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Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved. 1 Information Excellence Series Today’s Speaker Telecom BI Reference Architecture for enhancing customer intimacy A Practitioner’s Deep Dive Jawahar Sabapathy Principal Architect, CSG International

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Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.1

Information Excellence SeriesToday’s Speaker

Telecom BI Reference Architecture for enhancing customer intimacy

A Practitioner’s Deep Dive

Jawahar Sabapathy

Principal Architect, CSG International

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.2

Telecom Enterprise BI Reference ArchitectureEnhancing customer intimacyJawahar Sabapathy

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.3

In the Next Hour

Typical BI applications in different industries – 5 minutes Sample Telecom industry applications – 15 minutes Enterprise BI Reference Architecture - 15 minutes

• Subject areas• Source systems to get 360 degree view• Top level usecases realized using this

- OLAP as RADAR- Mining as targeted precision instrument for the usecases

Deep dive in to a specific application – say Retention Management – brief on important variables that are potential drivers, a process for valued customer retention. – 15 Mts

Challenges/Enablers for achieving BI unique to the industry –10 minutes

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.4

Vertical use-case scenarios

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.5

5

BI is Used Everywhere

TheBusiness Intelligence

Domain

Sales PatternsIntegrated Customer ViewCampaign ManagementMarket Basket AnalysisCustomer ValuationAnalytical CRM

Order Li fe CycleInventory AnalysisQA/TQMSupplier ComplianceDistribution AnalysisAnalytical SCM

Cal l Behavior AnalysisFraud DetectionChurn AnalysisService Usage AnalysisPromotion EffectivenessAnalytical CRM

Credit RiskMonetary RiskBASEL/AML/ALMAnalytical CRMInsurance rating engines

P & L AnalysisCompl ianceProfi tabilityPerformance AnalysisSegmentation Analysis

ALLINDUSTRIES

MFG

RETAIL TELECOM

FINANCIAL

GOVERNMENTNational SecurityCrime AnalysisHealthFraud DetectionContractsImmigration

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.6

6

BI is Used Everywhere

TheBusiness Intelligence

Domain

Sales PatternsIntegrated Customer ViewCampaign ManagementMarket Basket AnalysisCustomer ValuationAnalytical CRM

Order Li fe CycleInventory AnalysisQA/TQMSupplier ComplianceDistribution AnalysisAnalytical SCM

Cal l Behavior AnalysisFraud DetectionChurn AnalysisService Usage AnalysisPromotion EffectivenessAnalytical CRM

Credit RiskMonetary RiskBASEL/AML/ALMAnalytical CRMInsurance rating engines

P & L AnalysisCompl ianceProfi tabilityPerformance AnalysisSegmentation Analysis

ALLINDUSTRIES

MFG

RETAIL TELECOM

FINANCIAL

GOVERNMENTNational SecurityCrime AnalysisHealthFraud DetectionContractsImmigration

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.7

Telecom Vertical

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.8

Telecom Transformation

Fixed Mobile Voice Data + Voice Postpaid -> Prepaid “Minute Factories” -> App factories Outsourcing Waves Business models change ( Carriers, Tower businesses,

Franchisees)

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.9

India Key Points

Wait List -> On Demand Phone connection High Competitive industry Talkative nation Sachets market Growth reaching stages of revenue plateau, high

subscriber additions, multi sims Growth in rural markets Relatively Low Broadband penetration Mobile will be access to data / services / net and

community !

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.10

Transformation Axes

Technology driven requiring huge capex/opex (LTE re-engg) - 4G, All IP, M2M

Regulatory driven • on tariffs, security, customer care and SLA, MNP removing last

stickiness Competition driven

• forcing tariffs down, ask for higher innovation rate• Encourages better CRM / BI• New corners of competition such as OTT, more playersd vying for same

digital content / pipe Customer driven

• Profiling and Mass Customisation, More Data / Apps Business Model driven

• Cloud• Eco system of Content and App Providers, OTT, Value Chain

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.11

Telecom EA – TMF eToM / Business Process Framework

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.12

Telecom EA – TMF eToM / Business Process Framework

OperationsFulfillment Assurance Billing & Revenue

ManagementOperations Support & Readiness

Service Management &Operations

Resource Management &Operations

Supplier/Partner RelationshipManagement

Customer RelationshipManagement

Retention & Loyalty

Customer Interface Management

Selling

Resource Data Collection & Distribution

Supplier/Partner Interface Management

S/P PerformanceManagement

S/P Problem Reporting &Management

S/P Requisition

Management

ResourceProvisioning

ResourceTrouble

Management

ResourcePerformance Management

ServiceQuality

Management

ServiceProblem

Management

CustomerQoS / SLA

Management

S/P Settlements& Payments

Management

Service Guiding & Mediation

MarketingFulfillmentResponse

S/PRMSupport &Readiness

SM&O Support &Readiness

RM&O Support &Readiness

CRM Support &Readiness

ServiceConfiguration & Activation

OrderHandling

ProblemHandling

Bill Payments & Receivables Mgt.Bill Invoice

Management Manage

Billing Events Charging

Bill InquiryHandling

Resource Mediation& Reporting

Manage Workforce

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.13

Telecom EA – TMF eToM / Business Process Framework

InfrastructureLifecycle Management

ProductLifecycle Management

Strategy & Commit

Strategy, Infrastructure & Product

Marketing & Offer Management

Service Development & Management

Resource Development & Management

Supply Chain Development & Management

Sales Development

Product Marketing Communications

& Promotion

ServiceDevelopment &

Retirement

ResourceDevelopment &

Retirement

Supply Chain Development

& Change Management

MarketingCapability Delivery

Product & OfferCapability Delivery

Product & Offer Portfolio Planning

MarketStrategy &

Policy

ServiceCapabilityDelivery

Service Strategy & Planning

Resource Strategy & Planning

Supply ChainStrategy & Planning

ResourceCapabilityDelivery

Supply ChainCapabilityDelivery

Product & OfferDevelopment& Retirement

Sales Development

Product Marketing Communications

& Promotion

ServiceDevelopment &

Retirement

ResourceDevelopment &

Retirement

Supply Chain Development

& Change Management

MarketingCapability Delivery

Product & OfferCapability Delivery

Product & Offer Portfolio Planning

MarketStrategy &

Policy

ServiceCapabilityDelivery

Service Strategy & Planning

Resource Strategy & Planning

Supply ChainStrategy & Planning

ResourceCapabilityDelivery

Supply ChainCapabilityDelivery

Product & OfferDevelopment& Retirement

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.14

Telecom BI Applications

Sales & Marketing Product management and VAS Customer Care Financials Network & Traffic CxO Compliance & Regulatory

Being a system linking Ops to

Strategy, BI has to solve business problems using

transactions data

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.15

1

Decision Support Use-case Scenarios

Customer Intimacy - CRM• Segmentation by ARPU, Loyalty, Geography

- Use this for Larger Loyalty Card Program /Co Branding- Use this to sell advertisement space in Mobile Bills

• Study current High ARPU customers and refine Acquisition Strategy ( Location, Profile, Dealers, Payment Type)

• Package Migration for increased loyalty• Customer Care Feedback – to reduce customer care costs and shorten query

resolution, TCE• Use Segmentation as a backdrop in many applications such as network design,

Product Uptake, Policy decisions, Retention Churn / Retention

• Model, Segment, Offer and Retain

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.16

1

Decision Support Use-case Scenarios

Product Mgmt / Marketing• New product based on traffic ( micro segmentation) – Examples• New product creation/refine based on Distribution of key facts such as subs,

MoU, Invoice, Voucher Type, Prepaid Plan• Leverage Successful, high margin products into other geographies• Promotional Offers on Products using the Past Trends and justify financially –

Shorter Product Approval cycles • Understanding Major contributors to Revenue and Protect/Nurturing those

(80:20 rules)• Bundling of VAS products (what goes well , market basket)

- Broadband + 3G- Ring Tone and Ring Backs combo- Logos / Wall papers. Themes

Sales and Marketing• Identify affinity segments for up sell/cross sell of new services• Advertising / Co branding• CLM ( Right Offer to Right Customer at Right time) – See which offers have more uptake

– to what segment• Dealer Performance and Dealer Fraud

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.17

1

Decision Support Use case Scenarios

Finance• Payment Patterns and Promotional Schemes for early payment encouragement• Rated Revenue vs Invoiced Revenue – Effect of Subscription and Discounts on Products• Promotions Approval based on traffic trends – What If

Planning/ Traffic engg / Route Optimization• Where do we add next BSC ? • Where do we strengthen the POP Capacity ( for which circle , which operator ) • Where we need to add eNodeBs/ femto cells ? • Fault / Performance mgmt data trending and prediction• Evolution into CEM• Roaming Trends

Performance • Rank Circles by Customers / Revenues / Churners

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.18

DSS Use case Scenarios

Fraud / Revenue Assurance• Has specialized products that employ data analytics and

techniques such as finger printing, prediction to identify fraud and preventing them to minimize revenue leaks.

Enterprise Risk management

1

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.19

Summary Usecases

Customer Intimacy – Achieve and leverage Enterprise wide Products Performance - Measure / Track / Manage Targeted, personalised marketing – Closed Loop Trends and Patterns – Measure and Leverage for Products,

Traffic, Network Plans Popular Countries/Carriers – Measure and manage for

capacity, products Financials – Justification for new Products / Promos,

Campaign ROI, Effect of Discounts on revenue, 80-20 discoveries

Risk management• Fraud, RA

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.20

Tier One CSPs Rank their BI Priorities

0 2 4 6 8

Customer & Product ProfitabilityAnalysesMarket Segmentation

Customer Churn

Service Provisioning/ActivationAnalysesRevenue Assurance

Channel Performance

Customer Service Performance

Increasing Financial Visibility

Network PerformanceManagementNetwork Planning and designB

usin

ess

Inte

llige

nce

Prio

ritie

s

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.21

CUSTOMER INTIMACY PAYS DIVIDEND

TDWI Best Practices Awards: APAC operator

(Data Warehousing on a Limited Budget category)

Since launch in late 2000, the company has grown aggressively by pioneering new products and services, including eliminating contracts, offering free voicemail, and billing by the second. The strategy has shaken up the industry, leading some competitors to offer similar services. Company saw the need for a robust data warehousing system that would underpin the architecture and turn information about customers into vital business intelligence from day one. This meant it had to be up and running in less than four months.

IN UK, in successive surveys, company was rated to have BETTER NETWORK/COVEREGAE/QUALITY.

COMPARED TO ITS COMPETITION.

The SECRET IS………

Company is A MVNO!

HAS NO NETWORK OF ITS OWN!!

GETS CAPACITY FROM ITS COMPETITION!!!

CUSTOMER CARE CAN CREATE A GREAT SATISFACTION/PERCEPTION

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.22

Enterprise BI Architecture

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.23

Architectural components

Subject Areas Tuned, Comprehensive Data Model with detail and summaries enabling

slice & dice, drill down / drill thru.• Enabling 360 degree customer view

Source Systems Data Staging and Integration EDW Pre-select building blocks

• OLAP as RADAR including CXO Dashboard, BSCs• Mining • ETL/DB• Short Term R/T Profiling• CEM• Search and BI

Metadata / MDM Integrated business rules for specific apps

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.24

Subject Areas

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.25

Subject Areas

Usage Analysis Interconnect Usage Analysis IP Usage Analysis Customer Churn/Retention Customer Profiling Up-sell/Cross-Sell Sales/Marketing Campaign

management (Promotion Response)

Contact History Customer Orders, Order

Lifecycle, Order Fulfillment Customer Payment,

Customer Billing Revenue Analysis Prepaid Revenue Analysis

Contract Analysis Supplier Order Fulfillment Cost Analysis Sales Performance / Channel

Profitability Content Network Analysis Network Capacity SLA Compliance

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.26

Architecture at a glance

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.27

BI PlatformIntegrating Integrating customer insight into business customer insight into business processes and systemsprocesses and systems

Dimensions

Facts

Aggregates

Scoring History

Data Sources

Intelligence HubProfitability Voluntary

Churn

Channels

Email

Direct Mail

Scoring Engine

ETL

Search

IVR Survey

Segmentation Engine

Involuntary Churn

Customer Experience

Bad Debt, Credit score

Collections

Behavior

Response Attribution

Call Center

Customer Intelligence Platform

Performance Reporting

External Sources

Surveys

News/Internet

Source C

Web Service

ETL

CRM & Call Centre

Billing

Order Mgmt

Mediation

Network

SDP

OLAP/Visualization/CxODashboard

OSS

Meta Data

Presentation Layer

CEM

Campaigns

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.28

Top-down / Bottoms-Up

“… The data warehouse is nothing more than the union of all the data marts …” Ralph Kimball Dec. 29, 1997.

“You can catch all the minnows in the ocean and stack them together and they still do not make a whale.” Bill Inmon Jan. 8, 1998.

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.29

Source Systems

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.30

Source Systems - Dimensions

CRM/Customer Care• Customer Demographics (Age, Sex, Profession, Address & zip,

household) Dealer Management Billing

- Product / Services

Prepaid- Products, Vouchers

Reference• Cell Geography• PLMNs / Operating areas / Telcos

Include all business units ( Fixed, Mobile, ISP…)

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.31

Source Systems - Facts

Facts• Billing & Prepaid

- Rated usage, MoU, BoU- Invoices & Payment- Vouchers , Topups

• Mediation- Raw Minutes of Use, BoU

• Network- Usage, Traffic, Performance data, Faults

• SDP- Content, Content Provider- VAS

• Roaming & Interconnect• Call Centre

- Inbound events

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.32

Key Dimensions

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.33

Key Dimensions & facts

Demographics ARPU Length of Stay Products Geography Cell Geography Time Business Units Origin and Destination

analysis SNA

Calls / MoU / BoU / Events Invoice amounts Payments Topups Quote to Cash (Fulfilment

Velocity) Time to resolve # of churners, additions Suspense revenue Detail and Aggregates

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.34

Applications

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.35

Pre Integration / Pre-selection

Support popular, Industry standard• ETL, DB, OLAP, Mining, Marketing

Adapters for popular Billing systems, CRM, Mediation and Network

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.36

OLAP is your RADAR

platinum customers

Region 1 contributes highest

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.37

Radar High lights

Plan ABC/XYZ people are not only concentrating High ARPU, +

High Rated Amount High SMS Usage High GPRS/MMS Adapters High STD/ISD User

•Trend Setters and Early adapters, Loyal

Good target

customer base for the LTE Launch

Campaigns

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.38

Visualization evolution

#

#

#

#

#

#

#

#

#

#

#

#

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.39

Products Performance – Distributions

0

1000

2000

3000

4000

5000

6000

Plan Unlimited

Plan 2GB Plan Lite Plan M2M

DatainMB/month

See distribution of various facts ( Data Volume, Revenue, SMS,MMS, MoU) by dimensions such as Package, Customer segments to understand the distribution. Extremely useful in tuning Product offerings, fixing Free Units, Overage charges, financial modelling for What If.

Analyse by device categories to refine

Device Bundling plans

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.40

Retention Management

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.41

Satisfaction , Loyalty & Competition - HBR

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.42

Churn – some industry details

Barriers to switching communication providers been so low. MNP, Data ! And while loyalty tends to be high among older consumers, younger consumers

are accustomed to continuously shopping around for the best plans, features, and perhaps most importantly – the coolest phones.

According to global consulting firm,Accenture, the steady increase in customer churn rates is being driven by several factors, including equipment envy, flexible pricing plans, customer service, network performance, and number portability.

And as deregulation continues and technology advances, the players in the communications industry continue to expand beyond the traditional telecommunications companies to include cable providers, wireless service providers, satellite service operators, and broadband phone service providers.

Customer retention statistics for consideration:• Customer churn among cable and telecommunications companies is projected to cost

organizations up to $10 billion annually worldwide.• Carriers will lose 15% to 30% of their customers each year. In the U.S. alone, 20 to 30

million customers or more are expected to defect annually.

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.43

Area of focus for churn applications

Non-paymentBankruptcyFraud

Going to the competition (‘on system’ churn)

Affordability

Cancelling altogether (‘off system’ churn)DeathMoving out of service area

Stolen phone

No need

Network coverageService dissatisfactionBillingOld/broken equipment

PricingPromotion

What are the different facets of churn ?

Total churn(100%)

Uncontrollable reasons(10%)

Controllable reasons(65%)

Involuntary churn(25%)

Voluntary churn(75%)

Churn segments Examples of churnExamples of churn

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.44

Why do customers churn ?

Product Price

Product FeaturesComplaint Resolution

Branch LocationMistakes

Poor ServiceDeath

Long Queues

Other

0% 5% 10% 15% 20%

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.45

Churn Reduction Methods

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.46

Data Mining Techniques in Retention Management

The churn analysis consists of :• Comparing customers categorized as Churners and those categorized as

Non Churners according to their characteristics which are gathered from historical data.

• Identify the principal characteristic differences between Churners and Non churners.

• A churn model mathematically quantifies the pertinent correlations between these characteristics and the Churn score of each customer.

C hurn/CP S D isp lay ed va ria b le MOS _ FILE - Fi l te r cri teria (CH UR NE RS , 5 ) - Se g men t se le cte d 1 0 0 va l id cu sto me rs / 1 0 0 se le cted cu sto mers

+2 .00 0 0

+3 6 .00 0 0

N _R e sp N o n _C h urn e rs Ch u rne rs T o tal

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.47

Retention Management process

Prepare and Audit Churn Datamart with relevant variables and history, including customers who churned

Use tools to build, validate and train model (lift) Scoring of current customers Use OLAP to identify segments of interetst – customers

with high LTV, LoS, or e.g Use campaign management tools for design , execute

and track retention campaign Model Performance and stability over time

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.48

Churn model exampleVARIABLES CATEGORIES & WEIGHTS

Age <27 27-49 >=49 143,2 36,1 2,7

Months of Service <22 22-23 23-28 28-40 >=4050,6 68,5 78,9 -1,4 -3,2

Tariff Plan Code M0 M1 M2 M343,7 -34,6 5,3 11,3

Total Invoice M-4 <18 18-27 27-83 >=8310,8 57,6 33,4 29,7

# months to end of contract <2 >=245,6 33,0

# calls to call center <2 >=229,8 89,5

ZIP Code M0 M1 M2 M3 M4229,0 44,7 7,1 85,4 19,5

# calls to fixed line <5 5-12 12-15 15-18 >=1848,6 19,8 -13,3 48,4 21,2

# out calls to competitors <13 13-34 34-63 >=6339,4 13,6 70,8 30,9

Duration of out calls <19 >=1935,0 -1,0

Duration off peak calls <12 12-44 44-59 >=5939,7 15,1 68,3 27,7

Typical profile of a churner• Less than 27 years old• MoS : less than 28

months • Low M- 4 Invoice mostly

between 12 and 27 EURO• Calls Customer Care

more than twice a month• Calls between 45 and 60

minutes per month during off peak hours

• TariffPlanCode = A,M,Y,Z• ZIPCode = 22, 44, 48, 79

• Social Network Analysis

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.49

Key Variables

Data Modeling Campaign Available Identification. Critical Critical Churn information. Critical - Subscription information. Critical Critical Names & addresses - (Critical) Handset type & manufacturer Critical Critical Customer information Critical Critical Socio-demographic information Nice to have Nice to have Billing information Critical Critical Services and Provisioning Critical Critical Bundle of minutes Critical Critical Customer Service information Critical Critical Out-going traffic, per destination Critical Critical Out-going traffic, per period of the day Critical Critical In-coming traffic, per destination Critical Critical In-coming traffic, per period of the day Critical Critical Roaming information Critical Critical Network quality Critical Critical

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.50

Evolving Tactics for retention mgmt

Bundling increases stickiness–• As much of a customer acquisition as a customer retention tool,• the more products a consumer has from a single vendor, the higher

the exit barrier.

Predictive Analysis –• Customer data analytics allow CSPs to analyze• customer profitability and predict churn.

Outreach –• Historically, outbound activity in the communications sector has

almost entirely been devoted to customer acquisition. Now, outreach programs actively target high-value, at-risk customers with marketing offers to prevent churn. * careful – anti spam, regulatory compliance

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.51

Final Nail

Technology, services, products can be copied - but not the organizational culture

Leverage and exploit data fullest to your advantage Maximize every customer interaction

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.52

5

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.53

Industry Specific Challenges to BI

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.54

Telecom EBI challenges / Pros

Data !!! Big Data• Large sub base – 10 – 150 million for e.g• Heavy transactions / sub / day – 30+

Long Medium trends vs quick RT profiles Data availability, quality

• Harder to get in some places Terminology / Business Rules & MDM Internal Support / Exec Buy-in Longer Implementation times Pros

• Have the contact and billing relationship• Almost all data is collectable automatically

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.55

5

Hurdles Implementing Business Intelligence

0 2 4 6 8

Accuracy of data from sourcesystemsBusiness Justification

Disparate data definitions

Internal organizationalresistanceScalability

Availability of skilled staff

Volume of Available Data

Accessibility to legacy systems

Availability of Solutions

1= Smallest Obstacle, 10=Largest Obstacle

Copyright © 2011 CSG Systems International, Inc. and/or its affiliates (“CSG International”). All rights reserved.56

Thank You!