How Telcos Can Improve Profits!!!

Telecom operators need to undergo a major digital transformation to revive their fortunes. By adopting marketing platforms, they can generate huge cost savings and at the same time enjoy increased high margin revenues. Read the article to know more.

Telecom operators need to undergo a major digital transformation to revive their fortunes. The challenge they face is that revenues from traditional voice and data communications services are stagnating, while new revenue streams are not growing fast enough to compensate for the loss. Complicating matters, they are also finding it difficult to reduce costs and innovate given their tangle of legacy technology and business processes. Their customers have high expectations and don’t feel that telcos are meeting their needs. Their sense of disappointment is leading to high levels of customer churn. Unsurprisingly, the mobile operators are facing increasing competition from competitors - existing ones and new entrants like OTT players.

Following steps are indispensable for addressing the challenges and improvement of the Telco business:

 

1. Unlock customer data monetization opportunities

Telcos have access to a goldmine in the form of customer data. The data and the derived insights can be put to diverse uses, leading to the maximization of top-line and bottom-line business revenues. Marketing automation tools enable this transformation of data into meaningful decisions. Platforms like Marketo and moLotus make data mining, management, and analysis easily doable. As a Telco Marketer, you can compile campaign data in the form of crisp and comprehensive reports enabling you to decide upon and strategize further.

 

2. Improve Customer Lifetime Value

CLV predictions are helping operators to determine the value of money they spend on acquiring new customers and worthy customers over a specific period. The customer journey automation tools like Prospect.io, moLotus, Leadfeeder, Act-On, and LeadSquared are being widely adopted by dynamic operators in maximizing the customer lifetime value through loyalty, upselling and cross-selling campaigns. The campaigns result in an increase in average revenue per customer.

 

3. Minimize cost

Cutting costs by reducing headcounts in call center processes tend to be a viable solution for improving telco business outcomes. Digital platforms offer cost minimization opportunities to Telecom operators by automating the processes. As revealed by research, platforms like moLotus are significantly bringing down headcounts together with printing and distribution costs.


4. Create a loyal subscriber base and reduce customer churn

Customer churn is one of the most important concerns for telecom players and average between 10 percent and 67 percent at present. (Source: The Database Marketing Institute) Research shows that subscribers are more than happy to reciprocate when they are rewarded with something they like. As a part of a customer retention strategy, operators should reward loyal customers with special offers, discounts coupons and in return request them to leave reviews. It would be apt to run loyalty campaigns using mobile advertising platforms having powerful targeting options, reach and scalability. One such platform worth mentioning is moLotus. Tools like Yotpo, LiveEngage, etc. have a special role to play in enhancing customer loyalty by generating product reviews.

 

5. Adopt personalized & interactive customer communication

It would be prudent to start using subscriber data to target for personalized recommendations, offers and messages to increase revenues. Personalization software like OptinMonster, Segment, Evergage, BrightInfo, etc. identify trends in a company's consumer behavior and then use that data to display content in a more personalized manner. An alternative to software-based solutions lies in moLotus mobile video messaging platform. Its rich personalization features enable brand marketers to tailor the brand’s message exclusively on customer name, location, interests, etc. without relying on any app download or active internet connection. Also, moLotus offers interactive campaigns with multiple response options like SMS, Callback, Click, etc. 


The way ahead

Telecom operators have no choice but to radically change their approach towards digital transformation. By adopting marketing platforms like moLotus, they can generate savings in terms of the cost. At the same time, they will enjoy increased revenue because they will reduce customer churn, improve customer loyalty, enhance customer lifetime value, and monetize subscriber data. In the face of no urgent action, they lose yet more business.

 

 

 

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