|Euskaltel is the Basque country’s leading cable operator with a residential market penetration of more than 40% and media coverage of 85%, offering landline and mobile telephony, as well as broadband, pay TV and advanced services to companies.
The stated offer was circumscribed to the conduction of a high quality strategic consultancy, in order to enable the review of Euskaltel’s TV product and to adapt it to the current trends and needs of the market and its customers.
Said strategic revision allowed to forecast different solid scenarios and enabled Euskaltel’s Executive Management to achieve the objectives set by the Board.
From May to June 2013, a consulting team of Optiva Media has been working on these objectives in mind, reporting directly to the company’s Board.
|Optiva Media’s team performed following tasks:
· Analysis and State of the Art of Euakaltel’s direct competitors in light of their TV
· An analysis of Euskaltel’s TV product and its different implications.
A proposal of different product options with respect to their implementation time and costs.
Resulting from this work, it has been decided to proceed with the consultancy in order to:
· Position Euskaltel as an exclusive provider for home entertainment and connectivity.
· Increase the rate of the pay TV’s market penetration by 30% compared to its current client base.
· Increase the revenue from TV.
|The final part of the project was being realized from July to December. This, among other things, involved the creation of an advanced financial plan forecasting the financial and economic performance in the years to come.
Mentioned plan secured the approval from the Board to perform the adequate investments and launch a series of RFPs. Those have been developed and performed by Optiva Media in order to select the technology suppliers that would be needed to implement the action plan. This approval, however, posed conditions like a Pay-Back period of only 2.5 years.
In order to conduct the financial plan, the operator provided Optiva Media with all relevant financial and economic data.
|At the same time, the TV department needed to be changed and adapted so it could focus on the new objectives. Futhermore, the Marketing Department needed to involve the TV services in the company’s mix of products, in order to achieve a synergy between all services offered by the operator.
In December 2013, the RFP has been assigned to an integrator forming part of a mixed team composed of Euskaltel’s purchasing, as well as Optiva Media’s engineering department.
Upon the closing of the yearly accounts in 2014, Euskaltel’s increase in pay TV sales amounted to 19% more compared to 2013.
|In spite of the economic crisis, a drop of the ARPU, as well as a fierce competition with Telefónica, a significant decrease in the churn rate and a critical increase of the pay TV client base have been accomplished.
A project allowing to launch the TV Everywhere service, called “Edonon” (Basque for anywhere), was being performed throughout 2014. Moreover, the TV image has been rebranded in a record time and numerous changes concerning the marketing strategy have been implemented.
These changes have been derived from the consultancy project and the OSOA offer.