Consumer segment
In 2011, Telefónica CR launched its first awareness-building campaign focusing on the uses of internet in a mobile. The campaign featured ways of using smartphones and how a regular user can benefit from having a smartphone. The campaign was executed jointly with Google, and helped to significantly boost the uptake of mobile internet.
As in the previous years, also in 2011 the customers benefited from the programme Reward for Top-up, a loyalty scheme for prepaid customers. The popularity of the programme shows also in the fact that other partners (Seat, GE Money Bank) have joined it.
Another important event was the CSI Leadership customer satisfaction survey in the prepaid segment, which was conducted in the fourth quarter of 2011, for the first time in the Company’s history.
In 2011, Telefónica CR had a lot of successes also in the online sphere. The revamped website www.O2.cz won the Web Top 100. An online self-service zone, My O2, opened, giving the customers control over the configuration of their services, billing reports, and payments, which they can now review or make online.
The online activities of the Company were now, however, limited to the website www.O2.cz. In 2011, Telefónica CR was very active on social networks such as Twitter, Facebook or YouTube. O2 Guru was one of such noteworthy projects, which gave customers support and assistance via social networks and video tutorials, all on the platform of the dedicated portal www.O2guru.cz.
A special portal for smartphones was launched in an online and mobile version. Applications can be downloaded for iOS, Android and Windows Phone operating systems.
Online activities also included the testing of new online sales channels. To this end, an affiliate programme was debuted in 2011, with rewards for selling O2 products and services via third party websites.
Thirty new brand stores opened in 2011. In more than fifty brand stores, Telefónica CR offered the services of a dedicated sales associate specialising in data services and smartphones. The dummy smartphone models were replaced with real devices for customers to try.
Mobile internet and prepaid voice cards were offered also in the indirect sales channels of O2, such as ALZA.cz, CZC.cz, eD’system Czech, 100MEGA distribution, Billa and many others. New providers of direct top-up for prepaid services were acquired: Česká pošta, Fortuna and Unipay. Last but not least, the capacity indirect sales, namely in the area of contract voice and data acquisition, was significantly enhanced.
As for the call centres, a notable event of the year was the consolidation of call centre activities in the consumer segment. A new organisation and the consolidation in 2011 produced substantial savings, lower staff turnover in the expanded locations, and gave career prospects and the option to switch departments to competent employees.
Internet
Telefónica CR made the billing for mobile data more advantageous. The first hour of connection cost CZK 15, and the full day of access was capped at CZK 30 (FUP 30 MB/day), which was appreciated mainly be those customers who go online only from time to time.
The key event in the area of fixed internet access was the launch of the VDSL technology, which brought faster data transmission. The launch and expansion of the VDSL technology allowed up to two times faster home internet for many customers – this is also why the key motif of the successful communication campaign was a runner. People could test the availability and the possible speed of their home internet at www.zrychlujeme.cz, where, after a brief questionnaire, they could enter a competition for prizes, which included also choice of discounts from the partners in the O2 Extra programme.
In 2011, Telefónica CR continued with an aggressive expansion of its 3G network coverage and strengthened its leadership in this area.
The campaign ‘Smart Network from O2’ explained the benefits of fast mobile data to customers; it was recognised as the ‘best advertising campaign of 2011’ in its category (Other Services) and claimed a Golden Effie at the prestigious 2011 Effie Awards.
Fixed access and IP TV
As in the previous quarters, also in the fourth quarter of 2011 the Company saw a solid growth in the number of broadband customers and a slowdown in the rate of decline in the number of fixed lines.
In February, Telefónica CR debuted its economy tariffs and bundles featuring fixed calls to all mobile networks in the Czech Republic and to fixed numbers abroad. The new tariffs and bundles, O2 Calling and O2 Calling International, can be combined based on the most frequent calling destinations of the customer.
From July until the end of the year, Telefónica CR ran an acquisition promotion of its internet tariffs. New customers of Internet Optimal or Internet Aktiv, who committed for 12 months, regardless whether they were natural or legal persons, enjoyed reduced subscription for the duration of their commitment. Starting from the 13th month, standard listed prices apply (CZK 750 for Internet Optimal and CZK 850 for Internet Aktiv).
Between 1 September and 31 October 2011 Telefónica CR ran a special acquisition promotion for new customers who subscribed to Internet Optimal and the digital television O2 TV Flexi and committed for 12 months. The promotional price of Internet Optimal was CZK 400 per month and CZK 250 for O2 TV Flexi per month, during the first 12 months of service. Starting from the 13th month, standard listed prices apply.
During 2011, the number of O2 TV customers went up 5% to 136 thousand; in the fourth quarter alone it was an increase by 5 thousand, which is credited to the successful Christmas campaign that promoted the service in an economy-priced bundle together with broadband internet.
Mobile services
From July 2011, Telefónica CR offered its prepaid customers free calls, SMS and MMS to one O2 number of choice.
O2 Nejbližší, a new service for friends and families with free or preferentially billed calls to a select group of numbers, was launched in September 2011. What made it unique was that the ‘friends and family’ group could include numbers in Slovakia.
From 1 November Telefónica CR offers benefits for the prepaid O2 card to both new and existing customers, on the condition that they top up a minimum of CZK 200 per month. This got them calls to all networks for CZK 3.50 per minute and SMS for CZK 1.50. Customers could buy a new card with the pre-set conditions or reconfigure their existing card until 31 December 2011. Contract customers received double the amount of free monthly units (minutes, SMS) from Telefónica CR, in exchange for extending their commitment or switching to a higher tariff. New customers had the benefits set up for them automatically.
In November 2011, Telefónica CR premiered an innovation to the topping up of the prepaid O2 cards.
Customers with prepaid cards could use a payment card for a single top-up online, set up an automatic top-up or top up via SMS. The holder of the payment card could also manage several O2 cards, which made it ideal for families. Customers also received extra 10% every time they topped up via the new channel before the end of 2011. The first top-up after the registration in the system attracted a bonus of 20% from the amount of the top-up.
The other noteworthy campaigns included the Christmas mobile voice promotion. Customers of prepaid voice services could get calls to all networks for CZK 3.50 per minute and SMS for CZK 1.50. Contract customers received double the amount of their free units (minutes, SMS) to all networks.