At MVNO Nation Live, Matija Ražem, Infobip’s VP of Business Development, delivered an insightful session that explored how MVNOs can thrive in a rapidly evolving telecom landscape. Highlighting the shift from telco to techco, he shared strategies to leverage conversational AI, innovative partnerships, and advanced digital channels to unlock growth opportunities and deliver exceptional customer experiences.
From Telco to TechCo: MVNOs at the Forefront of Transformation
It’s a well-known fact that the telecommunications industry is undergoing a seismic shift as operators evolve from traditional telco services to technology-driven business models. In this profound transformation, the customer experience will be a critical differentiator. Matija shared the importance of moving beyond traditional offerings like voice and SMS into technology-driven services and how this evolution opens doors for MVNOs to move beyond the commodity space of connectivity.
By integrating SaaS solutions such as customer engagement and cloud contact center solutions, as well as customer data and chatbot-building platforms, MVNOs can offer value-added services that engage customers more deeply and address their needs at every touchpoint. Infobip’s omnichannel composable conversational CX platform is a key enabler in this journey, providing MVNOs with tools to deliver seamless customer experiences across traditional and digital channels, increasing the customers' lifetime value.
“MVNOs have the unique opportunity to lead the change in digital transformation,” Matija noted. “With tools like RCS Business Messaging, AI-powered conversational solutions, and strong partnerships, they can differentiate themselves and drive long-term sustainability.”
Trends Driving Conversational Messaging in Telcos
The shift toward a superior customer experience isn't just a passing trend - it's transforming how businesses, including MVNOs, engage their customers. According to Infobip’s platform data for 2023, 473 billion mobile messaging interactions highlight the growing reliance on two-way, personalized communication channels like chat apps.
Key insights from Infobip's research underline the following:
275% increase in Telco messages across APAC and 108% growth in North America, showcasing a global embrace of conversational platforms.
RCS adoption surged x441 compared to 2022, emphasizing its potential as the “SMS 2.0” for telcos to deliver rich, interactive messaging experiences.
WhatsApp usage for support soared by 385%, proving its effectiveness for real-time assistance and seamless customer journeys.
These trends underline the power of click-to-chat apps, virtual sales assistants, and end-
to-end conversational journeys, all of which enable telcos to meet rising customer expectations while optimizing engagement and operational efficiency. By adopting omnichannel platforms, MVNOs can front-load the sales funnel, streamline eSIM activations, deliver 24/7 support, and enhance customer satisfaction – all while unlocking new revenue streams.
Conversational Experiences: The next frontier
One of the key trends highlighted was the rise of conversational experiences. It revolutionizes customer interactions by creating more personalized, engaging, and efficient journeys. Rather than static, one-way messages, these experiences allow for dynamic, two- way conversations that feel natural and intuitive.
Customers value good CX and wish to contact their operator via preferred channels. Besides high-quality CX, users also emphasize the importance of personalized promotion when buying additional Telco services - 46% of customers say that personalized promotional messages could influence them to buy additional / upgraded Telco services. On the other hand, 53% of Telco customers confirmed they would switch operators due to bad CX.
In addition, Mc Kinsey's research shows that GenAI could increase the Telco industry's total
value to 450-680 billion dollars.
Therefore, conversational AI and RCS are definitely at the forefront of this transformation, enabling branded, rich, and two-way messaging that elevates customer experience and improves campaign performance, such as a higher engagement rate of up to 66%.
"RCS is SMS 2.0" Matija noted. RCS Business Messaging is a telco-native channel that combines the familiarity of SMS with the richness of OTT apps and offers unparalleled engagement. Infobip, recognized as the #1 RCS provider by Juniper Research, provides MVNOs with seamless, secure, and scalable messaging experiences.”
Unlike traditional messaging, rich, branded communications boast up to 10x higher conversion rates compared to email. Infobip’s platform empowers MVNOs to create dynamic, two-way interactions with customers through channels like RCS, WhatsApp, Viber, or any other digital channel the customers prefer.
Matija also illustrated how conversational AI is reshaping the customer journey by enabling real-time, dynamic interactions throughout the end-to-end customer journey. He shared that 90% of customer inquiries can now be resolved through AI-driven automation, delivering significant cost savings while maintaining a high-quality experience. Seamless handovers to live agents further ensure that complex queries are handled with care, striking the perfect balance between automation and personalization.
By adopting solutions such as AI-powered customer engagement platforms and leveraging emerging channels like RCS and WhatsApp, MVNOs can redefine how they connect with their customers. This is an unmissable opportunity for MVNOs to differentiate in a competitive market.
Partnerships as a catalyst for growth
Infobip’s longstanding collaboration with telecoms - built on over 18 years of expertise and 800+ direct MNO connections, combined with its position as a leader in the CPaaS space (recognized as a Leader for the second year running in the 2024 Gartner® Magic Quadrant™ for CPaaS), make it an ideal partner for MVNOs looking to innovate. By co-creating solutions, MVNOs can unlock new revenue streams, expand their service portfolios, and capitalize on opportunities in emerging markets.
“Partnerships with platforms like Infobip are crucial for MVNOs aiming to stay competitive,”
Matija emphasized. “These collaborations enable faster market entry, bring tailored solutions
for MVNOs customers, and provide robust CX strategies powered by AI and data. By leveraging these partnerships, MVNOs can tap into high-growth segments like SMBs, projected to grow at a 30% CAGR globally through 2027.”
Key takeaways: Conversational AI and partnering for a thriving tomorrow
As Matija concluded, the road ahead for MVNOs lies in embracing digital transformation and
conversational technology.
By partnering with platforms like Infobip, MVNOs can co-create solutions that drive growth,
optimize operations, and deliver exceptional customer experiences.
With Infobip’s global expertise, robust telco partnerships, and industry-leading solutions,
MVNOs can confidently navigate the evolving telecom landscape and thrive in the
conversational era.