Using Customer Insights to Capitalize on the Broadband First Wave

Using Customer Insights to Capitalize on the Broadband First Wave

When the tide is surging against traditional cable video service bundles and towards Over-The-Top (OTT) streaming services, what’s an operator to do? Rather than get swept up in an undertow of cord-cutters, operators can instead seize on the opportunities to drive broadband revenues and improve the quality of experience and overall satisfaction of their customers.

While a wave of headlines has been highlighting the entry of new D2C services and the negative impact of cord cutting, the latest edition of the OpenVault Broadband Industry report (OVBI) shows that significant new opportunities await for operators. By helping customers understand the broadband requirements for high quality video streaming, operators can right-size their subscribers to the necessary bandwidth speeds.  These higher speeds, while not only bringing in higher ARPU for the operator, can give subscribers the speeds they need to consume high quality streaming video simultaneously across multiple devices. 

Let’s connect the OVBI data dots: In Q3 of this year, cord cutters chewed through more than half a terabyte of data per month – 520.8 GB – almost double the monthly average usage for subscribers on Usage-Based Billing and Flat-Rate Billing plans.  OVBI also shows that more than two thirds of those cord cutters didn’t upgrade to higher-level packages when they severed their video bundles; moreover, 4% actually downgraded. (Register here for a Monday, November 18 (3 p.m. EST) webinar with more insights.)  

It’s likely that many of these cord cutters now are bumping up against tier limits or creating traffic jams that impact network performance – or both. The result can leave operators awash in negatives: dissatisfied customers, sluggish networks and increased demand on broadband customer support resources at the same time that video and video equipment revenues have vanished.

Arming customer retention teams with facts about cord-cutting usage and an individual customer’s behavior can help operators turn the revenue tide. Do customers know that their usage and their data plans have become misaligned, especially as their streaming video consumption has increased in recent months?  Do they understand how the streaming of video to multiple devices simultaneously can impact experiences? Have they thought about the ability of their current package to support that 4K TV they’re buying for the holidays?   

By using tools such as those available from OpenVault to gain insights into broadband usage and the home ecosystem, operators can improve how the video disconnect call can be wielded to communicate the value of a higher speed package. Ultimately, that can create the foundation for an improved customer experience and can help generate revenue that can help to compensate for lost video CPE revenues. 

There’s no question that the rapid proliferation of D2C services and the availability of new delivery systems has brought an ocean of change to cable operators. By gaining and utilizing insights into broadband usage, they can create packages that help the industry ride the wave of change, rather than swimming against the tide.

Join the OpenVault Webinar

November 18th, 3P.M. EST

CORD CUTTER BROADBAND USAGE SURGES PAST 500 GB PER MONTH

CORD CUTTER BROADBAND USAGE SURGES PAST 500 GB PER MONTH

OpenVault Q3 2019 OVBI shows usage acceleration, creating new revenue opportunities

Hoboken, NJ; November 13, 2019 – Cord cutters’ average broadband usage has risen rapidly to more than half a terabyte of data per month creating largely untapped opportunities for service providers, according to the Q3 2019 OVBI (OpenVault Broadband Industry) report issued today by OpenVault, a leading provider of industry analytics and technology solutions for broadband operators.

The report sheds new light on the rapid acceleration and impact of cord cutting, as well as differences in consumption patterns between subscribers on Usage-Based Billing (UBB) plans and those on Flat-Rate Billing (FRB) plans. Among the findings:

  • Average consumption by cord-cutter subscribers was 520.8 GB, an increase of 7% in Q3 alone and almost double the monthly weighted (UBB plus FRB) average subscriber usage of 275.1 GB.
  • The percentage of cord cutters who are “power users” consuming 1 TB or more of data per month is 12%, almost triple the 4.2% Q3 figure for weighted average subscribers. 
  • The total number of power users increased 62% year over year, driven largely by FRB subscribers. While UBB subscribers chose 1 Gbps packages at a rate that is 89% higher than that of FRB subscribers, FRB subscribers exceeded 1 TB at a 30% higher rate and 2 TB at a 64% higher rate than those on UBB plans.

Although the trend toward streaming video is fueling rapid increases in consumption levels, OpenVault’s analysis showed that only 29% of consumers upgraded their broadband packages when interacting with operators’ customer care teams to sever video services.  Two thirds of cord cutters maintained the same broadband packages, while 4% actually downgraded their broadband services. 

“A cord cutting event usually signals a need for faster broadband speeds,” the report notes. “Cord cutters are opting for high-bandwidth OTT services, and are using multiple devices in the home to consume video, often simultaneously.  This behavior lends itself to higher speed, higher margin broadband packages to ensure an acceptable broadband CX and the cord cutting event is the best time for operators to educate customers and upsell them accordingly.”

According to the report, the Q3 2019 overall weighted average broadband usage in the United States was 275 gigabytes, a year-over-year increase of 21% over the Q3 2018 figure of 228 GB. During the same period, the median monthly weighted average usage increased nearly 25% from 118.2 GB to 147.4 GB, indicating that consumption is increasing across the market as a whole. 

 

The report also compared usage across speed tiers between European subscribers and their North American counterparts: At higher levels of service, usage is closely aligned between the two regions and is in fact virtually identical at the 50-75 Mbps tier; at lower tiers North American subscribers are consuming data at vastly greater rates, including nearly 150% more at the 30-40 Mbps speed tier and nearly 50% more at the 10-20 Mbps tier.

OpenVault will host a webinar to elaborate on the report on Monday, November 18, at 3 p.m. EST.  Please go here to register. 

The entire report is available at http://openvault.com/complimentary-report/

About OpenVault 

OpenVault’s solution suite tracks broadband data usage consumption levels for millions of subscribers and helps operators across the globe better manage their networks, saving time and costs while increasing revenue and subscriber satisfaction. Network operators use OpenVault’s easy-to-use tools to dramatically improve visibility into their networks and automate management functions to proactively handle congestion, forecast network requirements, monetize broadband growth and communicate with subscribers. For more information, please visit openvault.com.

For media inquiries, please contact: 

Kristen Nihamin at knihamin@openvault.com or 917-509-9028

Paul Schneider at pspr@att.net or 215-817-4384

WOW! INTERNET, CABLE & PHONE ENHANCES BROADBAND ANALYTICS WITH NEW OPENVAULT TOOLS

WOW! INTERNET, CABLE & PHONE ENHANCES BROADBAND ANALYTICS WITH NEW OPENVAULT TOOLS

Agreement intended to enhance visibility and quality of service with robust analytics

New Orleans – Oct. 1, 2019 – OpenVault, a global provider of industry analytics and technology solutions for broadband operators, today announced an extension and enhancement of its longstanding relationship with WOW! Internet, Cable & Phone, a leading broadband and communications service provider.

Under the agreement, WOW! will leverage an expanded array of OpenVault operations, analytics and policy products not only to get visibility into subscribers’ broadband usage and its impact on the WOW! network, but also to inform future steps that can improve availability and quality of broadband service for the company’s more than 800,000 customers.

“OpenVault’s tools provide aggregated and anonymized insight into WOW! customers’ broadband habits and usage, which allows us to better manage our network so we can best deliver our innovative products and services to our customers,” said Blair Day, senior vice president, product and network engineering for WOW!. “As we continue to work together, OpenVault’s market insights will help us continue to understand and respond to our customers’ desires to use broadband services where they want, when they want and how they want.”

“WOW!’s commitment to service quality has resulted in a robust broadband offering that continues to attract new subscribers,” said Mark Trudeau, founder and CEO of OpenVault. “We look forward to continuing and expanding our partnership with them to forecast future trends, pro-actively eliminate unexpected impairments and expedite service delivery.” 

As one of the industry’s top broadband analytics and solution providers, OpenVault offers services and products that are designed to help operators not only more effectively manage their networks, but actually optimize the revenue opportunities that data growth presents. OpenVault is exhibiting its products and solutions here from Oct. 1-3 in the Smart Cities/IoT World Pavilion at SCTE•ISBE Cable-Tec Expo.

About OpenVault 

OpenVault’s solution suite tracks broadband data usage consumption levels for millions of subscribers and helps operators across the globe better manage their networks, saving time and costs while increasing revenue and subscriber satisfaction. Network operators use OpenVault’s easy-to-use tools to dramatically improve visibility into their networks and automate management functions to proactively handle congestion, forecast network requirements, monetize broadband growth and communicate with subscribers. For more information, please visit openvault.com.

About WOW! Internet, Cable & Phone

WOW! is one of the nation’s leading broadband providers, with a service area that passes over three million residential, business and wholesale consumers. WOW! provides service in 19 markets, primarily in the Midwest and Southeast, including Illinois, Michigan, Indiana, Ohio, Maryland, Alabama, Tennessee, South Carolina, Florida and Georgia. With an expansive portfolio of advanced services including high-speed Internet services, cable TV, phone, business data, voice, and cloud services, the company is dedicated to providing outstanding service at affordable prices. Visit wowway.comfor more information.

For media inquiries, please contact: Paul Schneider at pspr@att.net or +1-215-817-4384; Kristen Nihamin at knihamin@openvault.com or +1-917-509-9028

OpenVault to Speak on Impact of Cord-Cutting, Broadband Trends at MACTA, Cable-Tec Expo

OpenVault to Speak on Impact of Cord-Cutting, Broadband Trends at MACTA, Cable-Tec Expo

Executives share expertise on data and solutions to proactively manage industry challenges

Hoboken, NJ; September 23, 2019 – OpenVault, a global provider of industry analytics and technology solutions for broadband operators, will be exhibiting, speaking and sharing industry insights at two upcoming industry events: Mid-America Cable Show (MACTA) in Kansas City September 25-26, and SCTE•ISBE Cable-Tec Expo in New Orleans September 30-October 3.

OpenVault founder and CEO Mark Trudeau will share insights into usage trends that can predict cord-cutting at MACTA on September 26 at 10am. At SCTE•ISBE Cable-Tec Expo on October 2, Josh Barstow, executive vice president of Corporate Strategy and Business Development for OpenVault, will discuss how visibility into broadband usage can help to address the growth and network challenges small and mid-size operators face. Barstow will speak on an ACA Connects-led panel at 1:30pm in the Innovation Theater. 

“As noted in our Q2 OVBI report, greater visibility into subscribers’ broadband usage patterns can help operators proactively launch campaigns to pre-empt video cancellations, better manage increasingly busy networks and create upgrade strategies based on the bandwidth needs of cord-cutters,” said Trudeau. “By gaining access to the high-quality analysis of broadband trends, operators can enhance user experiences and optimize revenue potential.”

In addition to thought leadership and exhibits of the award-winning ACS WiFi Insider and other new technologies, OpenVault’s Cable-Tec Expo presence will include OV Cares, its ongoing initiative to positively impact the communities in which the OV team works and travels through around the world while providing broadband solutions for operators globally. Travel-sized personal care items left at the OpenVault kiosk (#I1 in the Smart Cities/IoT World pavilion)  will be donated to the New Orleans Mission, a non-profit that relieves human suffering with the provision of food, clothing, shelter, medical care and other basic necessities of life. “We’re encouraging Expo attendees to rally behind this cause and make it a priority each day of the show to deliver unused personal care items to our booth,” said Josh Barstow. “These hygiene products, such as shampoo and toothpaste, that business travelers leave behind every day are actually critical items for organizations like the New Orleans Mission.”

About OpenVault 

OpenVault’s solution suite tracks broadband data usage consumption levels for millions of subscribers and helps operators across the globe better manage their networks, saving time and costs while increasing revenue and subscriber satisfaction. Network operators use OpenVault’s easy-to-use tools to dramatically improve visibility into their networks and automate management functions to proactively handle congestion, forecast network requirements, monetize broadband growth and communicate with subscribers. For more information, please visit openvault.com.

For media inquiries, please contact: Paul Schneider at pspr@att.net or +1-215-817-4384; Kristen Nihamin at knihamin@openvault.com or +1-917-509-9028

OPENVAULT TAPS TVC COMMUNICATIONS TO EXPAND CALA PRESENCE

OPENVAULT TAPS TVC COMMUNICATIONS TO EXPAND CALA PRESENCE

Alliance follows successful market entry in Ecuador

Hoboken, NJ; September 10, 2019 – OpenVault, a global provider of industry analytics and technology solutions for broadband operators, today announced that it has partnered with TVC Communications (TVC), a division of WESCO Distribution, Inc., to drive increased availability of OpenVault product offerings within the fast-growing Latin American and Caribbean markets. 

OpenVault will leverage TVC’s vast sales and support network, customer relationships and industry expertise to increase regional awareness and adoption of its tools that increase the ability of telecom service providers to manage and monetize broadband networks.  

The agreement follows the announcement earlier this year of OpenVault’s first CALA customer, Grupo TVCable, the largest cable system operator in Ecuador.

“The near-term ability of Grupo TVCable to improve user experiences and satisfaction has significantly increased interest in OpenVault solutions,” said George Kassas, founder and CEO of Bireme Systems and an advisor to OpenVault with managerial oversight in the Latin American and the Middle East/North African markets. “TVC’s tradition of excellence in the region will help us augment OpenVault’s market reach and identify new opportunities in a vibrantly growing region.”

“As broadband usage grows, operators require greater visibility into traffic and consumption patterns,” said Ken Olsen, senior vice president and general manager, Caribbean and Latin America for TVC.  “Success with Grupo TVCable has demonstrated conclusively how OpenVault’s tools can help customers reduce costs, generate revenue and increase subscriber satisfaction.”

TVC is a leading value added distribution and supply chain solutions provider specializing in broadband and telecommunication solutions. Serving a diverse customer portfolio while providing the broadest product offering in the industry, TVC is committed to finding new ways to help our customers optimize their network deliverables for subscribers while minimizing operational expense.

As one of the industry’s top broadband analytics and solution providers, OpenVault offers services and products that are designed to help operators manage their networks more effectively and optimize the revenue opportunities that data growth presents. 

About OpenVault 

OpenVault’s solution suite tracks broadband data usage consumption levels for millions of subscribers and helps operators across the globe better manage their networks, saving time and costs while increasing revenue and subscriber satisfaction. Network operators use OpenVault’s easy-to-use tools to dramatically improve visibility into their networks and automate management functions to proactively handle congestion, forecast network requirements, monetize broadband growth and communicate with subscribers. For more information, please visit openvault.com.

 

For media inquiries, please contact: Paul Schneider at pspr@att.net or +1-215-817-4384; Kristen Nihamin at knihamin@openvault.com or +1-917-509-9028

About WESCO International, Inc. 

WESCO International, Inc. (NYSE: WCC), a publicly traded Fortune 500 holding company headquartered in Pittsburgh, Pennsylvania, is a leading provider of electrical, industrial, and communications maintenance, repair and operating (MRO) and original equipment manufacturer (OEM) products, construction materials, and advanced supply chain management and logistic services. 2018 annual sales were approximately $8.2 billion. The company employs approximately 9,300 people, maintains relationships with approximately 30,000 suppliers, and serves approximately 70,000 active customers worldwide. Customers include commercial and industrial businesses, contractors, government agencies, institutions, telecommunications providers, and utilities. WESCO operates 10 fully automated distribution centers and approximately 500 branches in North America and international markets, providing a local presence for customers and a global network to serve multi-location businesses and multi-national corporations.

For media inquiries, please contact: 

William Ruthrauff

Director, Investor Relations

412-454-4220

WRuthrauff@wescodist.com