Getting A Private LTE For Your Business?

Mobile marketing is such a powerful digital strategy that connects business to consumers. Brand campaigns and promos are effectively sent out using one global cloud-based communications platform. In this way, they can easily earn customer’s loyalty and meaningful mobile engagement are delivered.

Thru this, a brand story can constructively resonates a way with audience and can have better understanding on brand’s engagement efforts. Evidently, Private Cellular Networks, which includes Private LTE becomes the best option for wireless networking.

Any organization can build and operate their own private LTE network if needed. It just require a scope, network infrastructure equipment and edge devices to access this network tool.

Photo by Georgia de Lotz on Unsplash

Private Enterprises: Practically any type of organization – manufacturing company, mining company, university, transportation agency, utility, etc. – can install and operate a private LTE or 5G network to provide connectivity to their factory, mine, campus, airport, or utility service area. To do this, the organization needs:

  • Wireless spectrum purchased from the government, or provided to them by an MNO or third party spectrum provider. They can also use unlicensed spectrum or spectrum that is “shared,” like CBRS spectrum in the U.S.
  • LTE or 5G infrastructure — base stations, mini-towers, small cells, and other equipment — purchased from network infrastructure equipment providers.
  • Smartphones, embedded modules, routers, gateways, and other edge devices with SIM cards and modems to connect to their private LTE or 5G network. 

Businesses are shifting to cloud applications, and traditional telcos haven’t exactly providing a reliable service to enterprises. In handling over the wireless network to one of those companies seems like a big leap of faith and has far more risk than reward.

So should you consider a Private LTE for your business?

A comprehensive understanding should be made in considering getting one. A big issue to discuss is data ownership. When a network operator sells a service to a business, it owns the data. If the business wants to analyze the data, it must then buy its own data back.

Network data has become a critical asset for digital businesses for use cases ranging from inventory management to customer experience and, most recently, contact tracing. The ability to take WiFi data and dig it a hundred ways is one of the big advantage of WiFi. If the 5G operators are going to be serious enterprise vendors, this problem must be resolved.

Due to the specialized equipment required, private LTE is more expensive. But for many businesses they are the best solution. For example, a hospital needs all of the healthcare equipment and facility computers to be connected to an absolutely trustworthy network. Healthcare organizations are held to some of the highest standards for ensuring the security and privacy of patient data. The consequences for a network failure are also drastically high for such organizations, where even seconds of downtime could cost lives.

Though not as extreme, airports, stadiums, and other venues have similar set ups – and for security and bandwidth reasons, want their internal equipment kept separate from the Wi-Fi network the general populace uses. The advancements in private networks offers the same performance and security benefits. It also offers new opportunities and the following features:

  • wider network capability
  • new administrative controls
  • flexibility for equipment location
  • other new possible configurations

Overall, making a private LTE as the incredible tool for business depends entirely on understanding the specific situation and business needs. The success lies on whether having this automation aligns on beneficial business goals.

Online Business Metrics And Marketing Tactics

Business operational metrics are a quantifiable measure to evaluate success and gather insights into a company’s sustainability. Nowadays, most businesses acquire new customers and sales thru ad views generated by high-quality organic leads.

Online advertising uses operational metrics which include CAC or customer acquisition cost. It is a company’s gauge on how much they spend in acquiring each customer. It is the cost of winning a customer to purchase a product or service. This can be measure thru this formula:

CAC = cost of sales and marketing / number of New Customers Acquired

CAC is often related to LTV – (Customer’s) Life Time Value. It is the predicted revenue that a customer can generate over the course of their relationship with the company.

To calculate LTV, the following variables is needed to plug into the formula:

Average purchase value: Calculate this number by dividing your company’s total revenue in a time period (usually one year) by the number of purchases over the course of that same time period.

Average purchase frequency: Calculate this number by dividing the number of purchases over the course of the time period by the number of unique customers who made purchases during that time period.

Customer value: Calculate this number by multiplying the average purchase value by the average purchase frequency.

Average customer lifespan: Calculate this number by averaging out the number of years a customer continues purchasing from your company.

LTV = customer value X average customer lifespan.

This will provide the estimated revenue expected from a customer over the course of the business relationship. The LTV:CAC ratio should be 3:1. This means that the customer value of customers should be three times the cost of acquiring them. If the ratio turns out to be 1:1 it means ad spending equals as much money on gaining customers as they’re spending on your products.

If it’s higher than 3:1, like 5:1 for example, this shows that you are not spending enough on sales and marketing and could be missing out on opportunities to achieve new leads.  

To understand what you want to achieve with your ad campaigns, you also need to check the CPA or Cost Per Acquisition. It is the cost per sale or cost per conversion that indicates how much sales was created by your online ad campaign. It allows you to track and optimize a variety of goals.

CPA (cost per action)= Total “actions” taken / total cost

With this, you’re able to see if the amount you spent on ads is profitable or not. You can clearly see if ad campaigns are well invested which allows you to adjust the cost accordingly.

The branding efforts with today’s digital marketing campaigns can certainly be backed up by digital metrics that can effectively scale marketing tactics.

In sales conversion and brand awareness, defining digital marketing metrics is essential to track and guide campaigns. However, it is best to have a goal first of building a brand that creates a distinct feeling and experience for customers rather than just the usual leads and sales-focused.

Building a strong brand that leverage marketing tactics should be guided by the following questions to be answered first in a strategic way:

  • What problem do you solve? How you do it differently? What is your purpose?
  • How does your business stand out over the competitors?
  • Have you laser-focused on a specific audience who has the same values?
  • Is your brand voice distinct, consistent, and recognizable?
  • Do you have a clear and compelling brand messaging to support your content?

These guide questions can certainly point to a wider customer reach. After all, a well-recognized and loved brand is the most valuable asset beyond any metrics.