An ever-present fact in the business of providing new
broadband services is the need to increase the number of subscribers. This
is typically done through some type of installation process that, depending
on the type of service, may include activities such as wiring,
configuration, and/or provisioning. The size and scope of these activities
depends on how well the service was designed and built. Many broadband
services require as little as a simple activation whereas others require
much more including skilled labor. The initial installation of broadband
data services requires all three activities as well as skilled labor.
However, the dependency on manual intervention with each installation has
slowed the ramp up in the number of subscribers.
Seeking efficiencies becomes paramount when rolling out
new services. New services create growth in subscriber
installation/activation and require coordinated efforts between marketing,
sales, and field fulfillment groups to more rapidly place these services in
the hands of subscribers. Without efficiencies, growth of subscribers and
profitability in the new services is slow to develop. Out of this need grew
something known as “auto-provisioning”. The concept was simple; create a way
to automatically activate/enroll subscribers on broadband the way the dialup
industry does it. However, this simple way turned out to not completely work
in practice and thus “Auto-Provisioning” has now branched off into a number
of different installation options for broadband operators – each
installation option requiring a varying degree of broadband operator
involvement. As a result, a whole spectrum of installation options has
evolved for prospective subscribers ranging from totally subscriber driven
installs (known as self-install) to the traditional broadband employee
driven installs. The most popular of these installation options are compared
in Table 1.0.
While the need to bring on subscribers quickly and
painlessly is a worthwhile goal, complications still exist that prevent
these methods from making appreciable impact to a broadband operator’s
annual installation rates. Some of these complications include:
Successfully negotiating these complications has become
a priority of broadband operators who are exploring a number of new products
on the market that attempt to speed and automate installations. However, a
majority of the new products on the market have elected to address only
certain aspects of the installation process – few take the approach of
trying to speed the installation as a whole or address multiple installation
methods. As a result, the benefit from these products is minimized by the
additional need to glue all these systems together to benefit only a single
installation option. Broadband operators can substantially increase (between
20-40%) their installation capability by increasing the number of
installation options discussed in Table 1.0. Augmenting their employee
driven efforts to install new subscribers offers them new ways to increase
subscriber growth without hiring more employees.
Method: |
Description: |
Wiring: |
CPE configuration |
Activation: |
Install Time Savings: |
Good/Bad Points: |
Target Audience: |
% Take Rate: |
Self-Install |
Provides a means for the subscriber to install (i.e. connect/configure)
all equipment/cables necessary to achieve a readiness for service
activation. Several options exist here including self-install kits that
contain instructions, cables (in precut lengths with fittings), wall
outlets, filters, and in some cases CDs that permit the subscriber to
ready their dwelling and computer (CPE) for service. Service activation
is also customer driven as a result of them connecting to the broadband
service and launching a web browser. |
Subscriber
Through installation kit and instructions. |
Subscriber
Through purchasing their own computer that is either already broadband
ready or the subscriber installs their own NIC. |
Subscriber
Through self-activation web site. |
100% -- as no operator involvement is required |
G: No operator involvement required for these new installations.
B: Impersonal and could negatively contribute to subscriber loyalty. Any
problems can likely result in a truck roll. |
Highly technical or capable subscribers (often the early adopters).
Those living in apartments or multiple dwelling units (MDUs) are also
prime targets. |
5% opportunity |
Broadband Readiness |
Provides a means of distributing the task of installing additional
outlets (AO) in subscriber residences with each service visit (Video &
telephone installs, service calls, etc.). In this way, the work of
performing the wiring (single lengthiest task of any service install)
can be distributed across multiple field organizations to dramatically
increase the number of residences that are ready for new broadband
services. Making a note of this in the subscribers account provides
sales organizations with a list of hot leads. |
Operator –
But work is distributed to ALL
field organizations. |
Subscriber or 3rd
Party or Operator
A 3rd
party could be a contractor, a computer store, or a landlord. |
Subscriber (Self-Activation) or Operator |
45–60+ minutes as each trip to a subscriber’s home is optimized (future
install trips are either eliminated or reduced by half) |
G: Provides means to speed installs without resorting to more technology
based self-install.
B: The amount of work required by broadband operator employees remains
the same – its just distributed differently and at perhaps more
opportune times. |
Everyone – who has time available to extend a service visit for
additional wiring. |
20-30% opportunity
In the beginning… In practice, however, 75% is more likely |
Self-Activation |
Provides the means for the subscriber to activate services in lieu of
making a call to an operator’s call center to help activating various
components of the service or having a technician in the home activate
the service.
|
Operator
Installer wires the dwelling. |
Subscriber or 3rd
Party or Operator |
Subscriber – through
self-activation web portal |
5-10+ minutes |
G: Promotes self-service by introducing subscriber to web site.
B: Requires complex interaction with broadband operator’s billing and
customer care systems. |
Those most comfortable with their CPE as well as the Internet. |
5-10% opportunity |
Retail Assisted CPE Readiness |
Provides a means for the subscriber to obtain the services of a 3rd
party vendor to perform the CPE readiness for example, installing and
configuring the network interface card (NIC) as well as any software as
required by broadband operators. |
Operator
Installer wires dwelling. |
3rd
Party |
Subscriber (Self-Activation) or Operator |
10-15+ minutes |
G: Provides means for potential subscribers with older CPEs to get
upgraded without requiring professional help from broadband operator.
B: Coordinating and managing relationships with 3rd parties
can be difficult |
Less technical individuals or those who require upgrades or service on
their CPE anyway. |
5-10% opportunity |
Self CPE Readiness
Or “Basic Install” |
Provides a means for the subscriber to achieve CPE readiness. This
method requires the broadband operator to provide a CD to guide the
subscriber on the installation and configuration of their CPE. Another
way would be to conduct weekly training sessions for future subscribers
to take home an activation kit and then install/configure their NIC. |
Operator
Installer wires dwelling. |
Subscriber
With help from the CD |
Subscriber (Self-Activation) or Operator |
10-15+ minutes |
G: Caters to a slightly wider audience and standardizes installs
(prevents follow up service calls).
B: Requires Customer Care to activate each install. |
Moderately technical and up – especially those subscribers who want to
do things themselves. |
30% opportunity
Requires a broadband ready CPE as installation of a NIC reduces take
rate. |
Traditional Install
Or “Premium Install” |
The conventional way of installing service at a subscriber’s place of
residence. This means of installation is completely manual from signup
to install and activation numerous broadband employees are involved to
make each installation successful. |
Operator
Installer wires dwelling. |
Operator
Installer configures CPE. |
Operator
Installer activates service. |
0% -- as the operator is involved in every phase of the install. |
G: Greatest flexibility to conduct install with maximum focus on
subscriber.
B: Slow installation growth |
Everyone |
Default choice if no other options are available. |