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,Head of Yoodo, Chow Tuck Mun says with digitisation here to stay, Yoodo is in the right position to leverage this movement. WHILE most companies struggled to go digital under the movement restrictions, some were able to capitalise on their digital-ready model to get ahead during the past year. Digital mobile startup Yoodo had no problems pivoting when the first movement control order (MCO) was implemented and, in fact, saw its user base growing by 17% in the first three months. “Our services were already 100% digital and thus perfectly suited for the digital needs of the time. As such, compared to our competitors, the initial MCO period was in fact a period of growth for us, ” shares head of Yoodo, Chow Tuck Mun. And with digitisation here to stay, Chow says Yoodo is in the right position to leverage this movement. An advantage for the company, he explains, is that every step of the user journey can be completed digitally through its app, including customising mobile plans and purchasing a SIM card. This is an attractive option for modern consumers who are already used to fully online services. Nonetheless, Chow acknowledges that a challenge during the periods of lockdown was in finding new ways to engage and interact virtually with its community of users. “We spent some time and effort developing new approaches to suit the fully digital age, and I believe we did well. We engaged with the public through their interests and passions, which could set us up for an even more successful 2021.” Yoodo launched a number of engagement activities last year in the areas of esports, virtual music performances and fitness to drive its user base and increase brand affinity. Determined to outdo itself this year, the telco has drawn out some plans and offerings to continue growing its revenue and subscriber base. While Chow is unable to reveal any figures – the startup is owned and operated by mobile operator Celcom Axiata Bhd – the company is reportedly looking to double sales and subscriber numbers from 2020. Last year, revenue grew 52% year-on-year, while total subscribers increased 59% from 2019. Its app has been downloaded 500,000 times, but of course, not all downloads translate into activation and there will be churns. Chow says the three-year-old outfit is still in a strong growth period and there is room to innovate further to meet varied customer demands. “We will continue working on innovation, customer experience, accessibility and lifestyle segments (to grow this year), ” he says. On the product and development front, Yoodo will be developing more innovative offerings to increase the flexibility of its plans for users. It is also working on increasing its accessibility this year with more channels to enable users to purchase a SIM card at physical locations throughout the country. It will also expand its express SIM delivery to more key cities in Malaysia. Yoodo will also continue to focus its engagements in key segments like esports, music and entertainment, and active sports to reach out to its target audience. “We look at these segments as high-growth areas for the business and will invest more into outreach initiatives on this front. “This year, we’re also looking to revamp a portion of our digital interface experience to create a more seamless user experience. We will definitely continue to increase our engagement with our community to crowdsource more ideas and directly gain insights from the consumer’s perspective, ” says Chow. Understandably, Yoodo primarily targets digital natives or Millennials and Gen-Z consumers. These groups tend to be more tech-savvy and are used to exploring technology. He adds that these modern consumers are also more certain about what they want and need and appreciate the flexibility to choose products and services that suit their needs at any given time. “This is why we pride ourselves in being able to offer truly customisable and flexible mobile plans to meet different individual needs. “Mobile plan packages in general are inflexible and offer little to no room to adapt to the consumer’s varying needs. We view this as an unsustainable model in the long run, as consumer demands and mindsets change with the times. “Yoodo offers users more than two million combinations in mobile plans, so there really is something for everyone.” This, he opines, will give the company an edge in a highly competitive telco market with numerous established players. Introduced in 2018, Yoodo is still considered a relatively new player in the market and has much to do in terms of building brand awareness. But Chow says it has managed to differentiate itself in the market, especially among the younger crowd. And with the impending rollout of the 5G network in Malaysia, sooner rather than later, the telco is looking at opportunities to further expand its offerings for the digitally-savvy market. 5G is meant to deliver a larger network capacity, higher data speeds, ultra-low latency and a more consistent user experience to a much larger consumer and machine base. This will not only boost human-to-human connectivity; we will also start seeing more human-to-machine and machine-to-machine communications. Chow notes that the telco industry will soon find itself to be the backbone for many types of services which are not mainstream enough yet. For example, the technology sector has always been trying out technologies like virtual reality (VR) and augmented reality (AR). The massive bandwidths will gradually allow for better VR and AR experiences. As for machine-to-machine communications, the Internet of Things sector will now have a chance to grow due to the low-cost connectivity solutions. “5G will also bring many industries closer together as companies find ways to collaborate. For example, the telco industry will work more closely with the automotive, logistics, healthcare, agriculture and manufacturing industries. “For these collaborations, it means increased revenue opportunities and improved customer experience, ” he explains. As for Yoodo, it could lead to more innovative products around its core strengths and differentiators, such as in the gamers’ space. “With 5G, we will be able to provide even better low latency experience while viewing or playing. Games will be really immersive as 5G will allow the network to cope with the higher resolutions and enhanced multiplayer experiences. We may also see opportunities to be involved in cloud gaming. “Besides this, it allows for more innovative product offerings which will then provide revenue opportunities for acquisition and retention, ” he says. For sure, the company has much more to offer and Chow hopes they’ll be able to roll out their planned initiatives this year. “Due to the pandemic, we had to hold off organising on-ground events and we do miss having these events as it is always better to be able to meet and interact with our customers directly. “We will certainly continue to engage our customers in their preferred lifestyle segments and hope that we can organise a few events later this year, if the situation permits, ” he says.
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