Customer behavior insights deliver highly-individualized content

Increased revenue for a leading communications company by $300 million, with measured results of improved customer experiences.

Client: Tier 1 Telco

Industry: Telecommunications, Media, and Entertainment

Project Type: Targeted Advertising

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Overview

1

Challenge:

Our client tasked us to create a multichannel, real-time, data-driven solution to deliver highly-individualized content, amorphous by unique customer behavior patterns.

 

The aim was to increase sales and revenue, as well as reduce OPEX and churn. Additional challenges included attracting new customers and increasing customer interaction, while improving lifetime value.

2

Approach:

The focus was on replacing the legacy systems, production deployment, system operationalization, and business intelligence.

 

This was a huge challenge, as all parts of customer-facing, customer management systems were affected. To increase productivity, Luxoft integrated an agile environment for the daily data and query management. Team size doubled in six months and again in the following six months, which led to other predictive analytics opportunities with other client groups.

3

Solution:

Main solution features: Mapped insightful behavior patterns for each customer, leveraging multiple data-lake repositories supporting voice, video, and HSI.
Created a recommendation engine to dynamically deliver content to hundreds of millions of consumers, based on individual behavior patterns.

 

Applied event correlation and decision technology to dynamically distribute content in real time.

 

Deployed the solution, touching many parts of the organization and client-facing apps in the process.

4

Outcome:

Luxoft’s solution significantly improved the customer experience by providing far more relevant content for users. Our targeted advertising solution provides the client with: Insightful behavior patterns. Reliable, scalable, source of information on consumer behavior.

 

Better insights for product strategy. Increased customer satisfaction by enhancing the customer experience and, thus, increasing customer engagement.

 

Business value:

  • >$300m revenue increase.

Challenge

Bigger, better, and much more entertaining

The client challenged our team to improve sales, lower OPEX, and reduce churn. They needed us to create a multichannel, real-time, big-data-driven solution to deliver a menu of targeted content shaped by individual customer behavior. Which meant leveraging data from hundreds of millions of subscribers across voice, video, and high-speed internet (HIS).

 

There were several key challenges:

 

  • Attract new customers in a highly competitive market
  • Reduce churn by improving customer retention
  • Increasing customer lifetime value

Approach

Establishing an agile environment, as well as improved speed and efficiency

The key approach was to replace the organization’s legacy systems: data lakes and platforms; network usage collection systems; clickstream; commerce-facing applications; content-management platforms; plus CRM- and call-center-based applications.

 

This was a significant challenge, as all parts of customer-facing, customer management systems were affected. To increase productivity, Luxoft integrated an agile environment for the daily data and query management. The size of our team doubled in six months and doubled again in the following six months, which led to other predictive analytics opportunities with other client groups.

Solution

Putting new trends and customer behavior patterns to work

With help from our data engineering team, the client’s team filtered out data from the data lakes and handed it over to the data scientists. They worked with owners to get the data, creating scripts to normalize it so the science team could build models to identify trends and behavior patterns.

 

Luxoft ran the project management office (PMO) for the entire project, which included leading the client’s internal team. Luxoft managed finance, operationalizing the system, BI, and business case development. Deployment of the system was a massive challenge as it touched every part of the customer-facing, customer-management systems. Each customer touchpoint was affected, from call center to online channels.

 

Considerations:

  • Highly complex interaction between content management and data science activities.
  • Who owns the data – IT function or the business?
  • Poor data quality and lack of metadata management.

 

Main solution features:

  • Mapped insightful behavior patterns for each customer, leveraging multiple data lake repositories supporting voice, video, and HSI.
  • A recommendation engine to dynamically deliver content to hundreds of millions of consumers, based on individual behavior patterns.
  • Event correlation and decision technology to dynamically distribute content in real time.
  • A deployment which touched so many parts of the organization and client-facing apps.

 

Core technologies and platforms:

  • Amazon Web Services (AWS).
  • Advanced analytics.
  • Machine learning.
  • Streaming analytics.
  • Artificial intelligence.
  • Data modeling techniques.

”Our unique client relationship, expert team, and agile environment, all played their part in developing a big data solution that enabled the client to better-understand customer behavior patterns. These deep insights helped shape a whole raft of highly-individualized content which, in turn, increased revenue and lowered OPEX while reducing churn.”

Giorgio Vanzini, VP Media & Communications, Luxoft

Result

Innovative targeting techniques based on fresh insights and customer behaviors

Luxoft’s solution afforded a better understanding of the client and their needs, improving the customer experience significantly and enabling highly-relevant content.

 

Luxoft’s solution gives the client:

  • Insightful behavior patterns.
  • A reliable, scalable, single source of information on consumer behavior.
  • Better insights for product strategy.
  • Deeper insight into their customer base.
  • Improved customer experience and a raised level of customer satisfaction.

 

It also helped the client’s marketing team to plan innovative campaigns based on data insights into customer behavior.

 

Over the last 10 years, Luxoft and our client jointly delivered over 900 successful projects and programs. During that time, we’ve developed a unique and deep understanding of the company’s processes, systems, and culture. In return, the client recognizes Luxoft’s unrivalled capabilities in data analytics, AI, cloud services, plus the telecommunications industry, not forgetting our extensive experience in targeted advertising for their market.

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