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Broadband Internet Service Providers
The Competitive environment
Broadband
ISP’s have taken great expense to acquire each of their high-speed
customers. Now their biggest challenge is to monetize this broadband
userbase by earning incremental revenue per user through advertising
and ecommerce revenue. According to Cahners In-Stat, "price drops
will take place soon to foster customers as cable and DSL access
begin to experience more pricing parity, leaving value added offerings
as the only differentiator between the big residential broadband
access services." In this competitive environment, the winning ISPs
will be those who earn revenue above and beyond the connection fee.
RapidMedia Solution - The Broadband
"Walled Garden"
Ownership of the user’s desktop is critical for the long-term viability
of broadband ISPs and Internet media companies. The competitive
environment has become increasingly hostile, and large industry
players such as Microsoft are positioning themselves for a battle
to control the users' Internet experience. In order to compete against
such companies, ISP’s must control their user’s desktop. As the
provider of the consumer’s high-speed connection, ISPs are in a
unique position to leverage their established offline brands and
solidify their relationship with their online customer. However,
ISPs currently lack the online environment to do so. Web habits
have already been formed by ISP customers, leaving the ISP’s web
based portal only a click away from replacement by Yahoo, MSN, and
other popular web properties. RapidMedia's all-in-one desktop software
creates an online environment that continuously drives customers
back to the ISP’s multimedia content and web properties, allowing
them to secure incremental revenue through advertising and e-commerce.
In addition, the RapidBrowser allows ISPs to retain their customers
more effectively by increasing switching costs. Much like AOL owns
the narrowband user’s desktop through the AOL browser, RapidMedia
allows ISPs to own the broadband user's desktop and mind share with
the RapidBrowser.
RapidMedia customizes private-label versions of the RapidBrowser
that create a “walled garden” for each ISP, allowing them to earn
incremental revenue per user/per month while up-selling their other
products and services. By marketing their services along with the
private-labeled RapidBrowser, ISPs may focus on customer acquisition,
network upgrades and expansion, and other core competencies.
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