Your customers are working on mobile data projects right now and demand is predicted to increase dramatically over the next few years. If you get it right with M2M and IoT, you will quickly generate high-margin recurring revenue and, due to higher EBITDA multiples, increase the value of your company.
According to McKinsey, revenues from mobile data are set to increase dramatically over the next five years. Factors driving growth are the availability, speed and reliability of 4G, 5G and IoT. Statista says the number of IoT devices worldwide is forecast to grow to more than 25.4 billion IoT devices in 2030. Fortune Business Insights predict this market will be worth £1085 billion by 2027.
People think IoT is very low revenue and you’ve got to win hundreds of thousands. You don’t. You can often get a decent ARPU of £10 to £15 on thousands of devices and sometimes margins in excess of 40%, so it’s a really attractive line-of-business to pivot into.
Your mobile data partner will need to give you the tools to win deals, usually competing with the direct sales arms of the mobile networks. Your supplier will need to be an aggregator with access to all the networks and ideally, they will also be an independent MVNO. Most importantly everything must be automated, with real-time APIs offering zero-touch provisioning and management through a single self-service portal.
They will need to be innovative, with a constant stream of relevant mobile data and IoT products
that the networks would take years to develop and launch. When you partner with the right channel supplier, mobile data is easy to sell, support and bill.
The opportunity for the channel is significant. We may not find ourselves supplying car manufacturers with SIMs for self-driving cars, but ICT resellers already have strong relationships with business customers for IT infrastructure, asset tracking, digital signage, mobile WiFi, monitoring and utilities.
Mobile data is an easy product to sell and provision and needs very little support. Jola took on just over 200 new partners in 2021 and now have over 1200. We recently put 30,000 multinetwork SIMs into iPads for one public sector project, with a very quick book-to-bill timeframe and no issues.
Scale
Our partner didn’t have to add any more people in billing or accounts to support it. SIMs provision immediately using our Mobile Manager platform, so you don’t have to wait three months to start generating recurring margins. As soon as customers put that SIM into their device, you’re billing for it.
Getting Started
Speak to your existing customers, understand their requirements, and then partner with an aggregator that can provide innovative solutions, unavailable elsewhere. Find out about their current projects and challenges. Once you have established your customers’ requirements, start building your solution.
The MRG
Jola has developed The Mobile-data Revenue Generator. It is a six-step process to uncover mobile data opportunities. The process defines the way we work with partners and qualifies opportunities, capabilities and skills. We help our partners to focus on key opportunities and ultimately win large, high-margin, long-term contracts.
Selecting the right suppliers
Who will you partner with for the devices, and where are you going to get the connectivity from? What challenges do you need to overcome? Who has the most cost-effective mobile data solution to meet the requirements? Who is agile enough to develop solutions to meet the time frames? Can you manage the data usage across the estate? Can you control usage and costs, maximise your margin and protect your customer from bill shock?
Jola is a mobile data aggregator and MVNO, part of the Wireless Logic Group, but channel-only and independent, which means that we offer services from all the major UK networks and hundreds of networks globally. We have been selling mobile data to the channel since 2014 and we understand the pain points of our partners and the needs of their end-users in each vertical market. Over time we have developed a unique portal, that gives you the control and visibility you need to manage global SIM estates. Control you can even extend to your customers. We have also developed unique hardware solutions that save our partners time, helping them create a great customer experience, maximise their margin and minimise costs for their customers.
There is high demand for mobile data from your existing customers. It is an easy product to sell, provision, support and bill. We have partners who have doubled the value of their business, increased their ARPU and reduced churn by focusing on mobile data.
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