Step By Step Instructions For How To Start Your Own MVNO

It’s hard to underestimate the importance of MVNO virtual network operators in the market. They are starting to outpace traditional providers and it’s really no surprise why! They offer customers tailored solutions, are generally less expensive, and can focus on niche markets.

It’s only logical that MVNO solutions are emerging as a powerhouse in the telecom space. Today’s customers require an unprecedented level of choice and customization, and smart MVNOs understand how to make that happen. That being said, starting up your own MVNO is a little trickier than it might seem!

Understand The Start-Up Funding Costs

You will need some capital to start up your own MVNO. There is a lot more that goes into it other than simply purchasing airtime and data. You need to partner with a company that will provide you with the support infrastructure to keep your customers happy and your business flowing. After all, you’ll need to field customer calls, implement a billing system, and account for emergencies like loss of service.

Funding is critical, so start thinking about where it will come from. There are several routes that you can take to get the money that you need to start up your MVNO.

• Angel Investors and Venture Capitalists- if you go this route, you’ll have to have a solid business plan in place that will show your investors how they will make money on the backend. Angel Investors and Venture Capitalists are not altruists, and they want to see a clear return on their investment. Scoring venture money is great, but you need to have all of your ducks in a row.

• Crowd-funding- you can go on any number of different crowd-funding platforms to try to raise money organically. You’ll have to present a tangible reward for people who contribute, so consider what you can offer carefully. Perhaps it’s the ability to get in at the ground floor, a few free months of service, or even a small share in the company.

• Self-funding- if you are able to swing the startup costs yourself, do it!

Know What Sets Your MVNO Apart

Like any other business venture, successful MVNOs rely on the ability to speak directly to their niche and deliver products that they want. Think about who you want to target and offer plans directly for them. For example, if you’re targeting Millenials, you might want to have plans that are heavy on data and texting, but lighter on actual phone call time.

Additionally, think about your niche when you choose an outsourcing call center. If your customers have concerns, and they will, you’ll want to have reps who can speak with them in their language. Millennials value instant gratification, so call center employees who can use Live Chat and Social Media will be better equipped to deal with their needs. (v)WeCare reps are skilled in all new technology, which is what makes us a great partner for companies that want to reach younger demographics.

Find A Good MVNE

Finally, you’ll need a supportive partner that can handle all of your back office outsourcing needs. The last thing that you want is for your customers to suffer because you don’t have your administrative ducks in a row! Get yourself an MVNE that can support you on the backend.

Don’t try to take on MVNO billing, customer service, and all of the other infrastructure needs that go with running a successful MVNO on your own. In the best case scenario, you’ll burn out. The worst case scenario is that customers will flee and give you terrible reviews. Not working with a quality MVNE can sink your business. Telgoo5 has years of experience helping MVNOs scale effectively while handling all customer needs from soup to nuts. We deal with billing, customer problems, security, and infrastructure. Our comprehensive MVNO billing software is really second to none and offers seamless billing with all customer data backed up in the cloud. We also conduct weekly calls with all of our MVNO partners so you’re always in the loop. If you’re going through a rapid scaling phase, we’re flexible, equipped and able to transition smoothly. Our mission is to make you look like a superstar to your customers, and we have a proven track record of success! Telgoo5’s billing system was designed to be all about you- our trusted partner!

Starting an MVNO can seem a little bit daunting, but it’s doable if you follow the steps outlined in this article. Why not be on the cutting edge of a brand new industry?

The Secret to Starting a Successful MVNO

Today, more new MVNO are being started than ever before. Fierce Wireless, an online publication reports that new MVNOs are being launched every week and interest in this business type is eclipsing the 2005-2006 craze that saw numerous high-profile MVNO startups. With numerous new entities rushing start their own MVNOs, many will inevitably fail to make a mark in the long run. To succeed in this competitive space, startups need to plan meticulously and identify the right niche in the market. Although the process is similar to starting any other business, they are unique procedures that you need to weather to start your own MVNO. If you are mulling starting an MVNO, it is important to identify the challenges that may curtail your success. Read on to explore the process, the unique challenges that await you, and get tips on how to smoothly start your own MVNO.

Starting Your Own MVNO – Similar to Starting Other Businesses

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To start your own MVNO, you will in  in many respects follow the same procedures like when starting any other business. To succeed, the following steps are critical:

Carving Out a Niche

It is likely that your up and coming MVNO will offer services that eerily similar to the offerings of other players already in the business. While the prospect of facing stiff competition discourages many potential entrepreneurs, it also presents opportunities to creative players. The only viable strategy for most new MVNOs is carving out a niche in the market and chipping away at and winning over customers from the other established providers. Indeed data from Strategy Analytics indicates that MVNOs in the current market conditions succeed by focusing on addressing particular market segments or value propositions.

MVNOs can thrive when they identify a certain set of services or pricing models that are not currently in the market. But deploying this strategy requires extensive knowledge about the set of customers that you will target. This insight is what will enable the company to tailor its offerings to the unique needs of the target segment. Common niches that can be targeted in the current environment include the following niches:

infrastructure MVNOs

These types of MVNOs focus on covering an area where major network providers don’t reach. For example, an MVNO may focus on providing the infrastructure to cover a mountain range where other network operators have no reach.

Retail MVNOs

These types of MVNOs target supermarkets and departmental stores to find subscribers to buy their sim cards.

Advertising-based MVNOs

These offer discounted services and some free services and in return they get access to advertise or subscribers devices.

Discount MVNOs

These target deal hunters. Such companies only offer basic services like voice and text. Although such companies get little earnings per subscriber, the hope to get enough subscribers to get a reasonable profit.

Getting the Tech In Place

MVNOs thrive on technology and you need to put in place the infrastructure and software you will need to serve your customers before getting started. You will need to set up your IT platform and get your billing in place. It is at this point that the company also sets up a CRM, customer care and network management systems. You can be able to save time and human resources by outsourcing billing, customer care, and similar services. Our system Telgoo5 can free up an MVNO’s human resources to focus on other aspects of the business. We can handle the Call Detail Records (CDRs) for both real-time interface (prepaid) and batch process (postpaid) subscribers. We can also handle your billing, data analytics, and other aspects of the technology platform.

At this point, you can also set up the website where subscribers can sign up for your services. It is worth noting that it is important for a new MVNO to identify and only invest in the right technology tools for a company of its size. Underinvestment could result into service failure due to overloading. Overinvestment, on the other hand, can bleed the company dry. The easiest way to ensure that new MVNOs invest in what is enough is by linking up with a good OSS system. Our platform Telgoo5 allows access just what you need at the time. We can take care of your billing, CRM, subscriber website, customer care, and everything you need to get started. Partnering with us can help you to launch your MVNO in as few as four weeks instead of months.

Starting Your Own MVNO – The Unique Challenges

A Potentially Risky Business

A measure of risk is involved when starting any type of business. But the sheer complexity of the MVNO launching process coupled with intricacies involved in making partnerships and the fierce competition that awaits new entrants connive to make starting a new MVNO an especially challenging venture. The fast rate at which telecommunications technology becomes obsolete means that you risk investing in technology and fail to recoup the investment costs. Successful MVNOs reduce risk by targeting a specific niches. They make and strictly follow a plan that addresses the needs of subscribers in that particular niche. A good platform like Telgoo5 can enable you to scale according to your business needs. This will enable your business to avoid paying for resources they currently don’t need.

Getting Licenses

To start your own MVNO, you will encounter a number of challenges that are peculiar to the telecommunications sector. To start a new MVNO, you will need to register and be certified by the right authorities. Being certified will enable you to get MSISDN and IMSI blocks. In the US, this certification is done by the FCC. This process will is critical if you are to start operations. Telgoo5 platform meets and exceeds all the license and regulatory requirements. We have helped a number of MVNOs to fasttrack the certification process and would be happy to help MVNO startups that need guidance during this process.

Making Partnerships

The MVNO business type thrives on partnerships. You will need to work with mobile carriers or aggregators to get subscribers. Many MVNOs startups soon learn that the most difficult part starting operations is not getting capital or even setting up the technology platform. Inking contract with big telecom companies is perhaps the single toughest feast to accomplish.

Telecom companies usually insist on certifying different aspects of MVNO operations before committing to working with them. These certifications processes usually take months of back and forth dealings and they may put a tremendous strain on the patience of the new startup owners. However, some MVNOs may be able to bypass some of these processes by linking up with with MVNEs and other partners. The MVNO can then utilize their existing platforms carrier agreements to get started. Our platform Telgoo5 is already integrated with all the major carriers. We also have partnerships with a number of of aggregators and MVNEs. Signing up at our platform will help you to save time and money and you will be able to start operations in a couple of weeks.

Setting up an MVNO is a potentially complex endeavor that involves planning, setting up platforms, linking up with suppliers and, getting the required certifications. However, if you link up with a good OSS parner, the process can be dramatically simplified and you stand to save a lot of time and money along the way. At Telgoo5, we provide billing, CRM, customer care, and more services to MVNOs and other telecom companies. Over the years, we have helped new MVNOs to flourish. Whether you are an established MVNO, a new company, or just exploring ways to get started, we can tailor our services to fit your needs. Contact us to explore ways we can partner today.