How digital BSS can be turned into a telecom business profit generator

How digital BSS can be turned into a telecom business profit generator

How digital BSS can be turned into a telecom business profit generator

23rd of October 2019
We all know that functionalities such as billing, rating and charging, customer experience, customer care, CRM, fulfillment, and revenue management are handled by Business Support Systems (BSS). A digital BSS stack goes beyond these functions to facilitate enabling, monetizing and managing a new class of digital services and partner collaboration. It helps transform a communications service provider (CSP) into a digital service provider (DSP) and is essential for the transition to 5G. Here, we analyze how a robust growth-enabling digital BSS solution can become a profit generator.

Predicting customer churn

Telecom companies can leverage advanced analytics to seek value from data residing in the BSS, OSS, and CRM, among others. By leveraging data gathered from customer usage, transactions, complaints, billing, and social media, predictive models can be built to identify potential churners. This, in turn, helps telecom companies roll out offers, promotions, and services to win and keep loyal customers.

Promoting a personalized customer experience

Digital users accept nothing short of unique, personalized experiences. By implementing a digital BSS stack, telecom companies can capture interaction data and create targeted customer interactions. Whether it is the need to address network issues, reward loyalty, or recommend offers, they can leverage AI and deep learning to meet real-time customer demands. Additionally, BSS data, network data, and performance data can be integrated to get a 360-degree view of the customer, giving them the necessary insights to create targeted offers that increase both ARPU and customer satisfaction.

Establishing innovative service lines

Cloud-based services are an increasingly important part of any provider’s offerings. Not only is their appeal becoming clear to consumers, but businesses are increasingly utilizing cloud-based services to enable ease of communication to employees across the globe. A robust BSS offering allows operators to bundle cloud-based services into more traditional offerings easily, ensuring that providers can both increase ARPU and be seen as innovative operators.

Promoting agility and increased efficiency

A robust BSS solution that is itself cloud-based can offer businesses the agility necessary to support emerging technologies. For IoT and M2M systems, for example, a cloud-based BSS allows providers to effectively sync and juggle the multitude of partnerships entailed in these complex new systems. As emerging business opportunities emphasize agility in a shifting and complex marketplace, a cloud-based BSS solution presents the only way to allow businesses to manage and create partnerships and products the instant opportunities arise.

In a rapidly evolving marketplace, characterized by shifts in technology and consumer lifestyle, successful companies will seize opportunities the moment they arise. In order to do so, they must utilize a BSS solution that can effectively extract insights from network intelligence by leveraging real-time data analytics, allowing providers to identify and respond to market trends as soon as they arise.

Retaining profitable customers

The cost of acquiring new customer accounts is substantial. Service providers need time to recover these acquisition costs, making it important to retain profitable customers now more than ever. And to do so, it is vital that providers have a complete view of customer habits and history. By integrating BSS and OSS applications, telecom companies can gain a comprehensive view of the customer to make convergent billing, tiered rates, and applicable discounts possible. This way, it becomes easy to analyze the value that customers bring to the business. This empowers the service provider to differentiate offers.

Constantly enhancing average revenue per user

The constant demand to improve ARPU drives telcos to deliver new services that meet customer demands. By integrating customer-facing systems, specifically BSS, with the other systems as well as service delivery mechanisms, telecom companies can inject speed into the launch of new services.

Whether it is a need to accelerate service provisioning, introduce innovative service lines or enhance the customer experience to enhance the bottom line, telcos can leverage a robust and modernized BSS to make these objectives a reality.

Pankaj Garg

Pankaj Garg

Product Owner, Digital BSS

Pankaj Garg is a telecom and FinTech expert with over 14 years of experience in the software industry. Handling digital BSS offerings is among the many hats he wears at Alepo. Always up to speed with the newest advancements in the products he handles, he takes it slow only when he’s road-tripping across India to discover new places.

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Is the Telecom industry finally surging ahead for growth in 2017?

Is the Telecom industry finally surging ahead for growth in 2017?

Is the Telecom industry finally surging ahead for growth in 2017?

1st of June 2017

The telecommunications market is in a period of transition—with years of declining traditional revenue, dipping average revenue per user, and loss of growth in the B2C sector, many operators are finding themselves wondering where the emerging business opportunities lie. Are there signs of business opportunities on the horizon for Telcos to step up their business growth in 2017?

telecom industry

B2B

The consumer market is growing just at 0.6%; in comparison, the B2B market has been growing at 2.6% annually. For Telcos, B2B services seem to be the ray of hope to propel their growth in 2017.  Just like consumers, businesses have come to expect fine-grained services, unique to their needs. However, while operators have focused their innovations on direct-to-consumer offerings, the needs of enterprise accounts have evolved, and a market opportunity has emerged to cater to these requirements. By re-positioning their offerings, operators can sell more effectively to this growing market, presenting businesses with telecom plans that also encompass workflow management, security, or CRM. By offering these more robust, enterprise-specific plans, operators are assured to distinguish themselves in the B2B growth market.

telecom industry

The Threat of OTT

Operators have also seen revenues plateau or drop because of the proliferation of OTT players. Companies like Google, Skype, and Netflix are increasingly taking market share from more traditional telecom providers, making competing with traditional services impossible.

telecom industry

While a select few telecoms have entered the OTT marketplace through large acquisitions of media companies (such as AT&T’s acquisition of DirecTV), this is not a viable strategy for most telecom companies. Instead, the threat of OTT challenges telecoms to differentiate their services according to their unique tech and market advantages. By offering services more easily bundled into traditional telecom offerings, such as cloud storage, enhanced security, workflow management, or CRM, telecoms can find themselves increasing market share without attempting to compete directly with OTT providers. Additionally, by pivoting instead of competing, telecoms still win—after all, OTT use boosts internet and data usage.

The Rise of 5G

5G is the new trend expected to get off the ground in 2017. The potential of 5G to revolutionize business functions is not lost upon industries like transportation and energy. Moreover, 5G is predicted as the key to the rise of M2M and IoT applications like augmented or virtual reality and autonomous vehicles. Cellular-connected IoT devices alone are expected to create 1.2 billion lines by the year 2020, the equivalent of 15% of global mobile subscriptions! The rise of 5G will enable such data-hungry technologies to thrive, creating a whole new market segment for telecoms. Exploiting the potentials of new technologies could well be the new line of attack for the telecom companies. Vehicle connectivity, for instance, proves this point. In the US from January to March of 2016, connected cars were accountable for 32% of mobile connection net-adds, outpacing tablets (23%) and phones (31%). While telcos set their eyes on exploring new revenue-earning opportunities, collaborations established with these emerging technology players will prove to be viable to make this happen.

References:

http://www.bain.com/publications/articles/how-to-capture-the-b2b-growth-opportunity-in-telecom.aspx
https://www.telco2research.com/articles/EB_growth-strategies-68-operators
http://pages.eiu.com/rs/783-XMC-194/images/Telecoms_in_2017.pdf
http://www.bain.com/publications/articles/how-to-capture-the-b2b-growth-opportunity-in-telecom.aspx
http://www.strategyand.pwc.com/trend/2017-telecommunications-industry-trends
http://www.information-age.com/top-3-telecom-trends-2017-123463558/
http://www.marketsandmarkets.com/PressReleases/over-the-top-ott.asp
http://www.computerweekly.com/opinion/Telecoms-Opportunities-and-challenges-in-2017
https://www.zacks.com/commentary/98170/us-telecom-industry-momentum-to-continue-in-2017
http://www.bmiresearch.com/articles/global-telecoms-key-themes-for-2017
https://www.mckinsey.com/industries/technology-media-and-telecommunications/our-insights/overwhelming-ott-telcos-growth-strategy-in-a-digital-world

Rohit Srivastav

Rohit Srivastav

Content Strategist - Manager

Facts aren’t enough, a brand needs to tell stories. Stories that people want to read, share and read again. Stories that deliver on business goals. I am the guy who turns facts into stories.

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