Broadband Providers Boost Revenue 15 Percent or More With Tailored Offerings Built on Calix SmartHome
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Insights
Calix's announcement regarding enhancements to its broadband platform and managed service offerings is pivotal in understanding the competitive landscape of broadband services. The strategic focus on increasing average revenue per user (ARPU) is a critical metric for investors. ARPU serves as a gauge for customer value and company performance, especially in subscription-based models like broadband services. The introduction of automated alerts and app adoption strategies can potentially lead to increased customer retention and acquisition, which are vital for sustainable growth. Moreover, the expansion of services to community-wide Wi-Fi through Calix SmartTown™ suggests an aggressive push to capture more market share by extending the utility and appeal of their offerings.
Calix's strategy to drive revenue through tailored SmartHome packages and enhancements to its broadband platform may have significant financial implications. By creating differentiated value propositions, Calix aims to strengthen its market position and financial health. Investors should pay attention to future financial disclosures for evidence of increased ARPU and potential market share gains. The effectiveness of Calix's strategy will be reflected in future earnings reports and any substantial increase in ARPU could signal a positive trajectory for the company's profitability and stock performance.
The technological advancements in Calix's broadband platform, such as automated alerts and app adoption, indicate a trend toward greater personalization and user engagement in the telecom sector. These enhancements could improve user experience, leading to higher satisfaction and loyalty. The ability for broadband service providers (BSPs) to offer community-wide Wi-Fi also demonstrates a shift towards more integrated and expansive service ecosystems. This could set a new industry standard, prompting competitors to innovate similarly to meet evolving consumer expectations. Observing how these technological enhancements impact customer behavior and BSP operations will be crucial in assessing Calix's influence on future industry trends.
Thanks to the latest enhancements to its broadband platform, including automated alerts to personalize subscriber outreach and new ways to drive app adoption, Calix continues enabling broadband providers to launch tailored, packaged SmartHome offerings that delight subscribers and drive revenue
Increasingly, BSPs are leveraging the Calix Platform and SmartHome managed services to strategically redefine their brand value around tailored packages that appeal to unique subscriber segments. Last year, Highline leveraged insights about their subscribers (using the capabilities of Calix Engagement Cloud, an integral component of the platform) as well as SmartHome managed services to launch “Gaming,” “Streaming,” and “Working Warrior” packages. With this persona-based offering strategy, Highline increased average revenue per user (ARPU) 15 percent in just six months.
The latest updates from Calix are timely for BSPs seeking strategic and operationally efficient ways to grow their businesses, with
The updates released by Calix today give BSPs the ability to:
- Automate customized subscriber communications. Engagement Cloud now empowers marketers with automated alerts for six specific subscriber milestones—like a service anniversary—to inform purposeful, timely outreach. With personalized subscriber communications, BSPs can successfully cross-sell and upsell SmartHome managed services. The results are higher ARPU and subscriber satisfaction.
- Easily encourage subscribers to use personalized mobile apps. With updates to Calix Service Cloud, customer service representatives (CSRs) can quickly email links to download custom branded versions of the CommandIQ® mobile app. This drives app usage and puts control of the home network in the hands of subscribers. The app also facilitates setting up Wi-Fi passwords, running bandwidth speed and latency tests, and managing security settings.
- Extend the residential experience outside the home. New innovations to SmartTown make it even easier for BSPs to differentiate their residential offerings thanks to secure and reliable community-wide Wi-Fi. SmartTown now enables fast and easy onboarding while retaining advanced network and user security features to keep the network safe while allowing more subscribers to join.
Hundreds of BSPs continue to enhance their residential offerings with tailored subscriber experiences from SmartHome. By leveraging deep insights about their subscribers with cloud capabilities inherent in the Calix Platform, they are dramatically accelerating subscriber adoption of these services.
“Because SmartHome offerings are fully integrated for the Calix Platform, we were able to rapidly adopt, deploy, and launch tailored packages that address the desires and preferences of our subscribers,” said Lynn Hall, chief marketing officer at Highline. “You do not need to have a highly sophisticated marketing function to see the benefits we’ve seen: collapsing our go-to-market times, automating our communication with subscribers, and driving ARPU. Calix is the only partner that offers this kind of transformative innovation for broadband providers.”
Calix customers launching SmartHome managed services have access to Premier Customer Success and Calix Smart Start for Managed Services programs—part of award-winning Calix Customer Success Services. With guidance from Calix customer success managers, BSPs are accelerating their time to market for new managed services and streamlining internal processes to ensure exceptional subscriber experiences.
“Subscribers do not identify with speed-based packages,” said Matt Collins, chief commercial operations officer at Calix. “They care about how reliable broadband can improve their day-to-day experiences. Today’s platform updates further simplify our customers’ ability to compete on the experiences they provide, rather than engaging in endless price wars over speeds. Calix customers like Highline understand their subscribers, thanks to deep Engagement Cloud insights, and they seek to solve their problems with life-improving services that help them accomplish their goals and keep them safe. As the FTTH market continues to expand, our customers have an advantage by taking a tailored, subscriber-centric approach supported by the Calix Platform and managed services portfolio.”
Learn how Calix customers are leveraging SmartHome and SmartTown managed services to differentiate their residential subscriber experiences.
About Calix
Calix, Inc. (NYSE: CALX)—Broadband service providers of all sizes leverage the Calix platform and teams to simplify their business and excite their subscribers to grow the value of their business and for their communities for generations. The democratizing power of the platform and portfolio of managed services enables them to operate efficiently, acquire subscribers, and deliver exceptional experiences. Calix is dedicated to driving continuous improvement in partnership with our growing ecosystem to support the transformation of our customers and their communities.
This press release contains forward-looking statements that are based upon management’s current expectations and are inherently uncertain. Forward-looking statements are based upon information available to us as of the date of this release, and we assume no obligation to revise or update any such forward-looking statement to reflect any event or circumstance after the date of this release, except as required by law. Actual results and the timing of events could differ materially from current expectations based on risks and uncertainties affecting Calix’s business. The reader is cautioned not to rely on the forward-looking statements contained in this press release. Additional information on potential factors that could affect Calix’s results and other risks and uncertainties are detailed in its quarterly reports on Form 10-Q and Annual Report on Form 10-K filed with the SEC and available at www.sec.gov.
Calix and the Calix logo are trademarks or registered trademarks of Calix and/or its affiliates in the
View source version on businesswire.com: https://www.businesswire.com/news/home/20240213966580/en/
Press Inquiries:
Alison Crisci
919-353-4323
alison.crisci@calix.com
Investor Inquiries:
Jim Fanucchi
investorrelations@calix.com
Source: Calix, Inc.
FAQ
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