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Evolution of TIM Business Xtension & New FMC Offers

In this report, we explain how TIM in Italy is targeting the consumer market to stimulate enterprise revenue growth via its 'Xtension' service. For the last two years, TIM has been pushing cellular penetration in the enterprise market in a unique way, encouraging customers to use their private phones for business communications, paid for by their employers.

The TIM Xtension service is quite unique in the European market and Mobile Market Development has been monitoring the evolution of the service since the early stages of its deployment. The current report provides an in-depth analysis of the Xtension service. In particular we address the following key issues:

• Evolution of Xtension service offer; price positioning; addressable market; target segments; impact of the service both in terms of revenues and subscriber numbers.
• Implementation problems experienced by TIM - highlighting how service promotion through indirect channels initially lead to a high proportion of inactive customers.
• Future plans for the service - including the incorporation of a fixed mobile convergence offer early in 2005, which is expected to further stimulate growth in the enterprise market.

Price: EUR 2,500.00 / GBP 2,000.00

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1
Overview
1
2
Market Background
1
3
Evolution of Service Offer
3
3.1
Xtension Plans
3
3.2
Traffic Differentiation and Control
5
3.3
Tariffs
6
4
Pricing Positioning & Revenues
9
5
Service Potential
11
5.1
Key Drivers and Barriers to Service Uptake
11
5.2
Market Potential
11
5.3
Target Segments
13
6
Channels
15
7
Future Developments
18
8
Other Service Offerings
20
9
Competitor Offers
21
9.1.1
Vodafone "Dual" & "Alter Ego" Options
21
9.1.2
Wind "SIM Dual Profile"
21
10
Conclusions
23