-day mobile advertising trial, together with advertising partners Nestle, Adidas, Wehkamp, Videoland, New York Pizza, Benelux Film Distributors, Ferio Travel and GlaxoKleinSmith. All prepaid customers of KPN and Hi! will receive a commercial message from one of these brands each time they request a credit check SMS.

Recommended Competitive Responses

► T-Mobile should address the ‘fatal flaw’ in its web’n’walk strategy: T-Mobile is unable to initiate a advertising strategy from a portal offering dominated by Google search, a service which essentially takes all data users ‘off-portal’. T-Mobile NL should be looking to replicate KPN’s SMS-driven mobile advertising strategies as one of the only options in the immediate term.

► Orange NL should be gathering information and experiences from Orange UK and France regarding recent mobile advertising pilots in other markets, particularly banner ad trials in association with Orange World. An attention-grabbing mobile advertising strategy could just give Orange’s mobile content proposition a badly-needed second wind.

► Vodafone NL should anticipate that KPN will leverage its multi-branded identity to full effect going forward, to create higher-value mobile advertising campaigns and relationships. Advertising agencies and advertisers will be quick to see the benefits of targeting ready-segmented niche groups (such as Ay Yildiz’s Turkish-Dutch community, or Hi!’s youth base) via distinct KPN multi-brands.

► All competitors shouldn’t read too much into the exclusion of KPN brands such as Simyo or Ay Yildiz from this initial trial. The reason why this trial has included Hi! customers as well as KPN-brand customers is because these brands share the same USSD prepaid credit check systems. KPN is likely to extend its mobile advertising strategy across all its entire multi-branded entities, moving beyond SMS to exploit advertising opportunities across multi-branded portals such as KPN Today and Hi! There, going forward.

Vodafone Application Service Extends Enterprise Applications to the Smartphone

On April 27th Vodafone UK announced the Vodafone Applications Service – a new offering that mobilizes enterprise applications onto mobile smart devices. The service includes pre-sales consultancy, delivery and integration as well as support for the entire solution which can comprise any combination of devices, network, middleware and the customer’s enterprise application.

Recommended Competitive Responses

► Orange Business Services needs to fast track its application support strategy and bring it to market sooner rather than later. Though Orange Business Services has a strong service roadmap, it hasn’t been able to implement the same; this has lead to competitors taking an edge.

► BT Global Services should keep a keen eye on Vodafone Application Service and appreciate how it can extend a similar service to its BT Corporate Fusion, FMC offering. BT’s mobility strategy has entailed offering business-focused mobility solutions and incorporating enterprise application support with BT Corporate Fusion will definitely give BT a stronger competitive platform.

Recommended End User/Customer Responses

► Enterprise customers who have the need for extending their applications to mobile users should give Vodafone more than a favorable ear because the service is a first of its kind and has the right ingredients to suit varying enterprise environment. Being increasingly responsive to end-customer demands is a challenge for businesses today and Vodafone Application Service is a well designed platform to help organizations obtain this goal.