Tuesday, 13 October 2015 02:32

VIDEO Interview: MyNetFone CEO talks plans, VoIP, NBN, mergers and more

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While MyNetFone’s business and residential VoIP service makes it Australia 5th largest voice provider, the company’s ISP plan for renters has seen impressive sales since launching.

MyNetFone has now been providing VoIP services to Australians for over a decade, with a solid business in providing residential and business class VoIP services.

The company has been so successful at this that it has grown to become Australia’s fifth largest voice provider.

I remember meeting Rene Sugo, MyNetFone’s CEO, and a co-founder when the company first started in a small office in Ultimo, but the fact it is now a multifaceted provider of communications services is a testimony to the business smarts of its executives.

Indeed, MyNetFone or MNF has always been very innovative, with Sugo noting the company’s willingness to create new business models - which we speak about with Sugo and much more in a video interview embedded a few paragraphs below. 

An excellent example of this was the launch last month’s of Australia’s first ISP plan specifically for renters, which iTWire covered here, and which gives renters the flexibility to move to a new premises without paying expensive relocation, disconnection and reconnection fees, while still offering competitive download limits at an affordable price.

iTWire colleague Ray Shaw also interviewed Rene Sugo back in April, with that article available to read here.

Following on from MNF’s new Internet plan for renters, I was invited to talk with Sugo and asked if I could interview him on video.

So, we did, and I asked Sugo a series of questions. I wanted to know what gave MNF the idea for a renter’s Internet plan, what effect the latest and enduring craze for SVOD streaming TV and movie services have had on MNF’s network.

I asked Sugo for his thoughts on the state of the NBN as we know it today, with FTTN finally rolling out and the MTM mix of connectivity finally starting to roll out.

I noted that to be a successful company, especially in the telecommunications business, you need to have great customer service, and asked what MNF has done in this regard.

I also asked if Sugo had any comment on the recent Vocus/M2 merger, as well as the billion dollar TPG/Vodafone deal, and finished by up asking Sugo about the best piece of advice he has ever received to help him get where he is today, and what his final message was to readers and viewers.

In terms of the Internet Renter’s plan, Sugo explained that in the first month after launch, the renter’s plan has accounted for an impressive 36% of new customer sales in DSL, which is an outstanding result an a great validation of the idea and its introduction.

After all - things like a free modem, free relocation and discounted setup are things you only ever see in a 2-year contract, but why couldn’t these benefits be available to renters, some of whom won’t even be in the same place in two years, let alone one.

It’s best at this stage to watch the interview for the full Sugo effect - he is a great interview subject and clearly knows his business and company very well, and has a great team of staff all working to grow the MNF business.

Here is the video - the article continues thereafter with some notes kindly provided by Sugo after the interview, so there will be some minor differences in the text below and the answers given - as well as us talking about things not listed below - which is another great reason to watch the video for yourself.

In regards to the NBN and the MTM rollout, Sugo explains that it’s probably the most economically and logistically sensible way to go, albeit not as nice as an all-fibre solution, but that it gives people ‘the quickest option of getting onto an NBN service – so we have no problems with that.’

There are worries around the 121 POI around Australia which might create a two-class economy that isn’t what the NBN was intended to create when it was first set up.

When it comes to customer service, Sugo knows that customers are smarter than ever before, with social media and the web enabling people to be more informed and able to take more action - in addition to customers expecting 24x7 service.

With MNF having been a pioneer with its online shop, self service portal and plug and play experiences, the company is now ‘in the middle of re-inventing the self service experience, and you will see a new range of portals and web apps coming out empowering our customers to self serve and maximise their experiences in dealing with MNF – so look out for that soon.’

As for VoIP - Sugo says it is well and truly mainstream - customers no longer worry how it works, they just care that it does work! That means a quality connection to your Internet provider, but with all calls over the NBN and with VoLTE on 4G networks to become VoIP calls, VoIP will finally become the dominant voice communications technology.

In terms of mergers, Sugo believes the mergers will be great for Vocus and M2, and are good for competition in Australia. Sugo also appreciates that the NBN era will bring genuine choice between providers, and says he thinks ‘there is also room for a new generation of mid-tier providers to emerge into the voice created by industry consolidation – but these new providers will need a new value proposition to entice customers – and that will be the challenge for new entrants into the industry.’

When it comes to good advice worth sharing, he advises us all to follow our dreams, don’t let people put you down, believe in who you are and what you do and importantly - never burn your bridges! It’s a small world, if you burn your bridges it could come back to haunt you, and one day, your competitors could be your customers in the future.

For his final message, Sugo notes that while MNF has been around for over 10 years, he and his team ‘will be here for the long run – we might be the dark horse of the Australian teclo industry,’ but ‘we are now the largest VoIP provider, and the 5th largest voice provider in Australia.’

Sugo says that MNF is ‘a genuine alternative choice for your voice communications – we have great technology, great commercial offers and a great team of people – so don’t hesitate to give us a go!’

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Alex Zaharov-Reutt

Alex Zaharov-Reutt is iTWire's Technology Editor is one of Australia’s best-known technology journalists and consumer tech experts, Alex has appeared in his capacity as technology expert on all of Australia’s free-to-air and pay TV networks on all the major news and current affairs programs, on commercial and public radio, and technology, lifestyle and reality TV shows. Visit Alex at Twitter here.

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