eSIM as a service differentiator: The future of digital subscriber journeys
Having discussed the developments in eSIM and the potential it presents in the previous chapter, let’s dive deeper. Fredric Liljestroem, CEO and Founder of 10T Tech, highlighted the potential of eSIM as a service differentiator in his presentation. Under his leadership, 10T Tech simplifies eSIM onboarding for mobile operators, carriers, and MVNOs, streamlining the process for efficiency and speed.
Fredric explored how eSIM technology can enhance customer acquisition and retention by improving the customer journey. He emphasised tools like campaign QR codes, carrier QR codes, and other eSIM enablers, along with strategies for managing customer interactions and guiding users through installation. Additionally, he discussed the benefits of smart eSIM orchestration in optimising service delivery.
Changing eSIM landscape
In the previous chapter, we explored eSIM adoption in detail. Fredric noted that many iPhones already support eSIM, yet users are often unaware of it. With three generations of Apple devices in the U.S. being eSIM-only, global expansion seems inevitable as Apple sets the trend and affordable devices follow. However, MNOs have been slow to embrace eSIM due to concerns over dealer networks and hardware sales. Some still require in-store activation, undermining eSIM's convenience, though tools like Apple Quick Link and the Apple Lookup Server are starting to simplify the process for authorised carriers.
Improving the customer journey
The adoption of eSIM cannot be accelerated without prioritising the customer journey and ensuring the process is as simple as possible to encourage wider adoption. QR codes, both physical and digital, remain instrumental in streamlining eSIM usage. Fredric highlighted that operators must prioritise supporting diverse onboarding methods to ensure a seamless customer experience. Over the past year, "campaign QR codes" have gained traction, allowing customers to scan a poster, such as at an airport, to sign up and get onboarded instantly. This approach could expand to locations like bus stops, enabling real-time tracking of customer acquisition and adjustments to marketing strategies.
How to manage customer interactions better
Customer onboarding is just the beginning; a robust strategy must be adopted to further support your customers.
Fredric Liljestroem - 10T Tech (FL): “We provide a generic QR code for operators and MVNOs that, when scanned, retrieves the specific profile assigned to the eSIM eID, that us unique to the customers device. However, what happens if a customer accidentally deletes their profile and encounters restrictions or errors while trying to re-download it? Without a direct communication channel, such as WhatsApp or a messenger service, carriers might struggle to reconnect with the customer.
In our systems, we identify these issues and initiate communication with the customer using their preferred method. This allows for quick problem resolution without burdening customer service teams. Additionally, we track the customer’s device - if they’re switching, for instance, from an iPhone 11 to an iPhone 15 or 16. This creates an opportunity to engage with them, discover what they’re doing with their old device (e.g., selling it or passing it on), and offer incentives for switching to your carrier, including rewards for customer referrals.”
Fredric highlighted the potential for customer-driven sales through strategies like offering a prepaid data card at airports, which could boost customer acquisition and enhance existing eSIM roaming or traveller SIM services.
Smart orchestration and eSIM implementation
eSIM technology is becoming increasingly accessible, yet adoption by operators and MVNOs for both inbound and outbound travellers remains low. There is insufficient focus on maximising the potential of local and traveller SIMs. Carriers are not fully leveraging available data, such as SIM activation frequency and device usage patterns, which could enable more informed decision-making.
Frederic noticed that a significant challenge lies in the slow integration of systems with Business Support Systems (BSS) and Operational Support Systems (OSS), leaving many customers without full system functionality for extended periods. Some operators rely on a single SM-DP+ (Subscription Manager Data Preparation) service, limiting their capabilities. A smarter approach involves integrating multiple SM-DP+ platforms to streamline processes and facilitate seamless interaction between BSS, OSS, and core networks.
Smart orchestration enhances customer onboarding, system integration, and service activation, while ensuring robust customer support. The adoption of multi-tenant setups empowers dealers and partners to manage and track SIM cards or eSIM profiles effectively. The flexibility to switch between systems when needed further ensures improved security and continuity in service delivery.
Opportunities for MVNOs in eSIM market
Operators are hesitant to fully integrate eSIM, creating a gap in the market, especially as they are still prioritising plastic SIM cards over eSIM. This presents a significant opportunity for MVNOs to take advantage of the growing data traffic demand and use eSIM technology to acquire customers more effectively. MVNOs can start with basic integration and progressively evolve into more advanced smart orchestration solutions.
MVNOs, especially those without direct RSP (Remote SIM Provisioning) operations, can still leverage eSIM technology. If they have the ability to produce SIM files and connect with an RSP platform, they can integrate eSIM capabilities without limitations. The key is to tap into this potential, streamline the integration, and capture the data traffic opportunity in the market.
Why are MVNOs not embracing this opportunity fully?
FL: “Although developing an eSIM profile is relatively quick and easy, MVNOs remain hesitant due to concerns about changing the customer journey and the fear of losing control over the process. The primary challenge comes from dealers, who are more familiar with physical SIM cards and are reluctant to adapt to eSIM. However, solutions like multi-tenant systems can help manage eSIM profiles while preserving commission structures for dealers, facilitating a smoother transition.
MVNOs are also cautious about giving third-party platforms control over their customer base. They are reluctant to grant external access to their systems, preferring to maintain complete oversight of their eSIM platforms.”
Key takeaways: The opportunity for MVNOs in the eSIM market remains high, as operators are slow to adopt the technology. If MVNOs address their concerns and collaborate with partners like 10T Tech, they can fully embrace this opportunity and gain a competitive edge over operators and other market players. With the rapidly changing telecom industry, MVNOs should act swiftly to capitalise on this potential.