The Telco Training Academy


Product Solutions


Nothing about the evolution of the telecommunications industry is more confounding and unexpected than the radical shifts in how telcos manage products.

In the good old days of telecommunications, telcos had only one product: POTS (plain old telephone service). Since then, the number and types of products and services that telcos have to offer have increased exponentially. The typical telco manages up to a dozen major categories of products and services (long distance, local, wireless, data, value-added), dozens of bundles and variations on those offerings, and hundreds of different bill codes.

This explosion in the level of activity, funding, and budgeting and the consequential risk associated with development of new products and their ongoing management creates a situation that is far from being under control.


Special Challenges - Product Profitability & Portfolio Management

It comes as no surprise that most telcos were unprepared for this explosion in the number of products and services that they must develop, market, and sell. Traditionally, telco products and services required years of planning and millions of dollars of investment before they could be released to the market. Telcos were very careful in evaluating the technologies they chose to implement. When they finally introduced their products to the market, there was a guaranteed backlog of demand.

This cozy formula has changed considerably.

  • First, the explosion of micro-chip technology, combined with almost monthly breakthroughs in telecommunications technology, has made it possible for telcos to upgrade, modify, and enhance their infrastructures in a fraction of the time and at a fraction of the costs previously experienced

  • Second, the Internet revolution and m-commerce initiatives have created a cacophony of new business models, business opportunities, and revenue generation approaches

  • Third, a new generation of aggressive, innovative vendors, developers, and entrepreneurs have forged new frontiers in the development and marketing of these new solutions

As a result, the constant evaluation, selection, development, and deployment of new and innovative technologies and business models has become a requirement for survival for the telco.

Unfortunately,  most telcos are ill-prepared for such a breakneck pace of activity. Telcos have moved, almost overnight, from the methodical, research and development-driven process to a frantic, market and competition-driven free-for-all.

Since the metamorphosis of the modern telco occurred so quickly, few organizations were ready to put the proper organizations, procedures, budgets, and tracking systems in place to manage the process well. Instead, most telcos have a hodge-podge, ad hoc, informal, and incredibly inconsistent approach that changes almost daily.

Telcos will have to impose:

  • Manageability

  • Tracking and control mechanisms

  • Organizational accountability

Some Major Market Repositioning will have to occur to:

  • Reduce the risks associated with new product development

  • Increase the revenues and profits from products


Product Profitability & Portfolio Management Solution

TTA can help you and your team understand and develop effective techniques for Telco Product Profitability & Portfolio Management. Our approach presents comprehensive view of the situation from all perspectives and provides the information you need to make the changes in your:

  • Product development and marketing strategies

  • Product requirements definition (by customer wants/needs/values/requirements/preferences)

  • Product spending forecasts by market segment

  • Marketing programs, campaigns, and promotions to deliver the revenues you expect from products

  • Pricing strategies

  • Channel assignments

  • Product alignments

Our exclusive Product Profitability & Portfolio Management Solution will help you maximize the short term and long term benefits you can get out of your existing product set and your future product development capabilities.


Product Profitability & Portfolio Management Analytics

TTA has developed an extensive assortment of product profitability and portfolio management analytics. They include:

  • Exhaustive product segmentation development

  • Segmentation of customers by:

    • Product selection history

    • Product utilization history

    • Product upgrade migration paths

    • Product wants/needs/requirements/impacts/preferences

    • Forecasted product demand (utilization and willingness to pay)

    • Likelihood to buy new products

    • New product market entry position and timing

  • Exhaustive customer behavior-based segmentation

  • Segmentation of customers based on customer value, loyalty, channel/product preferences, media preferences

  •  Special segmentation of customers by personal product usage, usage atrophy cause/effect analysis

  • Market research and detailed qualitative analysis

  • Customer valuation modeling

  • Customer product usage trending and prediction modeling

  • Customer product usage propensity modeling

  • Product portfolio impact analysis (including product lifecycle review)

  • Cross-elasticity analysis (developing price-switch metrics)

  • Financial and market share impact analysis on your most likely product profitability and portfolio management scenarios

  • Market econometrics and long term revenue forecasting

The TTA Product Profitability and Portfolio Management Analytics provide you with an unsurpassed perspective on where, when, how, why, and how much customers will spend on your current and newly developed products, a capability that will soon become a requirement for all forward looking telcos.


Product Profitability & Portfolio Management Disciplines

Complementary to our Product Profitability & Portfolio Management Analytics is our extensive application of best practices analysis in the areas of your organization, operations, budgets, and I/T systems. Our comprehensive review of your business disciplines and I/T disciplines, as they relate to your overall product profitability and portfolio management capabilities, provide the second ingredient to put together a product profitability and portfolio management strategy that will help you establish yourself where you want to be in the marketplace.

Our audit, review, and recommendations in the area of disciplines will include:

  • Strategy and vision review

  • Brand management

  • Customer intelligence

  • Customer management

  • Product management

  • Program, campaign, and promotion

  • Channel management

  • I/T practices, systems, and support


Product Profitability & Portfolio Management Strategies

The ultimate objective of our efforts is a comprehensive strategy to realign your entire organization where everyone is addressing the product profitability and portfolio management situation in an efficient and cooperative way. Our recommendations will include:

  • Effective and aggressive new product roll-out and capitalization strategy

  • Market positioning and identity associated with product portfolio approach

  • Development of customer segment-based product portfolios 

  • Effective marketing program, campaign, and promotion plans

  • Effective realignment of your departments and procedures

  • Establishment of ongoing responsibilities for tracking and managing product profitability and portfolio management

  • Creation of analytics and metrics to monitor product profitability and portfolio management activity and program effectiveness

The TTA Product Profitability & Portfolio Management Solution presents a complete understanding of the situation and a comprehensive roadmap for the organization that can deal with it. This complete roadmap can include:

  • Computer systems development recommendations, requirements, and implementation plan

  • Organizational adjustment recommendations, specifications, and implementation plan

  • Training plans for the product development, business development, marketing, sales, advertising, and customer service staff in the effective handling of product profitability and portfolio management situations

  • Best practices coaching for those members of your team earmarked as being your Product Profitability & Portfolio Management management experts