John Linton
We recently added the ability for all Exetel DSL users to send SMS from their DSL connection as part of the FY2008 program to add much more function to the base DSL offerings we make to the residential sectors of the marketpace. This add on was planned and programmed to meet what we perceived to be the needs of business users with some residential users being interested to advise their sports teams or social groups of events or plan changes.
We were very surprised at the interest that residential users actually showed in this service and also pleased that the interest from business users was also greater than we had anticipated.
I've used 'broadcast' SMS in the past to advise customers of general issues and found it to be very useful - if expensive. With the surprising early demand for the SMS via broadband service exceeding our expectations we were able to reduce the cost per SMS from 7 cents to 5 cents within a few days of activating the service and then saw an immediate significant increase in the number of messages sent per hour almost from the hour we made the change. There are opportunities, if the volumes grow considerably, for the per SMS price to reduce further over the coming months.
We have been running a forum thread on the Exetel forum discussing additional functions that our users want from this service and have added over a dozen new functions based on the requests and suggestions. We viewed the addition of the SMS function as a 'double whammy' in that it built our mobile content while offering a valuable add on function for our ADSL users - as I said earlier as part of a program to broaden the appeal of our DSL services as well as building volume for our possible investment in a mobile gateway. As we have excellent data base programmers our ability to add new functions very quickly is among the best/the best in the industry.
Hopefully the early enthusiasm for this SMS via DSL service will continue to build in both the number of users of the service and the number of SMS sent via the service and result in a real boost to our mobile dollar buying power both in the short and medium term. If it does it will encourage us in the development of the other 'add on' service we currently have planned for the DSL offerings which we believe are essential to allow them to remain attractive and competive in the face of the Telstra/Optus 'juggernaut'.
My personal belief is that, eventually, we will 'give away' the DSL (or whatever that becomes) component of the services we offer and rely on the 'content' to grow our residential business. Of course, for that to happen we will need an awful lot of imagination and skill and almost certainly a lot of money.