Globe Telecom, commonly known as Globe, is a leading telecommunications company in the Philippines. Globe Telecom and Innove Communications rose up to meet their corporate customers demands for complete and relevant solutions, as well as integrated services with the creation of the Enterprise Business Group.
As technology rapidly changes, GlobeNet and GlobeData, the two brands under the Wireline Data Group of Globe Telecom, have fused into one powerful name to serve up integrated winning solutions for their respective customers. GlobeQUEST comes to fore, leveraging on both brands' capabilities and operational strengths. With GlobeQUEST, the Globe Wireline Data proposition materializes, that is to create relevant solutions for business customers based on ubiquitous, value-priced, high-speed data services over a nationwide broadband network.
Globe Telecom’s GlobeQUEST greatly helped DOLE's pineapple plantation in Polomolok, General Santos City. An article came up stating the GlobeQUEST’s partake in the success of DOLE. Here is a brief excerpt from the news article:
"Without technology, we couldn't survive," said Kevin Davis, president of Dole Philippines. "Now, the whole farm is mapped in GPS (geographic positioning system). Our workers can easily monitor which crops are ready for harvest, and which areas are ready for planting." added Davis.
Aside from monitoring the crops, another important aspect of operations in Dole is its plant-to-plant communication. A good communication infrastructure should be in place to ensure the efficiency of operations. For Dole Philippines, a glitch of any of their systems is not a risk they are willing to take.
In 2001, Dole itself was managing its telecommunications needs. But the company decided to focus more on food production rather than on maintenance of their network, so they signed GlobeQUEST to take care of their worries. "What GlobeQUEST did for Dole was to maintain its point-to-point regional network via international private leased line." said Ryan Pangilinan, GlobeQUEST manufacturing segment marketing manager.
However, this is still not as cost-effective as having all the regional networks connected to each other. Because of this, GlobeQUEST is currently migrating Dole's domestic and regional network to a Multi-Protocol Label Switching (MPLS)-based Internet Protocol-Virtual Private Network (IP-VPN). "This enables any of Dole's domestic and regional sites to coordinate seamlessly, 24/7, through voice and data communications," said Pangilinan.
The network is built over a fully digital, nationwide backbone using Synchronous Digital Hierarchy (SDH), Asynchronous Transfer Mode (ATM), and Internet Protocol on both fiber optic and digital microwave technologies. International connections are made using GlobeQUEST-owned capacity on APCN2 (Asia Pacific Cable Network 2), JUCN (Japan-US Cable Network), C2C, and CUCN.
"GlobeQUEST provides Dole with inter-connectivity with our offices worldwide. Since we export perishable goods, it is a big help to have seamless collaboration with the other regional offices," said Jonah Edrolin, telecommunications, automation, and management information manager at Dole Philippines. "It helps us keep track of what stocks we need to replenish so that we could deliver faster."
Another amazing contribution of Globe in the M-commerce industry is GCash.
It is one of the most impressing from the onset, Globe G-Cash was envisioned as an integrated mobile payment system. A year since its introduction, the first wireless, cashless and cardless payment service in the country has made the convenience and reliability of M-Commerce.
Globe is working with CGAP to create ecosystems or mini-economies with multiple locations for people to transact with GCASH, their mobile banking service, via SMS messaging. Through intensive marketing, targeted customer education, and rapid sign-up and accreditation of retailers, the project will bring mobile phone-based payments and money transfer services for the first time to three predominantly low-income rural provinces. A total of 80,000 GCASH users in the three pilot provinces are expected to be reached, with greater success than would otherwise be possible without CGAP’s support.
In one of the interviews of the President of G-Xchange, Inc. (a part of the Globe Telecom’s companies), Rizza Maniego-Eala last November 25, 2008 to tell more about GCash that this is just the latest in a series of innovative efforts by Globe to expand financial services using mobile phones.
Here is her interview by Jim Rosenberg:
Jim: How far would you say GCASH has evolved in terms of developing ecosystems for mobile commerce?
Rizza: Today, GCASH has over 6,000 domestic outlets in the Philippines servicing our 1.9 million GCASH subscribers. Recently we renewed our partnership with The Rural Bankers Association of the Philippines (RBAP) to further expand existing mobile phone banking services of rural banks. Using the GCASH payment platform and developed with RBAP’s Micro-enterprise Access to Banking Services (MABS) program, the convenience of mobile banking, many rural banks are using GCASH integrated into their operations benefiting the bank by being able to reach more clients and provide an additional channel for accessing the various financial services offered.
We’ve also begun a pilot transfer program for Filipinos in Hawaii, Singapore, Hong Kong and the United Arab Emirates that allows them to send Western Union mobile money transfers directly to friends and family who are GCASH subscribers in the Philippines. The cross-border service supports low-principal and high-frequency remittances at much lower rates.
Jim: Describe the importance of pricing for the lower income segment of the market.
Rizza: In the Philippines, the greater portion of the population lives at or below poverty line. In spite of this, there are over 60 million mobile phone subscribers and around 98% are on prepaid services. GCASH benefits the lower income segments because it reduces the transaction fees and costs to send and receive money. GCASH requires only a mobile phone and a one-time SMS-based registration, with a minimal charge of U$0.02 (P1.00) per transaction. Subscribers can do their transactions at home instead of traveling several kilometers to rural banks to pay or do their banking transactions.
Jim: For those of us who are less familiar with the Philippines, describe the importance of remittances to the country, as well as to your business.
Rizza: The Philippines received international remittances worth an estimated $16 billion (this year alone) constituting about 13% of our GDP. The continued growth of remittances to the Philippines plays an integral role in the strength of the financial sector and our economy as a whole. The Philippine domestic remittance profile is also growing although it is quite tough to find third party data estimating the size of this market. As both international and domestic remittances form a large part of our country’s economy, we continue to look ways in which GCASH can provide low-priced, secure and easily accessible solutions for our growing merchant partner-base and various consumer segments.
Jim: What are the benefits of GCASH to your partners on the ground – banking agents?
Rizza: GCASH is all about convenience and lower transaction costs. For partner establishments, GCASH has the potential of reducing costs and promoting efficiency. Since transactions are electronic, their processing capabilities are automated thereby reducing manual handling and potential reducing back office costs. The reduction of operating cost could translate to increased margins, better value passed on to our partners’ customers, or both. Utilizing GCASH to help in our partners’ automation and increased access to more customers requires almost zero capital expenditure on their part.
To date, G-Cash has earned the following awards:
· GSM Awards: Best Mobile Messaging Service; Feb. ‘05
· Mobile News Asia: Most Innovative Mobile Operator Service; June ‘05
· GMA (Global Messaging Awards): Best M-commerce Service Application; June ‘05
· A gora Awards: World Class Excellence in Phil. Marketing; Nov. ‘05
· MCEA (Marketing Communications Effectiveness Awards): Gold prize in the Most Effective
New Service Introduction category; Aug. ‘05
Indeed G-Cash has gone a long way in so short a time. Still the biggest innovation to date,
G-Cash’s promise of payments for products and services at the speed of an SMS continues to
excite the imagination of Filipinos everywhere. Its ease and convenience also makes G-Cash a
popular upgrade for many companies, helping to boost productivity when they enter the arena
of mobile commerce.
“(The support) of G-Cash will go a long way in sustaining much-needed projects such as disaster
relief and rehabilitation, blood donation drives, and barangay-based disaster preparedness
training programs.”
-Sen. Richard Gordon, Philippine National Red Cross, Chairperson
“We’re looking forward to implementing RBAP Text-a-Payment because it reduces costs, eliminates
cash-in-transit risk, and brings direct cost savings to our clients.”
-Benedict Romualdez Tudtud, Rural Bank of Mandaue, Inc, Member of the Board of Directors
“Remittance services are not always readily available in rural areas, and G-Cash helps TelOf
facilitate such services,”
-Atty. Graciano Sitchon, TelOf, Executive Director.
“Mas mabilis ang G-Cash kumpara sa ibang money transfer, secure[d] pa (G-Cash is faster compared
to other money transfers, plus it’s secure).”
-Arwin Reyes, a registered G-Cash subscriber.
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