The success of wireless connectivity
is dependent on many things, not least
of which is billing. This article looks
at the requirements emerging for billing
as wireless connectivity is deployed,
new services are enabled and the service
delivery value chain disaggregates.
What will customers use wireless connectivity
for?
To start with we need to understand
how customers will use wireless connectivity.
To answer this, we need to look at customer
types. The break-out from the old telephony
service world will requires an increase
in the sophistication with which CSPs
segment and target their customer base.
Until CSPs get to grip with this, let's
continue to use the traditional segmentation
of consumers versus business customers.
Consumer requirements are expanding
towards content services. Consumers are
prepared to pay for the value they receive
from the content rather than paying for
the transporting of that content.
Consumers'
Use of Wireless Connectivity |
Person
to person |
Voice,
messaging & e-mail
Multi-player
gaming |
Person
to machine |
Location
based services
Entertainment
Commerce
Messaging
from applications (home
management, vehicle management,
etc) |
Machine
to machine |
Telematics
House management
Supermarket
orders |
|
On the other hand, business customer
requirements are expanding towards customised,
integrated communications solutions enabled
by a portfolio of capabilities based
on connectivity, infrastructure management
and IT services.
Business
Customers' Use of Wireless
Connectivity |
Connectivity |
Data
networks
Internet
access
Voice services |
Infrastructure
management |
Network
management (VPN)
Hosting
Security
services |
IT
services |
ERP
Enterprise
solutions and integration
Applications
outsourcing & business
process management |
|
In both segments end customers want
to access services wherever they may
be, with whatever device they choose.
They want the network and service to
know who they are and what they like
(their profile), wherever they go. They
want to know how much they will have
to pay and who to contact if they have
questions or if they experience difficulties.
And, to an increasing extent, they want
to be able to manage their relationship
with their CSP themselves. They do not
want to do things differently depending
on the network type or even to have to
know what type of network they are using.
In short, they want the entire experience
of using the services to be simple and
the same each time and they want to feel
they are in control.
Implications for CSPs
CSPs must decide which pieces of the
service delivery chain they will provide
themselves and which they will rely on
partners to provide. At one end this
concerns content providers and content
aggregators. At the other end it concerns
providers of licenced mobile networks,
hot spots, wireless local loops, etc.
Many factors influence their decisions
but it is unlikely that a CSP will provide
all segments of the delivery network
(wireline, mobile and unlicensed spectrum)
across the entirety of its geographic
coverage. It is far more likely that
we will have a pastiche of multiple network
providers, some of whom may also be service
providers, and this will present new
challenges for the CSPs.
Customer-impacting
business processes will require information
flows between the various organisational
entities along the supply chain. These
include processes such as authentication,
authorisation & accounting
(e.g. choice
of payment types) and service delivery
that depend on the customer profile information.
In addition, charging and accounting
processes necessitate the correlation
of records of sessions, transactions
and events along the supply chain to
determine what should be charged to whom
and for how much. Furthermore, processes
must be established for the settlement
between the partners involved in providing
the various pieces of the route to the
customer, as well as processes for problem
handling.
All of these impose new requirements
on BSS and OSS . On the content and application
supply side these include new platforms
for Partner Relationship Management and
Service Creation / Service Delivery.
In business operations these include
new requirements for Mediation and Billing,
Accounts Receivable and Collections,
Product Catalogue, QoS management, DRM
enforcement, Inventory Management and
Fault Management. And on the demand side
they include Service Registration and
Fulfilment, Self-Service, Customer Analytics,
Sales, Trouble Ticketing, and Payments.
Billing Challenges
Looking at customer billing in more
detail, systems must be restructured
to provide a complete, 360 degree view
that allows the customer to be managed
on a holistic basis, independent of the
types of network used to deliver services.
This drives a consolidation onto a small
number of flexible, scalable, convergent
billing platforms (which, happily, is
consistent with the CSP's need to reduce
operational expenditure). It also drives
the integration of billing systems with
CRM and other BSS / OSS components which
is facilitated by open and modular systems
architectures.
In addition, new functional requirements
arise that are extensions of existing
requirements supported by many retail
billing systems in operation today. These
include:
Bundling of complex and
diverse groups of new services that may
be delivered over different or multiple
network types
Real time, on-line charging
to provide spending control mechanisms
that protect both the customer and the
service provider
High availability to meet
the “always on” requirements of real
time
Digital Rights Management
to restrict access to content to those
entitled to it
Transactional processing
to support billing for content and m-commerce
Hybrid customers who have
both a professional persona and a consumer
persona (“pro-sumers”)
Flexible payment methods
to offer the customer a choice of payment
method (pre-paid, post-paid, credit card
or bank debit) at the time of service
use
Looking beyond these extensions to existing
capabilities of modern billing platforms,
new categories of billing requirements
can be envisaged. First among these is
Context Sensitive billing. This is where
the billing arrangements, including who
pays and how much, are dependent on the
context in which the service is consumed.
The context can be determined by one
or more parameters from an extensive
range. For example, the price for service
delivery to a terminal device with a
small screen may be less than for the
delivery to a terminal device with a
large, high resolution screen; the price
for delivery over 2.5G may be lower than
for delivery over 3G or WiFi; there may
be a different price for leisure access
from that for professional access. For
each of these, different revenue sharing
arrangements may be implemented resulting
in the customer paying different proportions
of the overall price with other portions
being paid by third parties. Many more
options and combinations can be envisaged.
However, over-arching the technical requirements
to support this type of billing is the
need to keep things simple and clear
to the customers so they know how much
they have to pay for what.
Another category of new billing requirement
is Person-to-Person billing. This is
where the service provider's customers
make payments to each other via their
accounts in the billing platform. This
may be useful for grid computing applications
for between business customers and peer-to-peer
content transactions between consumers.
How to get there
How can a CSP meet the known requirements
and, at the same time, position itself
to meet new requirements that will emerge
in future?
The guiding principles are captured
in a new term that is rising to prominence:
Integrated Customer Management. This
is a way of doing business where the
focus is on delivering an intentional,
differentiated customer experience and
where all corporate resources are agile
and aligned. The result is the creation
and capture of maximum value.
Integrated Customer Management relates
to everything the CSP does, not only
billing. However, by adopting Integrated
Customer Management as the vision for
its business, a CSP has a context against
which to make decisions on billing requirements
and capabilities. That way it stands
the best chance of avoiding billing being
a constraint on its success in wireless
connectivity.
On its own, Billing cannot ensure the
success of wireless connectivity services
but if it is not done appropriately it
can delay or diminish that success. |