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Mobile data: finding ‘Quick fixes’ for revenue growth

This is a guest post by Telco 2.0 partners Aito Technologies.

At the Consumer 2.0 track of the last Telco 2.0 EMEA Brainstorm, the discussions focused on how operators could (and should) benefit from the wealth of information about their existing customers.

The key question on everybody’s lips during the Q&A session was, ‘what are the concrete monetary benefits that analytics can provide for operators?’

We’ve therefore put together some examples from our experience to illustrate just how readily operators can reap the benefits of closely monitoring network performance in order to identify and fix issues affecting service usage.

And the bottlenecks are…

We extracted data from a Pan-European study covering millions of mobile subscribers, their usage of mobile services and other behavioural factors. We focused on the ‘hot topic’ of mobile data usage. Analysis of the data revealed several bottlenecks which were causing problems for customers trying to access mobile data services. We broke these issues down into three categories:

• ‘Quick Fixes’, including provisioning, device settings and network configurations, which covered 18 percent of the bottlenecks across the study;

• ‘Fairly Easy to Fix’ issues, including congestion and Hardware/Software failures, accounted for 26 percent;

• While ‘Difficult to Fix’ issues, such as faulty devices and missing credit, covered the remaining 56 percent.

What’s it worth?

We looked at a specific example of an operator with 10 million customers, of which approximately 5 million are using mobile data. This operator’s share of the different bottlenecks differ slightly from the market averages with:

• 15 percent of the bottlenecks caused by handset settings and configurations;

• 48 percent from network related issues such as congestion, configuration, software faults and faulty handsets;

• 30 percent from customer related issues, such as failed authentication, no credit or no subscription to the requested service;

• the remaining 7% were combinations of all the above requiring deeper troubleshooting.

We estimate that 50 percent of the bottlenecks listed above could be solved with no major investments required to the network itself. With a set of built-in analytics carrying out the neccesary calculations - based on tariff plans and network data, the fixable faults represent an annual incremental mobile data revenue of 3.5M Euros.

This example is for one service only and there are further revenue benefits that can be found in other services. For example, in voice services, we have seen typical revenue losses that are 4 to 6 times greater due to the higher volumes of service transactions generated by the customers.

So in summary, we argue that good analytics can quickly and easily provide operators with tangible benefits and deliver monetary results, and are a must for each operator as a strategic tool for gaining competitve advantage.

You can meet Aito Technologies at stand 1F62 at the forthcoming Mobile World Congress in Barcelona. To arrange a meeting please contact Teija Rasanen at teija.rasanen@aitotechnologies.com.

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