VodafoneGlobalEnterprise Case Study TomTom

8/8/2019 VodafoneGlobalEnterprise Case Study TomTom

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Vodafone helps TomTombuild competitive advantageacross Europe

Vodafone Global M2M

Case study



The need

Vodafone Global M2M



TomTom, a digital mapping and routing companythat focuses on the automotive industry, aims to helppeople complete their journeys in the most efcientway possible. Its products include Portable Navigation

Devices (PNDs), in-dash navigation solutions, andsoftware for smartphones and Personal Digital

Assistants (PDAs).

The company, founded in 1991, has now grown toannual revenues of €1.5 billion. It has over 3,000employees, working in ofces in Europe, NorthAmerica, Asia and Australia.

Revenues have grown dramatically in recent years,starting from 2004 when it launched TomTom GO,which was the rst simple-to-use, stand-alonenavigation device at an affordable price. Today, the

market has become intensely competitive, with around100 brands offering navigation devices to consumers.

To maintain its market leading position in the faceof such intense competition, TomTom has remainedinnovative and developed a services portfolio,including real-time trafc updates to its customersin their vehicles. In order to be able to offer the bestconsumer experience and a seamless integrationof the ser vices with the device, TomTom launchedconnected devices, requiring it to nd a suitable

mobile connectivity partner.

TomTom selected Vodafone to provide Machine to Machine

(M2M) connectivity and trafc data for its in-car portable

navigation devices. Vodafone’s exibility, centralised

customer service and broad international coverage have

enabled TomTom to transform its business.

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“In order to adapt to the changing market and movetowards connected navigation, TomTom created thenext generation of connected Personal NavigationDevices,” says Roy van Keulen, Vice President

eBusiness at TomTom.

“It’s not only nding your way from A to B, but addingdifferent services to make travelling more efcient.”

TomTom started working with Vodafone in 2006. Today,Vodafone takes advantage of its 20 years’ experience

in the M2M market to provide connectivity to all of TomTom’s devices that receive live trafc information.Connected TomTom devices will be sold in 15 Europeancountries and South Africa, with trafc coverage

available in 16 countries and coverage of some servicesextending to a larger area of 34 countries.

The TomTom Trafc™ service, operating via Vodafone’snetwork, provides real-time trafc reports andinformation on the best alternative routes to avoidcongestion and delays.

“We chose Vodafone because we were looking for a sustainable long-term partnership and a reliabletelecommunications provider with networks in themajority of our operating countries,” says van Keulen.

”Only with that single partner could we implement thiskind of service properly – if we had not worked withVodafone, we would probably have done business withlocal telecommunication providers,” says van Keulen.

“This would have made the projects signicantlymore complex, would have needed a lot more time incontract negotiations and implementation, and last butnot least would have had a detrimental effect on cost.”

TomTom also uses Vodafone’s network to provide aservice called TomTom HD Trafc™, which is part of itsTomTom LIVE bundle of services. Currently available inseven European countries, HD Trafc provides detailedupdates on the latest trafc information every three

minutes.

HD Trafc generates its trafc information from real-time, anonymous data gathered from millions of TomTom HD Trafc™ users across the Vodafone networkas they move around the road network of each country.

This anonymous data collection technique, patented byTomTom, is enhanced with Global Positioning System(GPS) enabled probe data and a conventional data feedgathered from vehicle sensors in the road. It means thatHD Trafc provides a much more accurate and superior

source of information than competitors’ services.TomTom also provides information such as weather,speed camera locations and fuel pricing through itsTomTom LIVE services.

The solution

Vodafone Global M2M





Vodafone provides coverage across all of Europe, either directly through its own network or via its partners.Vodafone’s global SIMß enables TomTom to deliver connectivity to all of its Personal Navigation Devices in34 countries.

To simplify management for TomTom, Vodafone hasassigned a central Global Account Manager.

“Initially, we worked with the individual countries

with Vodafone providing global co-ordination, but

recently this has become even easier for us with

a single point of contact that co-ordinates across

all of the countries,” says van Keulen. “Service

levels are being met by Vodafone, and we have an

excellent working relationship.”

Vodafone provides central invoicing for all the countrieswhere its wholly-owned operating companies deliver coverage to TomTom.

This currently covers around half of the regions involved

in the TomTom contract, including many of the larger countries such as the UK, Germany, Italy, Spain, theNetherlands and Greece.

Vodafone also provides a central reporting tool for TomTom that gives management visibility across allcountries.

Building competitive advantage

Vodafone’s mobile connectivity is vital in enablingTomTom to respond to competitive pressures, keepingahead of other navigation vendors by providing the mostaccurate real-time trafc information and adding new

services such as hotel bookings or parking information.“The only way we are able to do this is through the

connectivity provided by Vodafone,” comments vanKeulen.

“Vodafone is a very co-operative partner and is open

to new propositions and helping us bring additional

value to the consumer,” says van Keulen.

“TomTom is entrepreneurial and innovative, but

this is difcult to achieve – we need partners like

Vodafone to help us.”

Recently, TomTom reduced the price of its TomTom LIVEservices to increase their appeal to consumers, a move

that required Vodafone’s co-operation, as van Keulenexplains:

“When we talked to Vodafone, they didn’t just look

at the price, they saw the bigger picture and how

they could help us bring our services to market.”

For more information please visit m2m.vodafone.com

Centralisedmanagement

Vodafone Global M2M



• Vodafone provides a singleglobal SIM that TomTom uses inits devices, enabling it to offer affordable connected services toits customers in 34 countries.

• Vodafone has helped TomTomto transform its businessand to build and maintain itscompetitive advantage, withM2M connectivity at the heart of its customer proposition.

• Vodafone simpliesmanagement for TomTom with asingle Global Account Manager,and central invoicing andreporting.

“Services are the future for navigation, and we expect

to build a whole business model around connected

navigation” says van Keulen. “We will bring richer services

to our Personal Navigation Devices, and we are going

to do that with Vodafone’s global Subscriber Identity

Module (SIM).”

Key benets

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m2m.vodafone.com

Vodafone Group 2010. This document is issued by Vodafone in condence and is not to be reproduced in

whole or in part without the prior written permission of Vodafone. Vodafone and the Vodafone logos aretrademarks of the Vodafone Group. Other product and company names mentioned herein may be thetrademarks of their respective owners. The information contained in this publication is correct at time of going to print. Such information may be subject to change, and services may be modied supplementedor withdrawn by Vodafone without prior notice. All ser vices are subject to terms and conditions, copies of which may be obtained on request.

Vodafone Global M2M

With a standardised platform across the largest global 3G network, Vodafone Machine to Machine enablescompany systems to communicate cross borders and empowers organisations to transform their operationsand business potential - giving freedom to explore new market opportunities, the information and insight to

make business process and practice simpler and more cost efcient, and with access to real time data, morecontrol to better manage costs.

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VodafoneGlobalEnterprise Case Study TomTom