IF INSTITUTIONS WANT TO SAVE THEN WE HAVE A COMMON GOAL
Tele2 is one of the leading telecommunication operators in Europe. In all its markets the company relies on the same principle – to offer good service quality at a low price. Tele2 ensures quality affordable telecommunication services to all its customers – individuals, businesses or institutions.
Tele2 promotes a competitive environment. It’s effective competition means that Lithuania has the lowest mobile telephone rates in the EU. Tele2 would like all operators to have equal procurement and market regulation conditions, as this is the main factor that creates competitiveness and therefore the opportunity for users to choose the service with the best price and quality.
All the mobile operators offer the same quality service so Tele2 invites business and public sector customers to organise tenders and select their telecommunication services by price. The company is actively involved in the lowest price tenders organised by the Central Procurement Authority (CPO). Operators participating in these tenders have shown that they comply with the requirements for quality and range of services and compete solely on price.
A few years ago, a survey conducted by the Public Procurement Office (PPO) showed that public sector organisations purchasing mobile communications services via the CPO paid on average 8 times less than if they had purchased these services independently. It is estimated that by using the CPO they save as much as LTL 28.8 million per year.
Since Tele2 started participating in procurement tenders, it has seen a threefold increase in its business. Those who use the opportunity of transparent competition by purchasing via the CPO get mobile communications services at the lowest price. In addition, by purchasing via the CPO system, organisations save both tendering and time costs.
That contracts concluded as a result of fair tenders help save and do not disappoint was confirmed last year by a survey conducted by the market research company RAIT. Two-thirds (68%) of contracting authorities who started using Tele2 reduced their communications costs by an average 39%. In addition, almost 65% of the organisations stated that after moving to the Tele2 network, communications and customer service quality remained the same or improved.
Quality service does not necessarily mean high prices. We know that the combination of good price and quality is particularly important for public sector organisations and we deliver it. Our aim in participating in public tenders is to see that as little taxpayers’ money as possible is spent on mobile communications services.
Petras Masiulis, CEO, Tele2.
Competition is one of the most important factors leading to falling prices. […] Of course, competition was encouraged by the arrival of the third mobile operator in the market and the business model principles. Users want lower prices and because the mobile communications market is sensitive to the actions of competitors, falling prices and the introduction of technologies by one service provider forced other mobile operators to respond respectively.
Feliksas Dobrovolskis Felix, Director of the Communications Regulatory Authority (“Verslo žinios”, 9 August, 2013)
TENDERS MEAN COMPETITION
Tele2 is actively promoting competition in public sector services provision. The company invites budgetary organisations to submit queries to mobile communications companies and to review their existing mobile communications contracts. Fair competition between operators will help public sector organisations save money and have quality service at a lower price. By reducing communications costs, the money saved can be used for other more important activities.
It is easy to announce a tender for mobile communications service – you just have to complete a simplified form and send it to the mobile communications operators. Many agencies have already done so. We invite you too to follow their example.
So, do a little market research or organise a simplified open tender for your mobile communications services. We suggest opting for the lowest price criterion including all taxes for the entire contract period. This will allow for an objective comparison of the proposals made by all operators.
There is no doubt that even by just announcing a tender process or market research survey you will receive reviewed and updated proposals for your mobile communications services from all the operators and therefore reduce your costs. Suppliers will compete and you will win.