Are you making the most of the customer data you possess?
What does your business do with its data? Telcos have some of the richest and most detailed assets of any enterprise when it comes to learning about their customers, but few know how best to utilize this. However, with the right tools, they can transform this insight into a valuable source of revenue, as well as keep customers engaged.
Leveraging your valuable data
The information telecoms firms create on their customers offers a unique insight into their activities, interests and drivers. The millions – or even billions – of data points gathered can be used to help build a deeper understanding of users and highlight the best way of marketing to them. However, this is not all that an effective big data analytics tool can do.
Developing this insight into a secondary revenue stream by offering it to select partners in an effectively packaged format can be a vital way to help boost telcos’ revenue, especially if they are finding it challenging to increase the amount of direct revenue earned from customers. Data monetization is helpful in delivering personal, more targeted marketing and advertising messages to users, or creating new deals with partner firms.
This is especially important in an era where attitudes to data are changing. How companies create and utilize information is evolving, driven by both increased customer expectations and tougher regulations such as GDPR and CCPA that govern how data may be used..
In the past, many firms relied on third-party data that was gathered from a multitude of sources and often lacked the quality or relevance to create useful insight. As well as not providing genuine personalization, this type of data harvesting is also no longer accepted by consumers, which offers telcos a major opportunity to provide partners with more useful first-party data in a way that better respects user privacy.
Balancing consumer trust
While there is huge potential for data monetization in telecoms, the success of such initiatives depends on a few key factors. The first is that firms are able to quickly and effectively explore their data in order to derive truly personalized insight. However, the second is that the customer is happy in how their data is being used.
This essentially comes down to an issue of true consent, or informed consent. Customers must be able to select exactly how their data is used and trust that telcos will respect their wishes. At the same time, it’s also important for telcos themselves to demonstrate they care just as much about informed consent as their customers.
Get this right and you stand to make significant gains from data monetization activities. It’s vital you carefully manage the privacy of raw data and ensure that it’s handled with care during analytics and insights operations. Do this and you’ll build trust among consumers and, in turn, develop far richer datasets to be used alongside partners to drive revenue.