While eSIM’s adoption in the United States and others has been slow, this has begun to alter in the past several years. By the end of 2020, the GSMA predicts, 175 operators in 69 countries will support eSIM, double the number of such carriers from 2018.
Even while major American carriers like AT&T, Verizon, and T-Mobile all offer eSIM, just 20% of consumers worldwide are aware of it (in the United States, that number is 17%. A rural carrier competing with larger firms may wonder why they should invest in eSIM infrastructure and marketing.
Supporting eSIM has many advantages, including the convenience of adding new customers through digital means. Customers often go into a store to select and activate a plan, but with eSIM, they may do so totally online. Customers may shop for plans, sign up, pay, and activate their service at any time and from any location using a mobile app or web interface. Capgemini’s 2020 poll indicated that nearly half of respondents were comfortable with the idea of activating mobile services without physically inserting a SIM card.
The eSIM also improves the carrier’s model of offering distribution to customers. A real SIM card necessitates production, distribution, and storage at many retail locations. Since eSIM doesn’t require physical cards, distribution is more simpler. Instead, a carrier’s electronic SIM cards (eSIMs, or Profiles) are kept in a protected database called a Subscription Manager (SM-DP+), from which they are downloaded to the device during activation.
And now, with eSIM, service providers have several options for marketing and selling eSIM subscriptions. The physical and digital QR code vouchers provide a similar experience to that of a physical SIM, without the supply chain logistics, but this is not the digital user journey that customers are wanting.
If an eSIM service is really digital, the user shouldn’t have to show or scan a QR code. The carrier app facilitates the installation of an eSIM Profile and, ideally, oversees the download of the profile itself. Moreover, the app may manage the rest of the user’s trip, including browsing strategies, account creation, and payment.
The trick is to modify your approach to customer acquisition so that you go to your target audience instead of them coming to you. To realise this potential, eSIM is essential.
Leave a Reply