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The Holy Grail for telecommunications nowadays seems to be finding new ways of understanding customer behaviour patterns in order to keep ahead of the competition. There is no doubt that Telecom Operators have access to priceless amounts of data containing an up-to-the-minute log of customer interactions. Complete customer usage profiles (on-peak and off-peak periods, on-net and off-net traffic, etc…), can be extracted from those logs, and most Operators have infrastructures in place from the simplest to the most sophisticated that can deal with that data. The question, therefore, is: how can Telecom Operators learn more about their customers as well as their competitors, in order to improve their marketing strategies? Customer location data can help in achieving higher levels of market knowledge. By discovering the geographical behaviour of your customers, one can draw important conclusions that will significantly impact marketing and distribution strategies. ‘Where do customers live?’ ‘Where do they work?’ ‘Where are their key communication partners located?’ are some examples of questions that can be answered by analysing the number of inbound and outbound calls per hour of the day or day of the week. The next step could be relating this location data with demographic and economic data which could tell us that customers living in region A, will probably read newspaper B. This makes it possible to conduct a more effective up-selling marketing campaign by advertising new services in that very same newspaper. This is just a simple example but the possibilities that open up are immense. Another interesting use for location data is the competitive analysis that can be done as a result. By analysing the destination and origin of the calls, you can deduce not only the location of your customers’ communication partners, but also the relative market share of your competition. Based on this information you can differentiate the distribution channels commissioning plans per region, for example. Of course, to carry out analysis such as the ones described above, one needs to have in place a dedicated infrastructure to collect data from different sources such as the network elements or the billing system. You should then clean, transform and enrich that data and finally store it in a tailored repository for multidimensional analysis. By turning raw data into actionable information, Marketing, Customer Service, Engineering and IT users within a Telecom Operator will be able to closely monitor the location of both residential and corporate customers by performing different types of interesting analysis, such as traffic distribution per region, and per handset model, brand and time period – working hours, weekends, etc… This kind of approach translates into very significant business benefits: • Increased effectiveness of your local offers by selecting the right product/target combination • Customer location can be monitored according to tariff plan, distribution channel, market or business segment, customer geography, etc. • Discovery of new products and services opportunities, specific for peak and off-peak, heavy incoming usage plans, heavy data services usage plan, etc. • Insight into relative market shares per geographical location • Improved segmentation criteria Such factors, together with the ability to correlate geographical data with demographics and economic data, will help to generate an enhanced understanding of today’s market dynamics and customer base.
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