The consummate revenue generator: Disney

From childhood, Disney carefully grooms customers to recognize and react to the big mouse brand. What's most amazing is the way Disney is able to expertly monetize that same decades-old rodent and turn profits that are decidedly 21st-century. From humble sketch and flip book animation, today's Disney stretches across retail stores, Hollywood, international theme parks, toys and licensing galore. You can buy Disney characters on diapers and toothbrushes, cups and jammies. No matter what kids need, there's likely to be a version emblazoned with one or more Disney properties. So what's the lesson for CSPs? While its probably not a good idea to create an animated mascot, it is critical to look at creating new lines of business out of the same tried and true network and marketing your brand across your customers' lifetime, instead of only their customer life cycle.

SK Telecom is one operator who is doing just that. At Mobile World Congress 2014, SK Telecom demonstrated walking, talking interactive robots that help children familiarize themselves with technology while playing, and literally programming, these walking talking toys (Fig. 1).

(Fig. 1 - In collaboration with Telefonica, SK Telecom demonstrates interactive smartphone toys for children in Barcelona at Mobile World Congress 2014)

AT&T has also been successful at re-imagining customer connectivity as a platform for digital lifestyle services that don't just lock up the house and turn down the heat—now your mobile service keeps your home safe, saves you money and keeps your life connected on one device. For a whole segment of consumers, it is peace of mind in the palm of your hand is priceless.

“AT&T is not the only telco to have launched home security and automation services, and a number of OTT players have also launched parallel offerings,” according to Ovum's Emeka Obiodu. “However, what makes AT&T’s approach different is the scale and comprehensiveness of its product offering. Other telcos have usually opted for a partial approach, where they buy-in or partner with third-party suppliers to deliver some home security and automation services. In the debate about telco innovation, a recurring theme is about how the small steps taken by telcos are never enough to constitute a sea change in the market. However, AT&T’s approach gives it a chance to guide the market in the direction that it wants."