“We focus on the interplay between voice and data connectivity”

Vishal Rally, SVP and Head – Product and Marketing, Tata Teleservices, is an industry veteran with over two decades of experience. At Tata Teleservices (TTSL), he is responsible for designing the product strategy and roadmap which includes creating new products and managing the lifecycle of existing product lines. In an interaction with Shubhendu Parth, he talked about the TTBS offerings, including the suite of connectivity solutions, as well as the interplay between core connectivity and security products, and cloud-based services. Excerpts:

Tata Teleservices has evolved from being a mobile player to offering enterprise solutions under the brand name Tata Tele Business Services or TTBS. How is the company leveraging its telecom experience?

The company has undergone a massive change since the time Tata Teleservices had Tata Docomo brand with a strong consumer SIM business. While the mobility business was sold off our B2B enterprise services continue to be a part of the organisation. Our B2B business has been very strong for the last 15 years, especially in key markets like Mumbai, Pune, Bangalore, and Delhi. Our fibre infrastructure is a key asset for business because it enables us to offer fibre-based voice and data services to customers.

The next big area is services, which includes everything from productivity and security applications to specialised software like HRMS or accounting.

Unlike other telcos that are involved in various businesses, we are solely focused on B2B. Our management bandwidth is entirely focused on our B2B business, and we do the best we can to make it successful. Over the last three to four years, we have been building differentiated skill sets by hiring relevant people with the right background and understanding of the space. We have also been recruiting channel partners from IT services backgrounds to ensure a good mix of IT and telecom expertise.

Overall, we provide a suite of connectivity solutions and cloud services that are helping customers understand the interplay between telecom and IT services.

Businesses have undergone a massive transformation during the last few years with technology driving the change. What are the pain points of enterprises in the cloud, data services, and collaboration space?

During the Covid period, many small and medium businesses (SMBs) struggled since they had not invested sufficiently in remote work technologies and due to financing. This resulted in a high mortality rate for SMBs and many businesses had to shut down.

Businesses that survived, realise the power of technology solutions for remote work, customer communication, and service delivery. Hence, investment in technology solutions has improved, and the relationship between SMBs and service providers like TTBS is becoming stronger. Our comprehensive services and advice on product selection help SMBs choose the best solution for their industry and requirements. As a result, trust in our brand has increased. Customers have started to seek our advice on new services. This two-way communication helped us define the product roadmap and enable SMBs to run their business effectively.

TTBS has a very diverse portfolio of services and solutions. Is there a common thread binding them together as a whole?

Over the last two years, we have witnessed the evolution of the needs of enterprise customers. Traditionally, telecom companies have only provided voice and data and assumed that the customer would figure out their own equipment to set up the service. However, we realised that many customers do not want to invest in hardware. We also noticed that many of the workloads are moving onto the cloud. Hence, we introduced Smartflo, a multi-tenanted PBX in the cloud that enables all communication features a customer may need. We also created a platform and services solution, which allows the customer to use services seamlessly and work from anywhere. The common thread or sweet spot is the interplay between core connectivity products, security products, and cloud-based services.

In an era of super-specialisation, how does TTBS manage to focus on customer-centricity and innovation with such a wide range of services?

It is a huge space, and it is important to focus on what we do best. We do not want to spread ourselves too thin and try to do everything. If you look at where most businesses spend their money, about 35-40% is on hardware like laptops and other devices. We have decided to stay away from that because it is not an area where we can add much value as an organisation.

The next big area is services, which includes everything from productivity and security applications to specialised software like HRMS or accounting. We have decided to focus on areas that are adjacent to our core offerings of productivity, collaboration, and security. These are areas where the interplay is stronger and where we can bring the most value to our customers. We are not yet ready to get into financial and accounting software, because that is a specialised area, which requires different expertise.

Our focus is on the interplay between the core voice and data connectivity, the services domain, and the infrastructure as a service domain. This covers about 60-70% of all ICT requirements that most businesses have. We have brought in domain specialists, solution architects, product specialists, and others who can bring the best of both worlds to our customers and provide them with a comprehensive solution. We have undergone a complete DNA change as an organisation to make sure we bring the right expertise to the table.

In terms of business, portfolio expansion, and achievement, how would you describe the year 2022 for the company?

The financial year 2022-23 has been one of the best years for us. During the year, SMBs started investing again and in newer services. Fortunately, there was no new COVID wave and the business boomed. The H1 was really good in terms of growth, even compared to the pre-COVID period. However, we faced some headwinds in Q3.

The effects of the layoffs in the global tech space and the funding crunch for startups are evident. We are seeing a bit of a slowdown in business from startups. There is a dependence on the global economy, but India’s story is still strong. Nevertheless, we have done much better than the pre-COVID period in October to December, as well as in January. We are cautiously optimistic about the new FY, as we are seeing some headwinds coming in.

The government has projected the GDP growth for FY2024 at 6.5%, with the IMF projecting it at 6.1%. Hence there may be a slight dip compared to FY2023, and then it will take off again. We have to wait and watch how things pan out in the bigger markets like Europe and the US.

And what about the major strategic initiatives taken up by the company, including partnerships?

We have key partnerships with Microsoft, Google, Meta, and Zoom and are working closely with their product and solutions teams to create bundled services and solutions, rather than just point products.

Smartflo is a cloud communication layer that includes Whatsapp for Business, along with voice, video, SMS, and chat capabilities.

Our focus for the next 3-4 quarters will be on creating unique bundled propositions, such as the SmartOffice solution or the Smart Internet solution, which bundles security with the data layer. Another example is Smartflo, which is a cloud communication layer that now includes Whatsapp for Business, along with voice, video, SMS, and chat capabilities. While many customers currently take point solutions, such as Microsoft 365 or Azure, we are innovating along with some of the global product teams of these global OEMs to create unique solutions that can cater to the market in India.

Does that mean we can expect TTBS-branded products?

Let me give you an example of WhatsApp for business. We sell this service independently, enabling customers to use the service by deploying and managing it for them. Our Smartflo proposition has been in existence for two years, focusing on voice connectivity and hosted contact centres, and we have recently added chat. Rather than creating another brand, we are enhancing the scope of the Smartflo proposition by integrating Zoom into it. This integration allows for instant video calls between agents and customers with a simple click, in addition to voice calls.

We are also integrating WhatsApp for business into the Smartflo proposition, making it easier for customers to have conversations with agents or others. Instead of offering separate products, we are bundling all of these services together under the Smartflo proposition, which will include voice, video chat, and WhatsApp. We are also working closely with the product teams in these organisations to create a unique offering that will differentiate us in the market. While we may not announce new brands, our offering will be our asset.

Vishal Rally

SVP and Head – Product and Marketing, Tata Teleservices

shubhendup@cybermedia.co.in