Case Study: Enriching Marketing Campaigns With Context Pays Off for a Tier 1 European Mobile Operator
Gartner has published a case study* in which they document how the use of real-time, contextual information, targeted highly relevant offers to individual customers, have helped a Tier 1 European provider boost their service revenue from prepaid phones, enhance customer loyalty and reduce churn.
The main findings illustrate how the operator has succeeded to follow and better understand the individual needs of their entire customer base and based on this data offered specific targeted prices and products which were highly relevant to individual subscribers. Due to the real-time execution and automatic fulfillment of these offers allowing quick follow-up, and guaranteeing higher response rates, the operator had succeeded to increase overall revenue per subscriber: “offerings that are personalized to the customer segment and presented when the customer is most receptive generate tangible new revenue.”
In this example, the case study highlights how the operator’s “acceptance of promotional offers rose from 2% - 10%.” It further explores how the operator has managed to create an ongoing dialogue with their customers.
Furthermore, the case study recommends that “vendors should target the marketing team, rather than the IT or business intelligence (BI) teams with their products. Highlight that this type of approach allows marketers to radically change the way in which they create and manage promotions”
In addition it is recommended that: “Communications service providers (CSPs) should select a vendor with a proven track record of successful implementations and comprehensive consulting services — they will need to rely on the vendor’s advice to avoid the most common mistakes when creating this new type of campaign”.*
Gartner, Inc.:. Publication ID Number: G00175497
Gartner research is available at www.gartner.com
| Leave a Comment July 20th, 2010
Russia the Freedom of Choice: Multi SIM Ownership Drives Churn and Decreases ARPU
Russia has the largest mobile market in Central and Eastern Europe and is continuously growing. At the end of May 2009 the total number of subscribers reached 194.7 millions, with customers being wooed by three major service providers (MTS, VimpelCom and MegaFon). Competition has further intensified with the growing penetration of multiple SIM ownership. As the majority of handsets are not purchased through the operators but rather from independent stores, Russian mobile operators could not lock handsets to their networks, and consequently customers can benefit from different operators’ SIMs on a daily basis. Read more
| 1 Comment July 20th, 2010
Pontis recognised as “Cool Vendor” for Context-Aware Computing 2010
Gartner has recognised Pontis as a “Cool Vendor” in their 2010 report, highlighting that, “…context will be a technology that redefines customer experiences and relationships, and, as these Cool Vendors demonstrate, it can deliver value in 2010.”
The report is based on evaluation of vendors that are innovative, impactful and intriguing. The Marketing Delivery Platform™ allows mobile, TV and fixed line operators to target customers with contextual marketing offers.
Real-time contextual marketing andselling, based on a customer’s lifecycle and real-time events, enables operators to push price and product offers at the right time, increasing the response rate by as much as 10%. In today’s fierce competitive markets where power is shifting to the customer, Pontis’ solution helps operators to develop personal relationships with their customers.
Furthermore, the Pontis’ solution allows operators to run hundreds of highly targeted promotional offers simultaneously on a monthly basis, which can be implemented within days, rather than weeks.
Gartner, Inc. Publication ID Number: G00175299
Gartner research is available at www.gartner.com
| Leave a Comment July 20th, 2010
Segmentation vs. Behavioral Life Cycle Management:Getting the most of Your Marketing Efforts
The saturation levels of mobile markets and the low exit barriers for customers have caused many operators to shift the weight of their marketing efforts from new customer acquisition to customer retention. As part of this trend, operators are investing lots of funds on sophisticated customer segmentation solutions. Yet, are these segmentation efforts really delivering the desired results? Are common proactive marketing practices, based on traditional segmentation succeeding to increase customer loyalty and profitability?
| Leave a Comment June 16th, 2010
Protecting your Prepaid Base in a Competitive Market
Wikipedia defines churn as “a possible indicator of customer dissatisfaction, cheaper and/or better offers from the competition, more successful sales and/or marketing by the competition, or reasons having to do with the customer life cycle.” How can you avoid churn and nurture long-term relationships with your prepaid customer base in a competitive market consisting of customers that have no contractual commitment?
In the context of mobile subscribers, “churn prevention” is almost synonymous to “loyalty” and “retention.” While “loyalty” points to the required activities to keep customer faithful, “retention” makes sure customers do not leave, with superior offers and other customer-centric activities, compared to the alternatives provided by the competition. To ensure these two vital factors are fulfilled and have a real impact on your customer base you must establish real-time contextual marketing and selling capabilities.
| 3 Comments November 7th, 2009
Gartner: Context Awareness Drives New Revenue
We were proud to be selected “Cool Vendor” by Gartner last March, and are also very honored to be mentioned in its very significant context-aware research.
First Pontis was mentioned in “Context Aware Computing: Improving the Customer Experience research under the “Promoting Product and Brand” section:
“By 2013, half of all CSP marketing offers will be based on some type of context-aware data. Information about user context is of interest to companies wanting to interact with their customers. These companies include CSPs themselves and other parties that could use some of the contextual knowledge that CSPs have at their disposal. Unlike some of the other uses for contextual information, activities in the area of marketing offers do not require the consumer to be prepared to pay. Those companies already trying activities in this area seem enthusiastic, and we expect this to be one of the more popular areas of context-aware services with CSPs.
| Leave a Comment July 1st, 2009
The race to win the hearts and minds of pre-paid customers
In these cash conscious times, with the race between mobile operators to retain customers and drive-up levels of usage, mobile operators need to focus their efforts on more effectively marketing to, and impacting the behaviour of, their pre-paid customers.
With around 1 billion prepaid subscribers worldwide, impacting this group of subscribers’ top-up frequency and amounts, as well as their consumption habits, represents a hugely lucrative, yet under-utilised opportunity to drive ARPU and reduce churn. If carried out in a targeted and timely manner, addressing pre paid customers has proven to increase overall revenues, (versus control group) by as much as 6-8%. Operators should therefore focus on enticing customers to top-up when their balance is low and reviving ‘silent’ customers with contextual offers.
| Leave a Comment April 25th, 2009
CROSS SELLING AND UP SELLING - A lasting relationship
Alon Werber looks at how operators can best harness customer data to deliver the right product or service at the right time
The hugely competitive and ever evolving battle to win the hearts and minds of the mobile user is bringing marketers within this sector new and escalating challenges, but also huge opportunities. In addition to rapid churn rates and high customer acquisition costs, marketers are now also faced with an economic downturn, during which it is likely they will see, if they have not already, a reduction in consumption levels. Therefore it is essential now, more than ever, that marketers use all the tools at their disposal to maintain customer loyalty and retention, as well as ensure arpu is maximised.
| Leave a Comment February 16th, 2009
SFR Gets Personal with Pontis Platform
SFR is a Vodafone subsidiary, and the second largest mobile operator in France. It is also a major player in the French economy, with 10,000 staff, 18.8 million subscribers and revenues in excess of €9 billion (£8.1 billion). The company prides itself on its innovative approach and places a strong emphasis on developing new services and high speed networks to keep it at the forefront of technological innovation.
Today, the French mobile marketplace is as competitive as ever and the challenge to maintain customer loyalty and satisfaction from mobile content is significant. At the 2005 GSM World Congress in Barcelona, a chance meeting with Pontis, which offers a personalised approach to the marketing of mobile services, set SFR on the path towards a new level of personalization of mobile content offers via its WAP portal.
| Leave a Comment February 12th, 2009
It’s All About the Offer
Alon Werber, VP, Marketing and Business Development at Pontis, offers advice to network operators on successfully cross-selling and up-selling to their customers
The battle to win the hearts and minds of the mobile user is bringing new challenges, but also huge opportunities for operators. In addition to rapid churn rates and high customer acquisition costs, marketers are faced with an economic downturn, therefore it is essential that marketers use the tools available to maintain customer loyalty and retention, whilst maximising ARPU.
The key to building relationships is to present consumers with services and offers, which meet their requirements, at the right time. Essentially the key is thinking ‘What’s next?’ Instead of predicting users’ wants, operators must adopt a system which acknowledges a response, or lack of, and keeps the dialogue open, whilst executing offers in real-time. Gartner forecasts that within three to five years, up-sell, where you offer a higher priced version of the product; and cross-sell, where you offer a related product, will soar. So how can marketers implement these to ensure return on investment?
| Leave a Comment September 22nd, 2008
Volume vs personalisation: what works?
Service providers are talking up careful targeting and personalisation while brands are still preoccupied by scale and reach. Should there be a difference between targeting and personalisation of operators’ services – voice, data and content – from third party promotions? BKI Media doesn’t think so, despite the apparent chasm between the two opposing views.
| Leave a Comment
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