5G leading to new opportunities in IoT and content services

1 The rise of digital brands

There are five growth drivers that we predict will advance the number of digital brands three-fold in the next two decades. We look at these in more detail below.

Figure 2. Drivers of digital brands

Hyper personalisation

New wholesale opportunities

New distribution models

5G

Regulatory developments 5G

Drivers of digital brands global expansion

1. Hyper-personalisation of products and services

2. Operators are more willing to offer airtime on a wholesale basis

While many digital brands began as discount or no-frills services, today most are geared towards very specific segments and boast innovative business models, reaching customers that larger brands cannot.

Operators’ strategies and business models have evolved as markets mature and mobile subscriber growth hits a plateau. This, combined with other factors, have made operators more open to the idea of partnering with others to launch digital brands, either as MVNOs, joint ventures or sub-brands.

UK-based MVNO IQ Mobile provides mobile services for seniors with a strong focus on personalised customer care. They also partner with product manufacturers to provide easy-to-use devices, with simplified menus and large icons.