Why is Wi-Fi Such an Important Strategic Initiative?

The competition for service providers looking to “own the connected home” just got a little stronger. In this blog I am going to explore the reasons why ‘non-traditional’ competitors (large consumer retailers and web scale companies) are moving in to this space, the risks of not responding to these new threats, and the best strategy to maintain your rightful space in the connected home.

As I discussed in a previous blog, home Wi-Fi can be frustrating for some consumers. To get a sense for the extent of this problem, and how it might impact service providers, we conducted polls during two recent webinars. Responses indicate that, for nearly two-thirds of the 104 service providers surveyed, Wi-Fi issues account for more than 30 percent of their help desk calls.

Your subscribers are turning to consumer Wi-Fi solutions

Given that nearly four of ten (39 percent) of home gateways are obtained from sources other than a service provider, it seems natural that many consumers might also turn to alternate sources for solutions to their Wi-Fi frustrations.

Whether that means buying a $100 Wi-Fi extender, investing in a ‘Mesh Wi-Fi Solution’ (which can cost anywhere from $200-$500), or paying $50 for an in-home visit and $200 a year for ongoing technical support, consumers seem willing to pay good money for a strong, reliable Wi-Fi signal in their homes.

In that context, the news that Best Buy/Geek Squad is expanding its nationwide ‘Total Tech Support’ offer will not come as a surprise. After all, Amazon announced something very similar back in July 2017.

The problem with not responding to these new threats — and letting these competitors establish ever-stronger relationships with your subscribers — is that, eventually, you will become relegated to providing ever-faster, but ever-cheaper, Internet access to the home. Then, when your subscribers cannot get 100 Mbps or 500 Mbps or 1Gbps in every nook and cranny of their residence, they will either call you for ‘free’ technical support or pay someone else to help them.

Are you providing a Managed Wi-Fi solution?

What is a Managed Wi-Fi solution? Typically, it involves providing a carrier-class wireless access point (WAP), such as the Calix GigaCenter, which will establish a strategic foothold in the home. This means moving away from the ‘BYOD’ model, where you let your subscribers use any old router they want which, inevitably, is going to cause issues. Once the GigaCenter is in place, you can add the Calix Support Cloud, to ensure that you have visibility into, and control over, what’s going on in the home network. 

The next step in the journey to owning the connected home is to offer enhanced Wi-Fi — what some of our service provider customers call Whole Home Wi-Fi — which ensures that your subscribers are getting the best coverage and the most throughput possible.

Own the experience or lose the subscriber

There’s no doubt that Managed Wi-Fi is a hot topic these days. In the past month alone, I have co-presented a webinar with Bridget Watkins from All West, facilitated a panel session with Rhonda Fitterer from Consolidated Telcom and Mark Birkholz from Arvig, presented at a Calix customer event in Charleston, SC, and done another 10 marketing consults on the topic.

And while it’s true that service providers have an established claim in the connected home by virtue of their existing customer relationships, that claim is by no means secure in today’s competitive environment. In order to compete effectively, increase revenue from broadband, and expand the footprint in the home, service providers will need to add value. And, it all starts with Managed Wi-Fi.

Want to provide your subscribers with a better Wi-Fi experience? We can help!

Looking to brainstorm how you can effectively complete with these ‘non-traditional’ competitors with a Managed Wi-Fi solution that helps you to establish a strategic foothold in the home? Schedule a free consultation now. (For those keeping track, my colleagues and I have completed more than 100 marketing consults over the past few months. We’d love to share the best practices that exist in the market.)