Viettel Group - YouTube Plans
Company: Viettel Group, Ha Noi, Vietnam
Company Description: Viettel is one of the largest telecommunications companies in the world in terms of number of customers. Viettel has a significant presence in 12 countries and a customer base that includes more than 100 million accesses around the world in Asia, Africa and America. Other than Telecommunications, Viettel also participates in Research and Production of Hi-End Technology and some other categories.
Nomination Category: Products & Product Management Categories
Nomination Sub Category: Best New Product or Service of the Year - Media & Entertainment - Service
Nomination Title: Viettel Group - YouTube Plans
Tell the story about this nominated product or service (up to 650 words). Describe its function, features, benefits, and performance to date.
Change in habits of users.
"Internet of Things" (IOT) - has given about a series of changes in the lives, work, leisure and travel of all global citizens, even the way of governments and businesses interact with the world.
Instead of taking a taxi, customers switch to Uber; instead of reading the newspaper, they surf Facebook and of course instead of watching TV, people now prefer to YouTube. The change has had a strong impact on the development of telecommunications and businesses.
Therefore, from competing for rates and data packages, telecom operators have to look for new ways to approach, satisfy the increasingly diverse needs of their customers.
Following the general trend, representatives of Viettel in countries such as Peru, Tanzania and Cambodia have launched unlimited YouTube service packages from mid-2016, creating a breakthrough in the local telecommunications market.
YouTube Package - Cheap Entertainment, Enhanced Control
According to Google's February 2017 survey, the average duration of a YouTube viewing session is 40 minutes, so a YouTube account will spend at least 1200 minutes per month, approximately 5Gb of data. However, in fact, few users are eligible to pay for 5Gb data per month.
In Peru, an average consumer uses $ 6 per month; if he would like to use 5Gb data per month, he needs to register a package of approximately $ 13 (the average price applies to all four networks in Peru). In Cambodia, for 5Gb data per month, the average consumer needs to pay at least $ 5 per month, five times the average consumption. Obviously, to meet the demand, customers need to pay 2 to 5 times more their normal spending.
The YouTube service package is considered one of the measures to help consumers enjoy low-cost entertainment yet enhance control over mobile data consumption.
- In Peru: Customers only need to refill a card from 3 - 5 soles (Peruvian currency), equivalent to $ 1 - $ 1.5 to be able to use YouTube unlimited from 0:00 am to 5:00 am of the refill day.
- In Tanzania: Customers only need to send a registration message at a cost of $ 4 to be able to access YouTube completely free of charge within 30 days.
- In Cambodia: Customers only need to spend $ 1 to use YouTube unlimited for 1 week and $ 3 for a month.
Thus the YouTube package helps customers, especially the segment of potential customers from 18 to 30, saving an average of nearly 40% - 80% of consumption costs while fulfilling the demand for entertainments, learnings and experiences.
YouTube Plans - Opportunity to integrate the world for remote customers
In Cambodia, there are only 7 TVs in 10 people, but there are up to 14 mobile subscribers. This difference is much higher in the African country - Tanzania. While the average price of a television in Cambodia is about $ 150 - $ 250, the price of a smartphone is only $ 70 or less. This disparity continues to prevail in Tanzania and Peru.
Therefore, accessing to world of culture and entertainment needs of customers in distant and remote areas in most markets are very limited.
With a widespread network of coverage ranging from 95% to 98% nationwide, the Youtube service package is available to most customers in every area, from urban, rural to remote areas, enabling people in these specific localities to access to culture as well as basic entertainment needs.
In bullet-list form, briefly summarize up to ten (10) of the chief features and benefits of the nominated product or service.
1. Spreading Levels: Worldwide Youtube Service postings have reached an unprecedented spike with an average of nearly 1 million hits on facebook, youtube channels.
2. After 2 months of Implementation, number of customers registered service: nearly 215,000 customers, expected to reach from 1M to 1.5M in 2017, equivalent to 10% of internet customers.
3. Additional revenue of the service: $ 595,065 in 2016, is expected to reach $ 1,240,065 in 2017.
4. Contribute to increase nearly 1 million new customers after 6 months of implementation in 3 countries of Cambodia, Peru and Tanzania, equivalent to 5% of new customers during this period.