Customer loyalty is a thing of the past in the telecom industry. Mobile operators, the world over are seeking to retain customers, decrease churn and increase ARPU. Personalization is a key consideration that operators need to pay attention to. According to a 2016 report by Accenture, 75% of consumers are more likely to buy from a retailer that recognizes them by name, recommends options based on past purchases, or know their purchase history. Then why should it be different for the telecom industry.
Currently, churn rate in developing markets ranges from 20% – 70%. In a recent survey, the world’s top 80 telcos ranked improving customer experience and satisfaction as their number one business priority and number one IT investment goal. There is a dire need for a platform that enables telcos to send out personalized and timely promotions in a quick launch framework that ensures customers are satisfied. In fact, telcos are trying to create meaningful interactions with their customers through various channels to analyse what customers are asking for and respond accordingly.
In 2015, the global mobile subscriber base crossed 7 billion and trying to communicate to customers through email blasts and age old generic marketing campaigns would be downright ineffective. This is where the dynamics of advanced analytics and big data step in. These algorithms can read through trillions of data bytes within a short span of time and capture dynamic changes in events, which are often missed by rule based, human defined research results.
To deliver outstanding results, telecom operators need to master the data that is generated. Overlaying a campaign approach on the analysed data will trigger appropriate marketing action. So, understanding real-time customer behavior guarantees an effective, pin-pointed solution.
If it is done right, what emerges can form the basis for more efficient operations and more effective marketing. With effective campaigns, a recent study showed 40% improvement in ARPU in a year. This data driven campaign approach can give operators a more complete, transparent view of customers, enabling new and more profitable ways of capturing and retaining them.