Category Archives: telco

Hitachi launches customer-centric predictive analytics for telcos

AnalyticsMobile operators, telcos and service providers could soon stem the tide of subscriber defections thanks to a new cloud based predictive analytics service from Hitachi Data Systems (HDS). By forecasting customer behaviour, HDS aims to improve subscriber satisfaction and reduce churn for its clients.

The new offering, announced at the 2016 Mobile World Congress (MWC) in Barcelona, will run as the Hitachi Unified Compute Platform (UCP) 6000 for Predictive Analytics system. It uses the latest analytics software to find the patterns characteristic of unhappy customers and predict customer attrition. The system uses predictive scoring – based on events such as constant use of the help desk and failures of the network – in order to give support staff the information needed for real-time decision making. Once identified, the churn-prone subscribers can be targeted with compensatory offers before they defect.

The Hitachi UCP 6000 for Predictive Analytics is built on SAP’s HANA converged infrastructure which can conduct in-memory data interrogations of big data. HDS claims its UCP 6000 for SAP HANA can simplify the deployment of SAP solutions for telcos, which in turn will help them minimise the IT infrastructure disruption and maximise application performance.

As part of the solution, SAP HANA and SAP Predictive Analytics will allow users to run predictive models on massive amounts of data from external data points. However, as a consequence of the crunching of data in flash memory, the clients will get their insights in seconds and can nip customer uprisings in the bud. SAP’s Predictive Analytics software will automatically handle the wide dataset and make predictive modelling more effective, according to HDS.

HDS described the churn-busting service as an ‘immense opportunity’ to translate data into tangible business outcomes.

Study urges telcos to do better on cloud

Mobile bankingTelecoms operators are missing an open goal on cloud services, according to a report by cloud service market provider BCSG, writes While operators are perfectly placed to sell small and medium sized businesses (SMBs) the services they want, their indifference is actually driving customer away and they could miss a multi billion pound opportunity.

Its report SMB cloud services: the multi-billion dollar opportunity for telcosinterprets the data from an independent survey of 500 US and UK SMBs. The report argues that there is a strong demand for cloud computing services among medium sized businesses. However, the SMBs say their buying decisions are being delayed by confusion over which services will best suit their needs. While 43 per cent of the study group said they want to buy cloud services, only 31 per cent even had a cloud migration strategy in place.

Demand for cloud services is high and many want support in making the transition from their present on-premise computing model, says the report. However, telcos are ignoring this clear opportunity for consultancy, it argues.

Many SMBs complained that the indifference of their current supplier will make them look elsewhere. According to the report 42 per cent of SMBs receive ‘no help from their telecoms operators whatsoever’. This could possibly lead to mass defections, as 58 per cent of the sample of SMBs said they’d take their business to any service provider that shows them how to get access to a broader range of technology. As a result of the lack of interest shown by the telcos in their existing customers, 52 per cent of the SMBs said they will contemplate switching operators in the next two years.

With the potential UK/US SMB cloud computing services market quantified at $22 billion by PAC/Compass Intelligence studies, it’s vital that operators seize the initiative and address this clear and captive audience, said Tom Platt, commercial director at BCSG. “Operators have a unique opportunity to provide support and guidance to SMBs,” said Platt. If they don’t there could be consequences, Platt warned. “Long tenure from SMB customers does not imply loyalty.”

Cloud storage bundles improve stickiness but not revenues – research

Cloud storage helps operators retain customers, not necessarily generate revenue

Cloud storage helps operators retain customers, not necessarily generate revenue

Research undertaken by analyst firm Strategy Analytics has concluded that pre-installed mobile cloud storage bundles, such as Dropbox, have become table stakes for device vendors and are perceived more as a prerequisite than a value-add, reports

SA pooled the resources of three analysts covering mobile content, user experience and app tracking to come to the conclusion that premium storage bundles have already become ‘me too’ propositions that confer little product differentiation. Having said that they also conclude they can still be effective for both device vendors and operators when it comes to customer loyalty.

Christopher Dodge, Associate Director of SA’s Wireless Media Labs, said: “Our research suggests that consumers are agnostic to who the service provider is, but at the same time they place significant emphasis on the trustworthiness of the service, which in turn creates an opportunity for device OEMs and operators in becoming the trusted provider of the service, through pre-installing the application on the device with free storage.”

Nitesh Patel, Director of the Wireless Media Strategies Service, said: “For operators, the focus with cloud storage service should be on indirect monetization – this means rather than relying on cloud as a premium service, they should manage it effectively for reducing customer churn.”

Bonny Joy, Chief of SA’s Consumer Telemetry Platforms said: “ OEM partnerships with cloud storage providers are being received favorably by the end users. The AppOptix based on over one million application sessions in the US found that Dropbox on Samsung devices realize a traffc of 12.8 MB  per day, the highest among  major OEM brands.”

Fellow analyst firm CCS Insight has also published some research today, but focusing on the UK consumer communications services market. CCS is forecasting that by 2020, 79% of UK households will have signed up to a multiplay service bundle, a 60% increase on the current level. Furthermore the number of households buying a bundle of at least four comms services is expected to increase by over 400%.

Paolo Pescatore, Director of Multiplay and Media at CCS Insight, reckons this means premium content will become even more valuable and that industry consolidation is set to continue. “With a furious battle for customers raging, we expect the amounts paid for exclusive content deals on movies, sports and TV shows to continue to skyrocket. Sports will be a major weapon in every provider’s arsenal for many years to come,” he said.

“Our surveys reveal that consumers find it more convenient and better value to buy broadband, mobile, TV and land-line access from one company, so established providers that can offer all these services are in a strong position. Once multiplay packages are the norm, it’ll be the exclusive content on offer that’ll set providers apart. It’s little wonder we’re seeing a frenzy of acquisitions as leading players scramble to secure assets.”