What wireless Internet can do to you

Revenue through wireless Internet service

Here are my thoughts on generating revenue by providing wireless Internet. This is applicable to any business where people visit their premises will benefit out of the Internet service. For instance, hotels, restaurants, public malls, college campuses, residential complex, the visitors do want Internet access on daily basis. It depends on the type of people and purpose of the visit the Internet requirement varies. In hospitality business many places the wireless Internet service is provided as complementary service.

Complementary Internet service:

When a service is provided as a complementary service it is never looked at as serious business like service. Hence people do not trust the service or may not prefer doing serious business activities using that. Since Internet service is provided for free of cost, it would be perceived as it is not secured or performance not being up to the mark.

For providing better service you must charge the users. In hospitality premises, even if you included wireless Internet services in the daily room tariff, the total tariff will look higher. Instead you can break it up and mention special price for wireless Internet service, which help bring more guests as you have lower tariff. Plus Internet service availability will also bring more customers to you. As you know this is the trend everywhere and this will help you in increasing the revenue.

Sample revenue through this service:

I am sure your guests would not mind paying a nominal fee for the wireless Internet service. In fact guests now-a-days demand wireless Internet as they can access Internet anywhere in your premises. The business traveler’s expenses on Internet service, a tool that helps in their business activities will be observed by the company. Keeping that in mind let us see what would be the expected revenue through this. Following is the calculation for your reference.

Total number guests expected	Between 45 and 50
Internet users	20 to 25
Internet access daily price	$10 or Rs. 300
Average per day revenue	$10 x 22 = $220 or Rs. 300 x 22 = Rs. 6,600
Average per month revenue	$220 x 30 or Rs. 6,600 x 30
	$6,600 or Rs. 1,98,000

This is just an example and it could be much more if reliable service is provided.

I do not want to get involved

If you do not want to involve yourself for providing this service, there are companies who set the wireless network for you. There are different models they can work with.

They will bear all the wireless implementation cost including the hardware, server and Internet bandwidth and share with you on the revenue.

Following are the expenses for providing revenue modeled Wireless Internet service.

1. Wireless hardware
2. Billing software/hardware cost
3. Billing support from our side
4. AMC
5. Internet bandwidth cost

They can take care of all the above said expenses if you get in to revenue sharing model for wireless Internet.

By sharing the revenue with those experts you will be outsourcing the entire task to them and still count the money. This model is working out well in many establishments.

Your comments are welcome!

For any comments write to GriVidi@Gmail.com

From:

Gri Vidi
Yugae Technologies,
Bangalore, India