The Initial Delivery

Mastering Value-Based Pricing Case Study: Reliance Telecom Ltd Story
5 minutes
Share the link to this page
Copied
  Completed
You need to have access to the item to view this lesson.
One-time Fee
$99.99
List Price:  $139.99
You save:  $40
€96.21
List Price:  €134.70
You save:  €38.49
£79.77
List Price:  £111.68
You save:  £31.91
CA$143.95
List Price:  CA$201.54
You save:  CA$57.58
A$160.33
List Price:  A$224.47
You save:  A$64.14
S$135.93
List Price:  S$190.31
You save:  S$54.37
HK$776.63
List Price:  HK$1,087.32
You save:  HK$310.68
CHF 90.06
List Price:  CHF 126.09
You save:  CHF 36.02
NOK kr1,139.30
List Price:  NOK kr1,595.07
You save:  NOK kr455.76
DKK kr717.87
List Price:  DKK kr1,005.05
You save:  DKK kr287.17
NZ$177.29
List Price:  NZ$248.21
You save:  NZ$70.92
د.إ367.26
List Price:  د.إ514.17
You save:  د.إ146.91
৳11,945.58
List Price:  ৳16,724.30
You save:  ৳4,778.71
₹8,518.63
List Price:  ₹11,926.43
You save:  ₹3,407.79
RM448.65
List Price:  RM628.13
You save:  RM179.48
₦154,771.52
List Price:  ₦216,686.32
You save:  ₦61,914.80
₨27,852.21
List Price:  ₨38,994.21
You save:  ₨11,141.99
฿3,415.60
List Price:  ฿4,781.97
You save:  ฿1,366.37
₺3,525.07
List Price:  ₺4,935.24
You save:  ₺1,410.17
B$620.23
List Price:  B$868.35
You save:  B$248.12
R1,852.48
List Price:  R2,593.54
You save:  R741.06
Лв188.12
List Price:  Лв263.38
You save:  Лв75.25
₩146,004.73
List Price:  ₩204,412.46
You save:  ₩58,407.73
₪366.53
List Price:  ₪513.16
You save:  ₪146.62
₱5,844.26
List Price:  ₱8,182.20
You save:  ₱2,337.93
¥15,707.80
List Price:  ¥21,991.55
You save:  ¥6,283.75
MX$2,012.91
List Price:  MX$2,818.16
You save:  MX$805.24
QR364.43
List Price:  QR510.22
You save:  QR145.78
P1,382.66
List Price:  P1,935.78
You save:  P553.12
KSh12,923.70
List Price:  KSh18,093.70
You save:  KSh5,170
E£5,089.49
List Price:  E£7,125.49
You save:  E£2,036
ብር12,725.10
List Price:  ብር17,815.66
You save:  ብር5,090.55
Kz91,190.88
List Price:  Kz127,670.88
You save:  Kz36,480
CLP$99,038.09
List Price:  CLP$138,657.29
You save:  CLP$39,619.20
CN¥729.75
List Price:  CN¥1,021.68
You save:  CN¥291.93
RD$6,065.06
List Price:  RD$8,491.33
You save:  RD$2,426.27
DA13,522.10
List Price:  DA18,931.49
You save:  DA5,409.38
FJ$232
List Price:  FJ$324.81
You save:  FJ$92.81
Q770.19
List Price:  Q1,078.30
You save:  Q308.10
GY$20,913.42
List Price:  GY$29,279.63
You save:  GY$8,366.20
ISK kr13,961.60
List Price:  ISK kr19,546.80
You save:  ISK kr5,585.20
DH1,005.73
List Price:  DH1,408.06
You save:  DH402.33
L1,844.84
List Price:  L2,582.85
You save:  L738.01
ден5,920.21
List Price:  ден8,288.54
You save:  ден2,368.32
MOP$800
List Price:  MOP$1,120.03
You save:  MOP$320.03
N$1,842.15
List Price:  N$2,579.09
You save:  N$736.93
C$3,678.44
List Price:  C$5,149.97
You save:  C$1,471.52
रु13,621.60
List Price:  रु19,070.79
You save:  रु5,449.18
S/372.86
List Price:  S/522.02
You save:  S/149.15
K405.52
List Price:  K567.74
You save:  K162.22
SAR375.60
List Price:  SAR525.86
You save:  SAR150.25
ZK2,766.47
List Price:  ZK3,873.18
You save:  ZK1,106.70
L478.77
List Price:  L670.30
You save:  L191.52
Kč2,420.15
List Price:  Kč3,388.31
You save:  Kč968.16
Ft39,675.18
List Price:  Ft55,546.85
You save:  Ft15,871.66
SEK kr1,106.30
List Price:  SEK kr1,548.87
You save:  SEK kr442.56
ARS$102,565.23
List Price:  ARS$143,595.42
You save:  ARS$41,030.19
Bs692.24
List Price:  Bs969.16
You save:  Bs276.92
COP$438,826.54
List Price:  COP$614,374.71
You save:  COP$175,548.17
₡50,760.09
List Price:  ₡71,066.16
You save:  ₡20,306.06
L2,539.15
List Price:  L3,554.92
You save:  L1,015.76
₲780,390.60
List Price:  ₲1,092,578.06
You save:  ₲312,187.46
$U4,451.49
List Price:  $U6,232.27
You save:  $U1,780.77
zł411.19
List Price:  zł575.68
You save:  zł164.49
Already have an account? Log In

Transcript

So, we saw that Siemens wanted to sell the system for 72 lakhs, whereas Lance was willing to pay six lakhs and ultimately cement solar system for 14 lakhs. Now, this was not even covering for one fourth of the cost involved in developing the system. So, what did we do to recover some of the cost or all of it, before we discuss what measures we took let us take a small detour into what exactly goes into a GPR is billing system. Now, like we discussed there are some network elements level g GSN sgsn, which were the GPRS traffic is captured by the telecom operator this be referred to as a switch. Now, from these network elements, the data is transferred into our IT systems. And the first point where the data comes in is the mediation system.

In the mediation system, we basically convert the CD ARS which are in the binary format, depending on the switch switch from Veritas, capture into our ASCII format, which we can understand for the remaining part of the system. Now, after the CDs are mediated CDR basically stands for call detail records. The call detail records contain all the information regarding what happened during a particular usage of the mobile network. Now, the cdrs are transferred to the rating system in the rating system. We apply various parameters for rating to determine how much to charge for each individual usage of the mobile services. Once the rating is completed, we consolidate the rates charged to each individual customers and then comes up the SOC consolidated figures are sent to the billing system which are where we put the data against each customer and generate a bill.

Now, when we are introducing a new Billings is new billing like GPRS billing. We have to include sections in the bill where it shows the GPRS usage. Like I told you the art already had the voice and SMS services before 2006. So now, the bill also had to have a separate section, which would show how much of data usage has happened by the customers. So this is essentially what we had to do. That is the change the mediation system, where we could understand the GG S and S Jason CDs, then we had to do the rating for the G for the GPRS CDs.

And then after the GPRS CDs are rated, we had to change the bills, so that the GPRS usage could be shown in the bills. Now, in the mediation system, we had to convert the Huawei CDs into the ASCII format. Now, this system the mediation system would not undergoing change unless we change the formats of the CDs or added new information in the cdr. But we had an enormous potential in the rating system. The rating for GPRS system is done on many parameters there are many parameters based on the rating for GPRS usage can be done. Now, what we did was we created the rating system which was which are included in all the parameters what is possible.

However, what we gave to RTL was the parameters which should be minimum required for starting their business. Now, at the very minimum we required to analyze the mobile number which we know is the MSI is dn which from where we identify the customer, then we have the minimum parameters we have to identify the APN which is known as access point node. The access point node basically determines what is the service of the GPR of the internet they have that is being utilized. And then we have some standard parameters like what time of the day the usage has been done what day of the week, whether the day of the week is a day of the year is a special day like a Christmas, the RTL May I want to be a free agent prs etc. So, all these minimum parameters, we created the system which was given to RTL, the billing we had to make some changes, the changes were basically including the GPRS data usage that how much of upload download has been done and what is the charge for the upload download, which was consumed by the customer.

Now, here in billing also we had enormous potential, which we could include later on. Now, there were a lot of other parameters on which rating could have been done. For example, the quality of service, the quality of service is a parameter which determines what is a service which is which the customer has asked for or opted for, to be delivered to him and what is being delivered. Based on the quality of service delivered the rates can be different, the charge to the customer. Similarly, there are other parameters like First CDR usage for a session. Now, when when our data services invoke by a customer, there is always a first CDR, which says now does service invocation has been done.

Normally, the service providers can charge a little extra rate for this initial CDR basically because it is the point where the connection is made to the network. So this is known as a connection charge. So these are a lot of parameters like this based on which GPRS rating can be done. We did not include all of this in the initial system, which we gave to RTL. Next, let's see what was the impact of this decisions on RTL

Sign Up

Share

Share with friends, get 20% off
Invite your friends to LearnDesk learning marketplace. For each purchase they make, you get 20% off (upto $10) on your next purchase.