Tuesday, January 26, 2010

Remove the barrier

In early days of business the focus was to create entry barriers for competitors , especially putting constraints at customer end . Ensuring that the product which customer has bought will provide him service only under one vendor and he will not be able to switch vendors. This way customers have to at times take decision to stick with one service provider and one of the classic example is mobile number portability .
In my 5 years of corporate career I have changed more then 5 places because of work , that means every time I have to change my mobile number or at times I if it was short duration like 2-3 months then I had to take a call to be on roaming and increase my phone bill . With mobile number portability my service provider who gave me first number is not holding my number in case I decide to change to new operator.
People talk about customer centric organisation , here I see a customer centric industry . Thanks to innovation in technology , regulations and of course willing ness of players now entire industry is thinking from customers point of view .
Another similar example will be one of the recent decision to enable customer accessing any DTH operator using same set top box , this will be called conditional access and will be executed by associating a small device with your Set top box.
It is definitely hard decision for service providers to let their customers go to some one else with such an ease but developing a seem less experience for customers will be beneficial for entire industry in terms of common standards and competitive environment . If one will loose customers then similar manner he will gain them from rival providers.
Overall entire industry will be very competitive with all service providers have to match the best offers given by competitors and The differentiation will be significant from each other to retain the customer base.