Channel Solutions

For most telcos, the whole idea of performing channel management functions came about as a sideline to the "real business" of telecommunications. Telco was about engineering; sales and marketing were necessary evils to be tolerated.

The telco marketplace of the 21st Century, however, takes a decidedly different view of the business. In today's world, the channels identify, educate, sell, support, and interface with customers and plays an ever larger role in the entire business of telecommunications.

"If we had only known 10 years ago that channels were going to be so important, we would have set things up very differently." That's what most managers think today.

Most telcos find themselves in the un-enviable position of being in charge of a very poorly planned, difficult to manage, loose conglomeration of internal channels (multiple sales, customer care, marketing, direct marketing, call center, and Internet channels) along with a plethora of external channels (dealers, agents, wholesalers, retailers, value added resellers, and any number of differently defined "partner" organizations).

Few telco managers today truly understand:

• The complex channel relationships they have to manage

• The consequences that changes in policies and practices will have on those channels and related sales

In other words, the channels are managing the telco instead of the other way around!

Special Challenges - Channel Rightsizing and Realignment

The problem with trying to manage channels is that:

• They are large and complex

• They have a life and mind of their own

• They have complex interactions with each other and with you

• You have direct control over only a limited number of them

• They "own" certain aspects of your relationship with your customers, which means that they can use it against you

• Your identity and the channel's identity are merged in the mind of the customer

Working with channels and learning how to manage them effectively is a survival skill for most telcos. The cost savings, rapid market penetration, and shared risk financing they represent are advantages that no telco can afford to be without. However, as time goes on and as the complexities and consequences of becoming a fully "channelized" telco become apparent, how you view and manage those channels needs to undergo some serious renovation.

Many telco managers find themselves at the brink of potential disaster when it comes to channel decision-making. It is not that the use of channels isn't effective, but that they are getting more and more difficult to control, which means that:

• They are getting more and more expensive

• They are getting harder to direct

• They limit the organization in the types of strategic changes that it can make

If you find yourself struggling with the overwhelming challenges of telco channel management, then there is a good chance that TTA can help.

Channel Rightsizing and Realignment - Value Proposition

TTA's Telco Channel Rightsizing and Realignment Solution provides:

• Complete, exhaustive analysis of past and present trends of channel performance

• Evaluation of channel performance by product, market segment, and channel function, cross referenced by headcount, ARPU, and loyalty credit

• Comprehensive criteria for measurement and evaluation of channel performance

• Highly accurate forecasts of future (untreated and treated) channel contributions

• Comprehensive training of marketing, sales, customer service, and advertising teams in the use of advanced analytics and best practices techniques

• Complete organizational and operational overhaul for channel management optimization

• Complete audit and plans for development of comprehensive channel rightsizing and realignment tracking and management systems

• Rightsizing of your channel organization to complement your overall channel management strategy

Channel Rightsizing and Realignment Solution

Our approach to channel rightsizing and realignment offers a comprehensive view of the situation from all perspectives and provides the information you need in order to make changes in your:

• Strategies

• Channel affiliations (add channels, reduce channels, enhance/reduce channel funding or support)

• Marketing programs, campaigns, and promotions in cooperation with channels

• Channel markup and pricing strategies

• Channel/market/product alignments

Our Channel Rightsizing and Realignment Management Solution makes use of our best practices in all areas of your organizational and operational environment to minimize the damage and maximize the long term benefit.

Channel Rightsizing and Realignment Analytics

TTA has developed an extensive assortment of channel management analytics, designed specifically for telcos dealing with complex channel-driven situations that they are trying to understand, measure, and manage. Our channel management analytics include: 

• Exhaustive customer behavior-based segmentation

• Segmentation of customers based on customer value, customer wants & needs, loyalty, channel preferences, media preferences

• Special historical segmentation of customers by channel contribution to awareness, education, acquisition, enrichment, problem resolution, and customer support channel, cross-referenced by customer segment and value

• Evaluation of customer segment/product channel preferences

• Evaluation of customer segment/product channel options

• Market research and detailed qualitative analysis

• Customer valuation modeling

• Customer channel selection trending and prediction modeling

• Channel cross-elasticity analysis (developing price-channel/switch metrics)

• Financial and market share impact analysis on your most likely channel rightsizing and realignment scenarios

• Market econometrics and long term revenue forecasting and channel contributions

The TTA Channel Management Analytics provide you with an unsurpassed perspective on what existing and potential channels and channel partners have done, are doing, and could do for you in the future.

Channel Rightsizing and Realignment Disciplines

Complementary to our Channel Rightsizing and Realignment Analytics is our extensive application of best practices analysis of your organization, operations, budgets, and I/T systems. Our comprehensive review of your business disciplines and I/T disciplines, as they relate to your overall channel management capabilities, provide the second ingredient to put together a channel management strategy that will help you to establish yourself where you want to be in the marketplace.

Our audit, review, and recommendations in the area of disciplines include:

• Strategy and vision review

• Brand management

• Customer intelligence

• Customer management

• Product management

• Program, campaign, and promotion

• Channel management

• I/T practices, systems, and support

Channel Rightsizing and Realignment Strategies

The ultimate objective of our efforts is a comprehensive strategy to realign your entire organization where everyone is addressing the channel management situation in an efficient and cooperative way. Our recommendations will include:

• Effective channel partner selection, evaluation, measurement, management, and treatment

• Effective marketing program, campaign, and promotion plans

• Effective realignment of your departments and procedures to better address channel management goals and objectives

• Establishment of ongoing responsibilities for tracking and managing channels

• Analytics and metrics to monitor channel activity and program effectiveness

The TTA Channel Rightsizing and Realignment Solutions present a complete understanding of the channel  situation and a comprehensive roadmap for an organization that can deal with it. This complete roadmap can include:

• Computer systems development recommendations, requirements, and implementation plan

• Organizational adjustment recommendations, specifications, and implementation plan

• Training plans for marketing, sales, advertising, and customer service staff

• Best practices coaching for those members of your team earmarked as your channel rightsizing and realignment management experts