An Idea for CSPs: Reduce Churn by Getting Closer to Business Customers
One of the most discussed topics among mobile telecom professionals is how to reduce churn and increase ARPU. Steady trends of sinking revenues from voice services and the lack of next generation killer app make those discussions even more important for service providers success. Different opinions are shared like new product development, quality of network, services, customer care, etc. Some strategies are based on price competition and constant improvement of operations efficiency, others rely on new but still uninvented data services and products.
All those strategies could generate results – help reduce churn or increase revenues. In any case they are more short term tactics than long term strategies as they are based on the core network services or are restricted by the boundaries of the own network without much interaction with the outer environments. As such mobile service providers won’t succeed to differentiate on the long term. In order to be successful service providers shall look outside of their boundaries and move into a direction to entrench deeply within customers’ internal environment regardless consumers or businesses. It can be done by combining telecoms’ core services – voice and data transmitting, with other services which are of great value to their subscribers and would become even more valuable if integrated with mobile service providers core.
Let’s have an example. A mobile service provider could launch a value added service (VAS) that integrates business mobile communications with corporate CRM systems. Such service could prove very valuable to businesses by optimizing processes, reducing human latency within process flows, and improving business analysis capabilities in the area of customer interaction management. The service would help the service provider to start playing a significant role in the automation of the internal business processes especially those related to one of the most important aspects of each business – customer management. It empowers closer relation with the service provider’s business customer and increases dependency on provided voice services to maintain correct data processing in daily business operations.
One value added service that falls into that category is scribe2go deployed as a network-based service. On the long run it will result in a stronger partnership between service provider and business customer which will reduce churn and subsequently increase revenue.