Page 87 - SAMENA Trends - September-October 2020

TECHNOLOGY UPDATES SAMENA TRENDS

Unlocking The Potential Of eSIM For Consumers

eSIM has become a hot topic among
device manufacturers and its increasing
role in the industry is clear – as device
manufacturers benefit from lower costs
and more space on the processing board
. Moreover, eSIM helps service providers
to generate new revenue streams, and a
future of billions of IoT connected devices
During 2019, two major smartphone
manufacturers announced several of their
models were now equipped with eSIM
functionality. In 2020, many more are
following suit. By 2025, GSMA estimates
that more than 2 billion eSIM devices will
be shipped. This is a strong incentive
for the industry to go for eSIM. But what
about consumers like me and you? What
can eSIM bring to us? To answer these
questions, Ericsson ConsumerLab has
run a market research study, revealing key
insights which means customers are ready about swapping back and forth between how cumbersome obtaining a smartwatch
to take the next step and pay for eSIM operators for the sake of just saving a subscription had been! Lifting this barrier
services: couple of dollars a month. eSIM is about alone could ramp up the adoption rate
1. Cellular connectivity for additional peace of mind! Even smartphone users tremendously. For instance, 29 per cent of
devices is the top application of eSIM whose expectations regarding network consumers would buy a cellular-enabled
that consumers are interested in. 6 in 10 quality are met want to be able to shuffle smartwatch if only the enrollment process
want to connect their laptops to cellular between operators. Peace of mind is more was just one click away. And finally, Try
connectivity, yet very few do it today. important than loyalty when it comes and Buy is probably the biggest benefit
2. Every SIM card is problematic, main to places out of reach and emergency of eSIM for consumers. We see it in the
issue being related to the ever decreasing situations. The second benefit is Travel interest level. For example, 86 per cent
size of SIM cards. specials, which refers to connectivity in of respondents want to test at least one
For consumers, eSIM represents peace the context of travelling abroad. In fact, feature, which speaks to how genuinely
of mind, for example 45 per cent mention 1 in 2 yearly travelers connect to mobile curious we are. But the real value of Try and
having access to multiple operators in the data abroad using local SIM card. Imagine Buy offerings relates to 5G. As 5G coverage
same smartphone for emergencies. 3. 6 that wherever you travelled, you could extends, more and more streaming, gaming,
in 10 smartphones users are interested in latch on to any operator and activate a AR/VR shopping and AR/VR learning
eSIM. However, 40 per cent of them have mobile subscription directly in your phone. services will emerge according to latest
locked smartphones, while73 per cent Travelers that use local SIM cards abroad 5G business potential report. However,
have post-paid plans with a contract. 4. are particularly interested in a service that only early adopters and digital natives will
29 per cent of smartphone users would would ease the process of choosing the give them a try. Those following behind
consider buying a smartwatch with cellular optimal connectivity offering. The third need to be convinced that what they are
connectivity if the process of enrollment benefit is connected devices. Smartphones buying is worth it, which is why Try and
with the operator was seamless. According are versatile, boast larger and better Buy offerings are so compelling. If 54 per
to the report, there are four main eSIM screens, and become smarter by the day. cent of respondents are interested in 5G
benefits for consumers. Firstly, it excels in With such a device in your pocket, do speeds alone, the interest for immersive
connectivity. Consumers say that the need consumers really need mobile connectivity video formats and AR applications can
to switch between operators depends on for other devices? They most certainly do, only be higher. The opportunities with
the connectivity performance at various and surprisingly laptops top the ranks. eSIM are many. Although eSIM adoption
times and places. If the connectivity is The main reason why consumers don’t is a concern in the industry, in practice,
great, one operator is enough. So when is activate LTE on their smartphones are the its implementation can help enrich the
switching between operators relevant to price and lack of awareness regarding the relationship with consumers. From peace
consumers? The results took us by surprise LTE capability. A more dangerous obstacle of mind to redeeming shopping for mobile
– 75 per cent would activate a reasonably is the enrollment process with the operator data, eSIM is valuable to consumers.
priced plan on top of their existing one to – 57 per cent of consumers with cellular-
ensure access to connectivity. eSIM is not connected smartwatches mention about

87 SEP-OCT 2020