The Results Are In: Analytics Play a Key Role in Customer Retention

Posted: July 3rd, 2012 | Author: Leila Heijola | Filed under: News | Tags: , , , , , , , , | No Comments »

This year’s annual Comptel User Group will be one to beat – with visits to the Carlsberg Brewery and the famous amusement park, Tivoli, where many attendees rode the world’s oldest wooden rollercoaster. In addition to the fun had around Denmark, there were also many memorable conversations at the conference, most of which revolved around the customer experience.

Like at past user groups, Comptel held an interactive voting session where we polled our audience of customers and partners to gain deeper insights on the topic of analytics. The survey focused on customer retention strategies, including when and how to engage with subscribers, and what techniques telecom professionals are employing to keep them happy.

Sixty-seven percent of respondents said they believe inconsistent service quality and poor customer service are among the biggest contributors to churn. To help manage this, 64% of participants said anticipating subscribers needs with proactive care is one of the best strategies for handling service issues, like dropped calls, low bandwidth or sluggish file loading.

Some audience members mentioned that, now, the simple reality is many operators wait for customers to complain before addressing an issue. But as Stratecast analyst Jeff Cotrupe commented, it’s always better to be proactive – communications service providers (CSPs) must take on that active role to provide better service overall. And ultimately to reduce churn, it takes predictive and contextual analytics and personalized customer interaction capabilities.

For instance, following a service issue, 46% of respondents said that they would issue an apology, opportunity to upgrade or special discount to subscribers to boost loyalty. But when it comes to keeping customers satisfied, especially after a service issue, Telesperience analyst Teresa Cottam noted that CSPs’ response should depend on what is appropriate for each individual customer and situation. While an apology might be right for some, it might irk others. This is why the actions that CSPs take following an event should be rooted in analysis of subscriber data. Just as you want to personalise services, personalising a response to an outage or fail is equally as important.

Supporting this and signaling how pervasive analytics are becoming in the industry, three out offour attendees reported using analytics daily, weekly or monthly. This isn’t surprising given that almost half also believe targeted services are critical in mitigating turnover – an area where analytical insights play a crucial role.

Timing and context were deemed among the most important aspects for realising improvements in customer interaction and business performance. Building on this, participants saw a variety of attractive applications for advanced analytics to support business needs.

We at Comptel are thrilled for the industry to embrace analytics and contextual intelligence, and to see the new opportunities that will emerge from this for churn prevention, targeted marketing and other business opportunities. Did any of the results stand out to you? What do you think will have the most powerful effect on reducing churn?

To download the full presentation, click here.


What’s in Store for the Comptel User Group

Posted: October 4th, 2010 | Author: Olivier Suard | Filed under: Events | Tags: , , , , , , , , | 3 Comments »

Beaumont Estate, Old Windsor, Berkshire, England

Comptel is hosting its annual User Group (CUG) this week in Windsor in the U.K.  In its 13th year, the meeting provides Comptel’s customers and partners with an opportunity to exchange information with the company’s fulfillmentmediation and policy control experts and executive management—and most importantly, with each other.

Networking and social interaction are among the key goals of this event.  Supporting this initiative, we’ve developed a dynamic agenda that includes:

We’re excited about the CUG and our ability to keep an active forum for our customers and partners.  Comptel invites both those attending and those unable to make the event to participate in discussions on the blog, as our staff posts on some of the activities.


GTB 40 under 40 Summit: Is the Way Forward Dumb or Smart?

Posted: October 1st, 2010 | Author: Bob Machin | Filed under: Events | Tags: , , , , , , | No Comments »

London, September 27-28, 2010

Global Telecoms Business (GTB) hosted an invitation-only summit for 40 leading telecoms entrepreneurs under the age of 40 in 2010, drawn from operators and network, software and services suppliers (including Gareth Senior, Comptel’s CTO). Most nominees presented or participated in discussion panels. Around 35 of the 40 nominated executives attended; discussions were wide-ranging and provided an interesting barometer on the state of the industry.

The forty foresee a significantly changing role for telecoms, which unsurprisingly finds itself at yet another crossroads. What’s perhaps different—and encouraging—is that the industry is starting to look outwards rather than inward for its strategic direction, recognizing that telecoms will be less an ‘endpoint service’ but will increasingly play an enabling role inside other industries and in broader service eco-systems. Telecommunications could, for example:

–      provide monitoring and metering for advanced utilities, smart grids, fleets, road congestion management and so on;

–      be built into devices, or bundled with services (Amazon’s Kindle was often cited as a disruptive device), which could point to a similar approach with gaming and other single-or limited-use Internet devices; and

–      be at the heart of ‘vertical’ applications for business, government, public services and more.

Much was made of device connections overtaking person-to-person as a point of focus. ‘Fifty billion devices’ currently seems to be the industry’s most quoted statistic, projecting the number of devices which will be Internet-connected by 2020. By comparison, the industry has just crossed the five billion mark for connected humans. No one is prepared to make confident predictions about exactly what will result from all of this connectivity (and in particular, where the new revenue will come from), but it seems fair to say that some interesting business-to-business dynamics are likely to emerge over the next few years. The outlook for telecoms may be cloudy, but it’s far from dull.

At the same time as looking for innovation, there is evidence of real focus on ‘the plumbing’, or optimising networks for the most efficient use per subscriber, service or device, largely to disconnect ever-growing traffic volumes from the costs to which they are very closely aligned today. Nominees expressed confidence in the power of more adaptable, resilient, software-driven networks to make the network more cost-effective and scalable for future services. This was reinforced by the GSMA, which believes the capacity crunch can be overcome through a combination of:

–      Effective, variable pricing—particularly tiered- and QoS-based,

–      Spectral efficiencies,

–      New 200 and 800 MHz spectrum—and the refarmed 900 and 1800 MHz range,

–      General expansion and greater sharing of networks,

–      Traffic offload through Wi-Fi and femtocells, and

–      Better traffic management—using caching and compression techniques at the network edge.

If there was a single recurring theme, it was the question of ‘smart pipe vs. dumb pipe’. Most of the 40 are predicting some flavour of smart pipe—exploiting the capabilities of advanced networks to create sophisticated and differentiated communications services—but shading into a more enlightened approach to content than just ‘becoming a media company’. This could perhaps be best described as ‘smart business’, founded on network capabilities but selling content where real advantages exist (e.g. in location services or QoS dependency). A significant number still argue for a much closer focus on the network, however, tending towards a highly efficient ‘dumb pipe’, focusing on the wholesale provision of network services to other service providers and industries.

In the end, the most compelling analysis for me is one that looks at the argument in a less ‘polar’ way than ‘dumb vs smart’ would suggest, instead considering networks-into-content as a spectrum of value, with opportunities to capture varying lengths of the value chain depending on market position, market context and technology or business advantages.  Nothing new here? To judge from this conference, what’s new is a much more realistic weighing up of those factors than we’ve seen in recent years, which should help the market open up realistic new business and resist some very real challenges from rising Internet competitors.

These are themes that will no doubt be explored further at Comptel’s upcoming Comptel User Group (CUG) next week—watch this space.