By: Becky Bracken
As the telecom industry rides the latest wave of revolution, it's more important than ever to really get to know your network. Data analytics can tell Service Providers (SPs) everything they need to know to invest wisely, promote services effectively and push profit margins to the max.
The key to success is getting to know every aspect of the network, from end-to-end, and figuring out how to wring every last nickel from capital investments. Razorsight's Profit Enhancement Solutions capture the data that can tell SP's everything they need to know to gain critical competitive edge. From service reliability to customer data, today's hyper-competitive climate requires operators to listen to what infrastructure and revenue streams are signaling and tweaking systems for maximum efficiency, profitability and minimal churn.
Profitability Analysis is the Holy Grail
Service providers are looking for answers and it's data analytics solutions like Razorsight's which can help them get answers that they already have, but can't easily access. How can I reduce costs? How do I leverage my infrastructure to attract the most profitable customer? How do I roll out my products? These aren't just process issues, they're fundamental business questions that need to be addressed in today’s market in order to effectively compete.
Charlie Thomas, Razorsight's CEO says he hates the term "dumb pipe." But, he concedes, service providers are at risk of becoming transport providers, especially in the face of bandwidth-hog OTT players and companies like Google roaring into the communications space. It's through data analytics that they can reduce operating costs, invest in the most profitable areas of the business and offer their customers differentiating services. Data analytics help network operators and service providers compete.
"Profitability analysis is the Holy Grail," Razorsight CTO Suren Nathan says.
He adds that telecommunications is far behind other industries in taking a hard look at analytics and points to financial services as an industry light years ahead of telco in crunching big data. The reason for the race toward data analysis from carriers? Shrinking margins. Getting large numbers of customers used to be enough. Now, carriers have to figure out how to get the most revenue out of the customers they already have.
120 Days to 1100 percent ROI
Covad knows all too well the power of data analytics--to the tune of $9 million in savings and 1100 percent ROI. Covad provides broadband in 45 states and 240 metropolitan areas but was bogged down under a home-grown bill payment processing system loosely connected to its other BSS services. Data queries were done only sporadically and on spreadsheets. Billing for Covad required an inordinate amount of manual oversight.