New Business Creation
A mid-major U.S. mobile operator had experienced dramatic growth based on its differentiated strategy of offering affordable basic services to underserved constituencies. The operator's mushrooming geography, bandwidth, and customer base surely created new opportunities, but it also heightened expectations and raised questions about sustaining success in a saturated market.
The operator turned to SDG for help in launching a new business in broadband data access and services.
The effort addressed a variety of key questions: Was the business a good idea? What should the initial service(s) be? What were critical business milestones and downstream decisions, e.g. subsequent products and services? Our analysis of the market opportunity, technology, and competition framed a new understanding of customer segments and unmet needs. While tailored propositions for two large segments could drive significant value creation, market and competitive uncertainties also gave rise to significant risk.
The results of the engagement included the definition of initial services and pricing, a marketing plan, a framework for business valuation and future decision-making, and a dynamic implementation plan. The project enabled aggressive internal services-launch deadlines to be met, while at the same time mitigating risk by explicitly creating options for strategic redirection in response to market learning.
