Big data has potential to double telco prepaid revenue: Globys – ZDNet
Data-analytics applications company Globys claims that it's possible to double a telcos' prepaid recharge revenue by using big data.
The company has long worked with telcos around the world for fixed-line and mobile billing offerings, but in the last three to four years, it has made a play in using big data for targeted marketing. This involves large-scale data mining, predictive modelling, and machine learning to allow the company to identify the right time to interact with telco customers.
"We have been using that to drive reductions in churn, increasing loyalty with mobile operator customers," Globys senior vice president of data sciences Oliver Downs told ZDNet.
This has proven to be particularly fruitful when it comes to prepaid mobile customers. While telcos value acquiring new post-paid customers for a consistent and locked-in revenue stream, retaining prepaid customers shouldn't be forgotten. With no contractual obligations, this client base is not obliged to stay with one carrier, and can make the switch as soon as their phone credit runs out.
"With prepaid customers, there is essentially a churn decision that gets made on a monthly or on an even more frequent basis," Downs said. "It's easier for us to use to our big-data solution to actually generate short-term impacts in prepaid mobile customers."
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