Managing Payment Risk in Telecommunications

Telecommunications providers are continually seeking ways to maximize returns from customers in the face of fierce competition and low brand loyalty.

This has driven a resurgence of activity around cost reduction and managing business risk by improving processes to manage a customers' credit risk.

With web based, self service provisioning and activation, processes for determining credit risk for both current and potential customers needs to be quick and accurate. This requires the capability to perform flexible credit scoring.

Payment Risk Solutions

A Typical solution for Payment Risk includes:

• Credit scoring predictive models
• Billed call behavior analysis and reporting
• Unbilled call behavior analysis and reporting

By using high-quality, pre-built predictive models, Telcos can perform behavioral scoring to help curb bad debt by assessing the credit-worthiness of both current and potential customers.

It also helps identify customers for cross-selling, up-selling and appropriate service repositioning.

For example, a wireless provider can use a payment risk solution to identify, based on credit history, which customers should be targeted for a prepaid wireless program rather than one with a monthly fee.

SAS Payment Risk for Telecommunications

SAS Payment Risk for Telecommunications uses models specifically designed for the telecommunications industry to help companies reduce the business risk and costs associated with bad debt.

Next: Price Plan Optimisation

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