In recent years there has been a dramatic shift across industries. This shift has seen many businesses, including Telcos integrating innovative technological advancements, such as advanced analytics, to deliver superior products and services and improve customer experience. Customer analytics in telecoms is been critical to this. In the blog below, we answer the question, why is customer analytics vital to the success of a Telco?
What is Customer Analytics?
To understand the value of customer analytics in telecoms, it is vital to define these advanced analytics. In simple terms, customer analytics refers to collecting, organising and analysing customers’ data across several channels, interactions and platforms.
In the context of a Telco, these kinds of analytics track the entire customer lifecycle and allow you to drill down into specific detail related to your customers purchasing and user behaviour. This includes information pertaining to the following:
- Where they live
- Their spending patterns
- The devices they use
- The base towers they utilise
- The products they use
- What services they are using
- How they are using their services and products
In this way, customer analytics in telecoms provide a detailed view of a customer’s behaviour, trends and usage patterns. The Telco can then use this information to tailor effective packages, offer competitive pricing, and identify ways to attract and retain customers while reducing customer churn. It must be noted that the customer’s privacy is completely protected throughout this process of analysing customer data.
Why are Customer Analytics In Telecoms Important?
In today’s digital world, customers are constantly bombarded with new services and packages. This is especially true within the competitive telecommunications market. Customers can choose from various service providers and can find all the information they need at the touch of a button, enabling them to compare prices and packages. So, what sets one service provider apart from another? The answer lies in services that meet customer needs, competitive pricing, and a great customer experience. This may seem like common knowledge, but not many Telcos can achieve this effectively. This is where customer analytics comes in.
Customer analytics in telecoms can provide Telcos with an accurate view of their customer base by combining data from different platforms. This includes how customers are using their mobile and digital services. By utilising this information, a Telco can make informed business decisions related to new services and offerings.
Armed with these valuable insights, a Telco can personalise services to meet the needs of different customer segments and effectively target these customers through marketing campaigns. In this way, the Telco is meeting customers’ needs, engaging with them and improving customer experience simultaneously.
How can Customer Analytics be used for Telecom Companies?
From the above, we have determined that a Telco can better meet customers’ needs and improve engagement and overall experience by utilising customer analytics. But what impact does this have on Telco’s bottom line?
There is no doubt that this kind of meaningful data can make a significant difference in assisting a Telco with developing products and services that its customers want. This directly reduces churn, as a happy customer satisfied with their service will not be looking for other service providers. In this way, a Telco will have a competitive edge.
By utilising these analytics, Telcos can better target their customer base and run campaigns focused on upselling specific products and services to specific customer segments to increase revenue. This saves on marketing expenses and resources as you know whom you need to target.
Customer analytics in telecoms allows a Telco to identify issues or problems related to service or the network. In doing so, the Telco can rectify this to improve the overall customer experience. Providing a great customer experience is vital to reducing customer churn and, thus, improving revenue.
How can Customer Analytics In Telecoms Benefit Customers?
We have looked at how Telcos benefit from using customer analytics, but there is no doubt that customers benefit as well.
Customers will reap the benefits of a Telco utilising customer analytics as this holistic view combines data from different platforms. When a Telco has a complete view of customer data, it can develop products in line with customers’ needs and wants. In this way, customers will get personalised products and services that will positively impact their lives.
Since customer analytics in telecoms also provide insight into a customer’s network experience, the Telco can see if the customer is experiencing dropped calls or poor call quality and effectively manage this problem, even before the customer contacts them. This proactive approach only enhances the customer experience.
These analytics also provide the insights that lead to the development of personalised value-added services that speak to customer needs. Through these insights, customers are also provided information that would benefit them, for example, information on the benefits of moving from the 4G network to the 5G network and packages to facilitate this.
From the above, it is clear that both customers and Telcos directly benefit from the use of customer analytics. The use of customer analytics is vital to the success of a Telco business because they are used to make informed decisions that aim to increase revenue, reduce customer churn and improve customer experience. Using the insights gained by customer analytics, a Telco can better meet its customers’ needs by developing personalised products and services and identifying any issues or problems the customers are experiencing. This provides Telcos with a loyal customer base that is less likely to churn – which is essential for success within this competitive industry. You now need to answer the question: Are you using customer analytics as effectively as possible?
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With over 20 years of experience in executive and operational management of Telecommunication technologies and services, Tertia is a Telecommunications Data Analysis Specialist. As a Specialist in Call Data Records and the CDRlive platform, she has practical experience in the design and implementation of Telecommunication data analysis and models. Tertia’s passion is to transform billions of seemingly unrelated data into a clear, informative picture – just like a painting.