Behind every call you’ve ever made and the internet that allows you to download the various apps on your mobile phone is an operator. These operators, in the UK as with the rest of the world, are often physical and this is reflected in the infrastructure that supports their services. For several reasons, however, the physical route may not always be ideal and that’s where a mobile virtual network operator or MVNO in the UK comes in, according to UCtel.
These alternative operators essentially cover the bases that their physical counterparts don’t, hence their rising popularity. This can make one wonder exactly what it is that makes them a good alternative to the traditional path. Let’s look at and answer that very question to get a better understanding of things.
The operators in a nutshell
To understand what an MVNO is, a brief look at mobile network operators is required, as well as ar the MNOs (Mobile Network Operator). They’re organizations that provide all manner of network services. As hinted at in this piece’s introduction, they’re more physical, owning a tangible infrastructure, which includes, above all, the large number of base stations through which coverage is gained.
What a UK MVNO does is provide the very services their physical counterparts do, except without having to build any of the towers needed to carry it out. This is achieved because MVNOs are paying MNOs to provide them with access, or in a sense, a lease to use their infrastructure. When this is achieved, the MVNO has the freedom to do several things, including the following:
- Rebranding the infrastructure as its own
- Putting different prices for similar services
- Offering entirely new, more tailored services
When they should be chosen
As it stands, several virtual operators are already being used in the UK. And pretty much all of them are backed by the big four operators. So why would they go the virtual route? Well, on the part of the operator, it comes down to one thing, which is the costs. Starting a traditional MNO requires the building of the needed infrastructure, and as you can imagine, it is not exactly affordable.
If the operator decides to go virtual, they bypass the expensive infrastructure-building phase. This is something that saves them immense amounts of money and gets them access to a ready-made infrastructure on which their products will be quickly released.
Their benefits in the UK
So, what are their benefits to those who end up using them? Well, if we were to break it down, it comes down to the classic elements, for example, cost-effectiveness and offerings, which present themselves in the following ways:
General affordability
A closer look at MVNO will reveal that they’re typically not priced at the same level as the traditional variety, often being more affordable. This is because they don’t build their infrastructure, preferring to essentially rent theirs.
This means that there’s no reason to hike prices, which in MNOs is done to help offset the costs of building the towers and all necessary parts of the framework.
Ranging services
An interesting benefit of subscribing to virtual operators lies in the fact that because they don’t build anything, they can focus entirely on the services they offer. This is especially perfect for customers, as they often have a sense of variety regarding the services that operators offer.
This is seen particularly in the way the operators tailor their offering to potential customers, something that can take multiple forms, including various data packages for different groups of people. It further enhances the affordability element, as with these packages, customers only pay for what they need and nothing more.
An alternative model
This theme of affordability meeting convenient offerings continues when you realize that the MVNO model differs from the traditional one in that long-term contracts aren’t a thing. What this gives customers is a measure of power, as they’re allowed to look around for a newer, better deal, should it present itself, instead of being tied to something that’s not working for them.
Desirable flexibility
The more virtual operators are typically more flexible and the above points have shown that to an extent. However, this can be taken a step further when you consider just how much they are willing to go regarding their abilities and desire to tailor to demographics. With MVNOs, you’ll see service tailoring based on some factors, a few of which include the following:
- Customer age
- Reasons for subscribing and using services
- How often said services are used
This targeted and flexible approach makes an MVNO in the United Kingdom quite attractive. This, in turn, makes their popularity not a surprise at all.
Reasons to be weary
While MVNOs are, without a shadow of a doubt, beneficial to those who use them, it should be noted that there may be a few issues that come with them. The major issue is that the quality of service they can offer is limited because they’re simply leasing infrastructure.
As such, they’re not the highest priority for the MNOs, who give their best to their direct customers. This, in addition to the competitive market in which they exist, which makes them vulnerable to acquisitions and closures, as well as generally lower service quality, makes them worthy of caution.
Final thoughts
Whether you’re on the side of the proprietor looking to enter the market without building the infrastructure or an individual looking for alternative network providers, MVNOs are an interesting prospect. Not only is an MVNO in the UK beneficial from a cost perspective to both parties, but the latter party also receives a much wider range of services.
These things make going down the virtual path attractive, but not considering the potential issues is a pitfall you shouldn’t risk. Now, chances are that you’ve been using these virtual operators without knowing it this whole time. If you’re aware of their nature, the above will help you navigate your way around them, helping you find the perfect blend of affordability and services.