What is the application of analytics in the Telecom industry?

telecom

#1

Dear All,

I wish to get a help from your end to understand the possible analytics areas for telecom industry:

My questions are:

  1. What data fields should I consider from a vast big telecom database for analysis, modeling and reporting.

  2. What are the possible analytics areas for a telecom company.

This will help me to understand the telecom analytics areas and proceed to do a research.


#2

@abistat

Answer to question 1 depends highly on the business strategy and objectives defined by the management team. Typically in terms of reporting, you see following reporting / analysis:

Acquisition stage:
you would see sales reporting and monitoring on a Circle / Ward number. Typically the sales would be split by product type and plan type. You would then measure this performance against business targets, previous months and same month previous year to see how things have changed and whether it is in line with your expectations or not. If the Organization is evolved in analytics, they might assign a customer lifetime value to each customer or even have a segmentation in place. If this is the case, the telecom player would also measure the acquisition against customer life time value.

The analytics at this stage would mostly be concerned with finding the right customers, the right distributors and making sure every one works on the right margins. There can be a lot of analysis around target setting and incentives as well.

Customer Management:
At this stage, you would mainly be concerned with usage of your products. So, you would look at things like monthly spend, add on packs used, type of plan a customer is on and what are some additional plans, he might be interested in (Cross-sell). You can also look at up-selling the existing products to your customers.

Collections:
This would matter only on post-paid connections. The reporting would be interested in roll rates, flow rates and default rates. Making sure that the calling intensity to various types of customers is in line with the strategy.
From analytics perspective, you would primarily be interested in predicting risk of customers and best way to increase collections from these customers over time.

There are a few other problems, which might be of interest. For example, customer churn is one of the biggest challenge for most of the telecom service providers in India. Some providers also monitor fraud closely.

Hope this helps


#3

@abistat Telecom domain contain wide range of data and large number of applications.
In the network side we do route optimization,capacity management etc.
In operations we reduce leakages help to improve margins.
CRM (Customer relationship management) is another area where large number of applications are there to improve relationships with customer and to generate more revenues.
Managing partners and vendor is another area in telecom.
Product bundling, campaign management and many more are there.

Data comes from various systems - switch, billing, order processing system, marketing, partners, social media to name few.

Telecom domain have multitude of system and huge loads of data and various analytics applications are employed. As @kunal mentioned the analysis and data requirements will depend on the business objective.

Can provide directions if you have something specific in mind.


#4

@abistat also see churn modeling http://stackoverflow.com/questions/27080207/survival-analysis-for-telecom-churn-using-r

also please see this ppt

Social Network Analysis for Telecoms from Dataspora

#5

Thanks Ajay, for sharing these. These are really helpful.


#6

Hi abistat,

Hope the below graphic helps you.

For more details on each of these areas you can go through the below document:
Predictive Analytics in Telco


#7

Hi Abistat,

In Telecom we have large set of data fields, i will illustrate few fields and analytic.

Hope this will help you and others… :slight_smile:

  1. lets say we have a bunch of customers and few important fields will be your address details, day to day usage details, Translation details , so on…

  2. Possible area where analytics are used.

    1. Sales and Marketing - Lets say you want to up sell few offers to customer, so first thing you see is the Offer Value or Worth , which type of customer we should pitch.To come to the end result we will analysis customer and market , like the usage of customer , does this offer is offered by any other competition and other factors or variables.

    2. Retail - How much reps should be available in the store to reach SLA , to control customer traffic , what volume of recharge and SIM cards should have in stock, other parameters .

  3. Expenses or Finance Analysis

  4. Customer Service level analysis in Out bond and in bond customer service center.

  5. HR analysis.

Every stage from acquisition to churn there are lot of analytic can be done and implemented, there is no unique tools in every network operator , its depends on there cost setup and few tools i have come across often are SQL , Cognos , MS excel and Access and SAP BO.

Hope this helps.