Wednesday, May 3, 2017

NTT Docomo: Enjoyment and Surprise are Key Pre-5G Outcomes

For all the expectations that 5G will create a platform for internet of things, NTT Docomo, in a new presentation on company positioning of 5G, is focused squarely on consumer users and experience, where “enjoyment” and “surprise” are among the customer values. Nowhere are latency or bandwidth mentioned. And though price likewise is not mentioned, a new rewards program is featured.

Industrial or business user benefits also are highlighted, but the emphasis is “lifestyle” or “work style,” not cost savings. Artificial intelligence and drones are featured.

The document does not ignore the expected new industrial uses, to be sure. Financial technology, healthcare and customer service applications are noted.

Ecosystem development also is emphasized, with a focus on creating partnerships to create new applications.

At this point, the positioning statements broadly illustrate one important reality: people buy access services to use the apps enabled by such access. In other words, the value proposition is “use all the apps on the internet.” Likewise, the value proposition for business users focuses on ways to serve customers better or improve business processes.

That much is obvious, at a high level. From now on, the point of “any G” is to show how cloud-based apps add value for consumers, businesses and organizations. Speed, latency and price all are secondary, in that sense.

And that is the challenge: buyer communications center of new devices; prices and packaging. That is logical because buyers make choices based significantly on such offers.

But there still is little real evidence that access providers seriously believe they are in any business but the the “pipes” business, supplying “access” to the internet.  

That is not to deny the effort to focus on values such as “satisfaction” or “peace of mind;” “enjoyment” and “surprise.” One just wonders whether savvy customers are going to “buy” such messaging statements.

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