Graceful Growth Consulting (India) Private Limited · Attracting thousands of new subscribers is...
Transcript of Graceful Growth Consulting (India) Private Limited · Attracting thousands of new subscribers is...
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Graceful Growth Consulting (India) Private Limited
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The Indian Telecom Industry
•3 Insight . Innovation . Agility
Draft National Telecom Policy - 2011
Opportunities
Increasing Mobile Subscribers
Untapped Rural Markets
Rising Internet Penetration
Development of Telecom Infrastructure
Growth in MVAS
Telecom Equipment Market
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Convergence, Consolidation & Competition
Today, numerous industry challenges are forcing
telecom companies to streamline operations and
increase competitive agility
The challenges include:
Tariff war, Lower ARPU and multiple operators in each circle resulting in profit decline
Demanding and volatile users, Multiple SIMS, shift from Customer Market Share to Revenue Market Share (RMS)
Convergence of Service, 3G and BWA Rollout
Industry Consolidation
Increased competition and diminishing revenue streams
Rural Penetration
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Can Soft-Computing Techniques help Managing these Challenges?
Insight . Innovation . Agility
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Churn Management – A bottom line Issue
Attracting thousands of new subscribers is worthless if an equal number are leaving (MNP Issue)
Minimizing customer churn provides a number of benefits, such as:
Minor investment in acquiring a new customer
Higher efficiency in network usage
Increase of added-value sales to long term customers
Decrease of expenditure on help desk
Decrease of exposure to frauds and bad debts
Higher confidence of investors
Insight . Innovation . Agility
First Thing First
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Churn can be defined and measured in different ways:
“Absolute” Churn. number of subscribers disconnected, as a percentage of the subscriber base over a given period
“Line” or “Service” Churn. number of lines or services disconnected, as a percentage of the total amount of lines or services subscribed by the customers
“Primary Churn”. number of defections
“Secondary Churn”. drop in traffic volume, with respect to different typology of calls
Insight . Innovation . Agility
Churn Management – What it means?
Measuring churn is getting more and more difficult
Growing tendency for Business users to split their business between several competing fixed network operators
Carrier selection enables Residential customers to make different kind of calls with different operators
Carrier pre-selection and Unbundling of the Local Loop makes it very difficult to profile customers according to their “telecommunication needs”
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Developing a Churn Analysis system based upon data mining technology to analyze the customer database
and predict churn
Insight . Innovation . Agility
Example: Predict churn/no churn situation of any
particular customer given 5 months of historical data
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•21 millions of residential customers
•23 millions of customers
•2 millions of business customers
•Usage patterns analysis
of Voice Services by
single subscriber line
•Usage patterns analysis
of Voice Services by
subscriber line, contract,
company, etc.
•Usage patterns analysis
of VAS by single
subscriber line
Solution Scope (Case Study)
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Application Framework
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Data Understanding
Customer
Data Warehouse
Input Data
Customer demographics
Basic customer information
Service Profile
Products/services purchased by
each customer.
Tariff plans
Details of the tariff scheme in
use
Extra service information
Special plans / rates
Service bundles
Call data aggregated by month
Billing data aggregated by
month
Complaint information
Fraud and bad debts data
Customer service contacts
Sales force contacts
Market data
13 operational systems (Sample Case)
(Subscriber Data in Multiple Systems)
More than 500 indicators per customer
Extraction delay: 2 months
Loading: on a monthly basis
Size: 1.5 Tb
Subscriber Data Management in 4G Network
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Keep More of Your Revenue Plug the leaks as they are discovered
The ability to predict where the new revenue leaks
may occur is the biggest opportunity for the bottom
line improvement
This means to perform in-depth revenue assurance
analysis on a billion or more transaction a day !
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Capturing more of the money earned from booked and delivered services is the best strategy for growth in the maturing markets such as mobile telephony and broadband Internet
Without the state-of-the-art revenue assurance solution, the endemically leaky situation (disparate networks, legacy systems, inconsistent data sets, policies and procedures that may have been resulted through M&A) can slow ROI
Insight . Innovation . Agility
Revenue Assurance as Growth Strategy
The network facing systems cause majority of the leaks
The focus, therefore, should be on switch-mediate-rating/billing processes
Solution providers address both customer facing and network facing systems
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Advanced analytics, such as profile-driven neural networks, look at non-linear interrelationships between thousands of data points at a time
Powerful pattern recognition capabilities enable them to recognize subtle, hidden and emerging patterns of revenue leakages across the network
Software based, automated, real-time analysis
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Revenue Leakage in Hand-off
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Predicting and Eliminating Leakage Before it Happens
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Next Generation Revenue Assurance Solutions are based on advanced analytics, such as analytic profiles and neural network models, to monitor the operations for revenue leakage and leakage risk
The new models are trained on actual data to spot the data-driven variable patterns associated with revenue leakage
Neural network based solutions detect more revenue leakage because they see more of what’s going on in the network
State-of-the art systems bring a vast amount of historical data to bear on real-time transactions through the use of ‘dynamic profiles’
Insight . Innovation . Agility
Next Generation Revenue Assurance Systems
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Marketing Analytics for Effective Campaign
Management
As an Example, is 3G adoption a Campaign issue?
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Marketing analytics
Marketing analytics is extremely a customer-centric process and it primarily
utilizes the statistical and the advanced mathematical techniques for predicting
the future behavioral characteristics and the product or the service preferences of the customers based on the historical information
The Marketing Analytics helps to:
Understand the customers
Identify customer segments and also approaching with new effective strategies for business
Identify the key markets
Manage the competitors , satisfaction and demands of the stake holders and ROI in business
Identify avenues to create business value
Analyze the data in the areas like
Customer Tenure
Customer interaction (demographic, behavioral, attitudinal
Customer net present value
Customer Preference
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Marketing analytics (Case study)
The data from the agencies like ABI, DNB
And the Internal customer data is used as source (14 M Records)
The data is cleansed and parsed to get all the data into standard
format using Trillium so that the further processing is simpler
Business names and addresses (site) are grouped based on
the location
Assignment of House Hold Ids to business and site
The grouping is done further into customers and prospects
The revenue roll-up for the logical groups business and site
High Level Process Flow:
The various process in the process flow are applied with well defined business
rules based on the requirements of the business user
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Finally – Have your bills right !
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Conclusions
According to the Science of Soul..
When in ‘Samshaya’ (Doubt or State of Indecision)..
A normal (Analytical) logic invariable takes us to ‘Viparyaya’ (Mistaken View, Incorrect Decision
against the real nature of things)
It is only through the experience, judgment (Inductive Reasoning / Fuzzy logic) helps us to
tilt towards the ‘Dharana’ (Decision)
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Thank You
Insight . Innovation . Agility
For Queries Contact
Phone: +91 97644 49718