Telco Cross Sell and Up Sell
The telecommunications experiences high annual churn rates, making
customer retention a key marketing activity. It is also essential
that the Telco maximize the value of current customers, through
effective cross-selling and up-selling.
Most Communication Service Providers [CSP's] struggle to attain
effective cross-selling. A key reason for this is the lack of integrated
customer data in an environment tht can be analysed efficiently
to identify good candidates for cross-sell and up-sell offers.
In most Telcos, customer data is scattered throughout the enterprise,
making it impossible to get a clear view of customer preferences
and customer behavior. Without a complete view of customers, and
an effective way to profile them, marketing strategies for cross-selling
and up-selling are unlikely to provide a positive return on investment.
A Telco Cross Sell and Up Sell system provides CSP's with pre-built
models and processes to help:
- Increase revenue
- Recover acquisition costs
- Rapidly predict the next appropriate offer for individual customers.
The system is used to profile customers who have purchased numerous
products or upgrades. By modeling the sales pattern, similar analytics
can be assigned to other customers to determine similar candidates
for cross-selling and up-selling.
A Telco Cross Sell - Up Sell solution typically includes:
- Billed call behavior analysis and reporting
- Unbilled call behavior analysis and reporting
- A market basket analysis predictive model
- Customer loyalty program analysis and reporting
- Channel effectiveness analysis and reporting
Market Basket Analysis
Market basket analysis is used to predict likely candidates for
cross-sell opportunities given:
- Purchase history
- Customer demographics
- Call behavior
- Other significant variables
Campaigns are based upon a analytics of a combination of elements
as outlined above. For example, IP services have seen a natural
progression from voice calling - to adding dial up IP - to broadband
ADSL - to high speed data and VoIP.
Once a typical behaviour or evolution cycle is identified, this
can be applied to other elements such as customer income. This may
impact the speed through which the customer moves through the cycle,
and other add-on' features. The customer location is also factored
in, to ensure that only those where High Speed Broadband is available,
are offered this service upgrade.
Using such a combination of factors, enables marketers to laser
target marketing campaigns at customers who are most likely to follow
the same path.
Vendor Cross Sell - Up Sell Solutions
SAS Cross-Sell and Up-Sell for Telecommunications
Next: Customer Profitability
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More Detail on Telco BI Strategy, Program & Technology
Telco BI Solutions Index | Strategic
Performance Management | Campaign Management
| Cross Sell / Up Sell | Profitability
| Customer Management | Customer
Segmentation | Customer Profitability
| Customer Retention | Call
Accounting | Payment Risk Management
| Price_Plan Optimisation | Revenue
Assurance | Order Management System
| Least Cost Routing