Market trends

The future of business communications

Gamma provides business communication services that are flexible, scalable and secure to meet today’s and tomorrow’s challenges. Underpinning the business and user trends are a number of technology and industry directions that support the overall changes in how businesses operate.

The opportunity for UX and CX to win in the Experience Economy

Consumer buying behaviours and expectations around service have changed drastically over the past few years. They expect a seamless, easy and intuitive user experience (UX), and are making decisions on purchases based on experiences rather than goods.

This is adding to what has been called the Experience Economy, which is projected to be worth $12bn by 2023. More than two thirds of businesses now compete on the basis of customer experience (CX) - a competition that is driving businesses to transform in order to remain relevant, avoid commoditisation and take advantage of the opportunity.

Gamma's response

Gamma understands the importance of CX and UX to differentiate in the Experience Economy, and has, therefore, significantly increased our investment in both.

In the last 24 months, we have invested significantly in both people and tools to better understand our customer and user needs; to help us to make more informed decisions about designing intuitive solutions to solve customer problems; and in turn, to build products that empower people to communicate and work smarter, together.

In 2020, we formed the Gamma CX function, demonstrating the importance of designing intended UX and CX as part of the Gamma product and technology strategy. The team covers several roles that are essential to supporting successful software design, including product owners, business analysts, UX designers and researchers, and digital content designers.

In addition to a highly skilled team, we’ve deployed a range of tools to build our customer insight. Utilising qualitative and quantitative data we can better understand the UX and critically drive improvements in our product and process design. We have also built the capability to run extensive research activities from surveys through to moderated and unmoderated testing of products, with an emphasis on prototype testing. This allows us to build prototypes quickly and at low cost, so that we can then test with users to capture early feedback that can, in turn, be reflected in our product designs.

Gamma has seen a wide range of benefits as a result of this approach: analytics have allowed us to identify customer pain points and iterate the product design to improve usability and accessibility; early prototyping allows us to test user reaction to our products and refine the designs quickly, at low cost and without distracting development teams. We’ve also seen a much greater focus on data-driven decision making as a result of research and empirical data, and we’ve seen cultural benefits of our teams learning new skills and allowing for increased collaboration.

We are excited to pass on the benefits of our increasing investment in CX and UX to our channel partners and users. 

Gamma and the market

Mission Labs is accelerating Gamma's ability to take advantage of transforming market

Hybrid here to stay

The end of the pandemic appears to be in sight. Yet, the world will be moving on with lasting change. In a recent survey by the Office of National Statistics 85% of adults currently homeworking wanted to use a "hybrid" approach of both home and office working in future*. Many organisations, large and small, will need to adapt to a hybrid working culture, enabling employees to continue to benefit from the work life balance they have come to value, as well as enjoying time back in the office with colleagues.

Despite many businesses transforming the way they work quickly, and with some even reporting a rise in productivity, having a dispersed workforce split between remote and office-based leads to new challenges in how employees collaborate and work.

Businesses need to ensure that those who prefer to work remotely have the same experience and opportunities as their office-based colleagues. In this light, cloud communications technology will play a vital role in the way businesses enable their employees to collaborate and communicate efficiently, regardless of their location.

Gamma's response

As one of the leading providers of UCaaS in the UK and Europe for 20 years, Gamma is well positioned to support businesses in the transition to a full hybrid working environment.

Our comprehensive portfolio of communications solutions and services allows us to cater for the short and long-term needs of a variety of businesses, adapting to their challenges and requirements.

In 2021, Gamma continued to work closely with Microsoft to deliver enhanced calling capabilities within Teams. Building on our position as the UK's No.1 SIP provider and the acquisition of Exactive, we were proud to join the Operator Connect for Microsoft Teams programme.

Operator Connect, a new operator-managed programme from Microsoft designed to enable seamless and integrated PSTN calling to Teams, allows us to deliver a reliable and secure service to easily maximise value from their Microsoft Teams environment.

In addition, Gamma also deepened its interconnection with Microsoft’s applications with an enhancement to its Direct Routing proposition and a new PBX integration for Microsoft Teams.

Building on the previously released Direct Routing for Microsoft Teams proposition, we expanded the solution to automate and simplify the provisioning experience with the launch of the Gamma Voice application. We also launched Horizon for Microsoft Teams, a bolt-on solution to Horizon bringing the features of Gamma’s leading business-grade cloud PBX within the Microsoft Teams environment.

Our wide range of products to enable Microsoft Teams calling allows us to deliver tailored solutions for our customers and their team, giving them flexibility and adapting to their business requirements.

The addition of these solutions to our portfolio, coupled with our Managed Services solution and our 15 years’ experience enabling voice solutions for Microsoft Teams, perfectly positions Gamma to help our customers navigate the challenges of hybrid working and to offer our channel partners different routes to market. 

* Business and individual attitudes towards the future of homeworking, UK: April to May 2021 Office for National Statistics (ons.gov.uk).

Gamma and the market

Gamma provides calling capabilities for Microsoft Teams

Fundamentals are more important than ever

With 90% of enterprises having at least one application or part of it in the cloud in 2020**, the need for stable, reliable and secure connectivity and bandwidth has never been more important.

Uninterrupted and good quality access, the fundamental of any cloud-based application, is now simply expected by business users and their clients. They require an infrastructure provider that is able to maintain access to cloud-based applications, irrespective of whether that application supports video, voice or simply document sharing.

Moreover, as many people continue to work away from the office, whether at home or on the road, mobile connectivity has grown in popularity for businesses hoping to deliver the same experience to their employees, regardless of location.

Reliability of service, coupled with consistent, quality support, has become a key differentiator in the cloud communications market, as businesses simply can't afford any downtime and require a provider that can support through challenging and transformational times.

Gamma's response

Gamma fully understands the importance of connectivity to ensure application quality and efficiency.

Built on the back of our strong network, our fixed and mobile connectivity products deliver fast, secure and reliable access, no matter the operational size. This is supported by our highly-skilled group of UK-based support staff and engineers, ready to help if a problem were to occur.

In 2021, we strengthened our partnership with Three UK to enhance our Gamma Mobile service. Gamma Mobile customers can now benefit from 99% outdoor coverage and the fastest 5G network in the UK***. The service allows businesses to give their employees the capability to seamlessly work on the move to a similar standard they would experience in the office.

In addition, Gamma also expanded our Access portfolio to include Single Order Generic Ethernet Access (SoGEA) broadband to respond to the changes in the UK telecom infrastructure due to the PSTN Switch Off.

Customer service also continues to be fundamental to achieving our mission to provide straightforward cloud communication and collaboration services for business. Our Net Promoter Score (NPS) results are consistently above industry average, and we continuously strive to deliver service excellence.

Moreover, beyond the day-to-day customer service support, we are proud to support our customers and partners through challenging and unprecedented times, as demonstrated by our Support and Recovery Packages launched to help channel businesses weather the COVID-19 storm.

** 451 Research.
*** According to Ookla, 2021.

Gamma and the market

Gamma awarded Best Lockdown Project/Initiative at CRN Channel Awards 2021

Gamma and the market

Gamma celebrates National Customer Service Week

Also in this section

Key to strategy

  1. Cloud Telephony and UCaaS Evolve our strong Cloud telephony position into the UCaaS market
  2. Fixed and Mobile Telecom Build on our fixed and mobile telecom strength to differentiate our proposition from pure OTTs
  3. Company Expansion Expand into Europe to gain continued growth and scale
  4. Digital progression Continue to build on our digital capabilities to assure agility and sustain competitiveness

Key to KPIs

  1. Revenue
  2. Gross profit
  3. Gross margin
  4. Adjusted EBITDA
  5. Cash
  6. Cash generated by operations
  7. EPS
  8. Fully diluted adjusted EPS

Key to risks

  1. Unplanned service disruption
  2. Data loss and cyber attacks
  3. Over-reliance on suppliers
  4. Inability to attract and retain top talent
  5. Uncertain competitive landscape
  6. Price erosion
  7. Legal and regulatory non-compliance
  8. Unsuccessful M&A strategies

The opportunity for UX and CX to win in the Experience economy

Hybrid here to stay

Fundamentals are more important than ever

The ESG Committee oversees the development and activity of Gamma's ESG agenda.