Household Happiness Index
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1 Household Happiness Index Delivering an always on customer experience in today s connected world through graph analytics Amit Akhelikar / Gyorgy Lajtai HKT / Lynx Analytics 2017 TM Forum 1
2 It takes 20 years to build a reputation and five minutes to ruin it. Warren Buffet 2017 TM Forum 2
3 United Airlines challenge Seemingly routine procedure cost United Airlines c.$1bn in a day Will this have a long term impact for United? Most likely, No. Will it raise short term costs for United? Most certainly, Yes. Could this have been managed differently? - Definitely, Yes. Source: Twitter, Gartner.com 2017 TM Forum 3
4 Customers are smarter than ever and looking for more value. More than just customer service, they want a great customer experience Shep Hykeni 2017 TM Forum 4
5 Age of the customer We live in an increasingly connected, customer driven society Shift in power balance towards customers in an increasingly digital world and customer expectations are changing 70% of 167 business decision makers in HK say fast changing customer expectations is the single most important driver for transformation and institutions need to react fast Big data enabled insights Transform customer experience Become a digital disruptor Source: Internal - PCCW Solutions; Forrester 2017 TM Forum 5
6 The customer experience is the next competitive battleground. Jerry Gregiore Former CIO at Dell 2017 TM Forum 6
7 CX is the new competitive frontier 89% of companies expect to compete mostly on Customer Experience today Hard to get Inexplicit relationship Express externally Long time to make-up It costs 6-7 times more to acquire a new customer than retain one For every customer complaint there are 26 other unhappy customers who stay silent Happy customers who get their issue resolved tell about 4-6 people about their experience It takes 12 positive experiences to make up for one unresolved negative experience Source: Gartner.com 2017 TM Forum 7
8 Telcos are acting on this Most have measure(s) in place for customer experience Customer touchpoint measure(s) Net promoter score Retail store Call centre Digital Field service Network 2017 TM Forum 8
9 However, current measures fall short Reactive, not predictive Some customers, not all customers Touchpoint driven, not experience driven Metric, rarely aligned to business outcomes Individual score, ignores social impact 2017 TM Forum 9
10 Customer Happiness Index Happy customers aligned business outcomes CHURN NPS UPSELL Annualised Churn in a Telco Happy customers churn less Happy customers have stronger emotional connection Happy customers have high brand consideration when considering purchase of quad-play products 2017 TM Forum 10
11 Aggregating customer experience points Telco Customer Happiness Index I have poor data connection and my calls drop quite often My wait time for broadband was over 3 weeks and I had to chase my appointment I like the offers and rewards, including special events I did not realise about roaming charges My friends recommend Telco X 2017 TM Forum 11 Source: Lynx internal
12 Creating Single Customer View & Household View Address pairing Device analysis Co-location analysis Relationships and Separators from co-location SCV HHV Relationships and Separators from calls Calling communities Registered IDs Night location Co-location: MSISDNs having activities at the same time and same place frequently could be in a relationship (friendship, familiar relationship, belong to the same Customer). Devices: MSISDNs used by the same headset could belong to the same Customer. Calling Communities: From calling circles and calling habits, familiar and other relationships could be discovered among MSISDNs. Also, Customers cannot call themselves frequently (negative edge). Addresses: MSISDNs and services sharing the same billing or service address could belong to the same household or Customer. Registered IDs: MSISDNs and services registered under the same ID (or having the same member id) could belong to the same household or Customer TM Forum 12
13 How are SCV and HHV Views Created? Other FH M Every edge has 2 weights (between 0 and 1), one related to SCV and the other to HHV. As high the value as probable that the 2 MSISDN belong to the same SCV or HHV S according to the positive weights. Source: Lynx internal FW Legend D Same registered ID card Address connections Co-location Device connections Calling connections 2017 TM Forum 13
14 How are SCV and HHV Views Created? Aggregated positive SCV weights Aggregated positive HHV weights M M Other FH Other FH S S FW FW D D 2017 TM Forum 14
15 Getting into home = setting customer expectations 2017 TM Forum 15
16 Simplified household view in QuadPlay setting Single Customer View over mobile SIM cards and other services and their Household groups. Young son: living with the family Mother Daughter Daughter s fiancée: they are living separately from the family. Legend Services are registered by the father s ID card Services are registered by the son-in-law s ID card Father: pay the bills for the family Father s parents: living in a different location TM Forum 16
17 Results: Predictive insights related to Churn 2017 TM Forum 17
18 and to NPS - + Extremely strong relation between promoters and happiness index 2017 TM Forum 18
19 Connecting households and customers Interconnected view based on households and single customer view 2017 TM Forum 19
20 Customer happiness index for ALL customers NPS: unknown HI: 6.7 NPS: 9 HI: 7 3 NPS: 9 HI: TM Forum 20
21 Employee empowerment Single customer experience measure across the organisation 2017 TM Forum 21
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