C-Connect, South Africa’s newest mobile virtual network operator (MVNO), is looking to shake-up the market with cost-effective offerings.
During the launch in Johannesburg yesterday, the company said it aims to differentiate itself from competitors through a fully-digital mobile experience, which includes built-in rewards for consumers and SMEs looking for affordable connectivity solutions.
When subscribers top-up their prepaid airtime or data, they earn 10% back in the form of “Cha-Chings”, the in-app currency, which can be used to buy lifestyle products and services in-app, including prepaid electricity, water, event tickets and gaming vouchers.
C-Connect says part of its strategy is enabling small businesses to significantly save through its business-tailored connectivity and voice offerings. The rewards system also opens new avenues for businesses to engage customers, providing multiple ways to incentivise and retain their clientele, it notes.
During an interview, Richard Anderson, COO of C-Connect, told ITWeb: “What some MVNOs that have not been successful in South Africa have done wrong, is that they focused on only competing on the price factor, but it's important to incorporate a value-add differentiator.
“That's why we have designed our product to allow our customers' money to work for them in various ways, including allowing them to use their cash-back to buy everyday essentials via our zero-rated mobile, web and USSD platforms.
“Our value proposition is premised on value, accessibility and flexibility, packaged in personalised offers. Our strategy will continue to evolve as we add more services that consumers want and as we continue to review our prices.”
According to Anderson, in future, the operator will look at introducing contract or postpaid offerings, which will include an option for a month-to-month subscription.
The prepaid, SIM-only brand uses Cell C’s network infrastructure and has a self-RICA service available on its mobile and web-based applications.
“We chose Cell C because we believe it has the best network in SA because it has partnerships with MTN and Vodacom. Cell C is our host network operator; it is also our distribution technology partner and our value-added services partner,” he explained.
Cell C has historically led SA’s MVNO market, with FNB Connect, Capitec Connect and Mr Price Mobile, among others, piggybacking on its network.
Typically, an MVNO enters into a business agreement with a mobile network operator to obtain bulk access to network services at wholesale rates, then sets retail prices independently.
The Cha-Chings-based reward system empowers customers to maximise their mobile spending, or opt to save, through the SIM ‘pocket’, says C-Connect.
New subscribers can sign up on the C-Connect app or website to get a SIM delivered to their door or selected pickup point, or collect one from an authorised distribution partner.
Customers can complete the full RICA process online without needing to visit a store. Activating the pocket to receive and spend Cha-Chings can be done via the website, the C-Connect app or dialling *105#.
They can also recharge with Ringas or a Blu Voucher − a universal, single use, prepaid airtime voucher that allows subscribers to top-up their number.
“With South African consumers’ finances under immense pressure, we anticipate strong demand for our MVNO offering,” comments Anderson.
“We have a 24-hour contact centre available. Moving forward we will ensure we add some artificial intelligence features in our customer engagement processes, such as a chatbot. That's a core part of our strategy − making sure our customers have an omni-channel.”
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