Managing the Fat Pipe

Transcription

1 Managing the Fat Pipe Revolutionizing the Customer Experience Chandler Kim, Director, Solutions Marketing October 14, 2010

2 Agenda 1. Customer Experience Management 2. Market Trends & Industry Challenges 3. Customer Experience Transformation

3 Customer Experience 1Management

4 Customer Experience Management the process of strategically managing a customer s entire experience with a product or a company. This is how Bernd H. Schmitt describes Customer Experience Management in his book Customer Experience Management: A Revolutionary Approach to Connecting with Your Customers

5 So, how are we doing (as an industry)? Mobile Service Provider Source: Convergys

6 A closer look at your contemporaries Source: Yankee Group

7 Do you know your Net Promoter Score (NPS)? Source: Yankee Group

8 How does customer experience affect churn? 8

9 Market Trends & Industry 2Challenges 9

10 Market Trends: Shifting Mobile Revenue & ARPU Source: Ovum 2010 Number of subscribers growing rapidly 2010 = 5.3B worldwide 2015 = 7.4B worldwide Smartphone adoption 2009= 1 in = 3 in 5 Voice ARPU decreasing rapidly Data ARPU growing; although not rapidly as expected 10

11 Operational Challenge: Expanding the Management Domain Traditional Network Management Domain New Network Management Domain 11

12 Industry Challenges Increased complexity of delivering new applications and services Explosion of data traffic Stressing wireless networks in new ways Increases cost and reduces profitability Degraded experience drives customer calls CSRs blind to network congestion Root causes difficult to pinpoint along the service delivery chain Lack of visibility into subscriber experience to better resolve issues Reduced Market Share/Brand Value Market share loss due to increased competition, lack of service differentiation, slow time to market of new services, and substandard brand perception 12

13 How does customer experience affect costs? Average customer calls THREE (3) times in the first 30 days (Tier 1 SP) 87% of smartphone owners calls for took >10 minutes; 29% report that issues not resolved for days 68% of regular cell phone users calls take >10 minutes (Yankee Group) Mobile Broadband AHT increasing ~3x over voice 28 min - USB & PC card modems 15 min 1 sec - Smartphones 11 min 44 secs Feature phones (WDSGlobal) 43% of all customer issues require two or more support calls (Stratecast) 4 out of every 10 users with a bad experience, churn (Convergys) 15% of all mobile phones are returned in first 30 days (Frost & Sullivan) 63% of returned phones are not faulty; returned because users do not know how to properly set up services (Tier 1 SP) 13

14 Customer Experience 3Transformation 14

15 Customer Experience Transformation (CXT) This is how Alcatel-Lucent describes the journey towards best-in-class customer experience management. 15

16 Why Transformation? Because it s not about projects that tackle pieces of the puzzle It s about making a dramatic difference to market-share, positioning, retention and customer satisfaction while containing cost-to-serve and better matching investments to targeted experience 16

17 The objectives of Customer Experience Transformation Empower the agent and the customer Engage customers proactively Ensure the promised experience Enable other brands Dramatically improve customer perception Decrease cost-to-acquire and cost to serve Better match investment to target experience Continuous measurable improvements Reactive Relationship Proactive Relationship Valued Relationship Monetized Relationship 17

18 Becoming best-in-class, then monetizing that reputation Empower the agent and the customer Putting the right information in the right hands Engage customers proactively Using analytics to anticipate needs and desires Ensure the promised experience Delivering measurably consistent service experience Enable other brands Externalizing best-in-class capabilities All that in the context of: A multitude of devices per customer; A multitude of applications per device from third parties; A multitude of connectivity options per device including other networks. Multiple connectivity per device, including other providers 18 Applications

19 Top Drivers for Current Service Provider CX Programs Source: 2009 TM Forum, Customer Experience Management: Driving Loyalty & Profitability 19

20 Biggest Service Provider Challenges in CX Programs Source: 2009 TM Forum, Customer Experience Management: Driving Loyalty & Profitability 20

21 Top Drivers for Future Service Provider CX Programs Source: 2009 TM Forum, Customer Experience Management: Driving Loyalty & Profitability 21

22 4 Our Solution 22

23 Solution Definition Customer Experience Transformation (CXT) for Mobile Broadband A pre-integrated, validated, end-to-end solution that allows service providers to leverage their network, service and application intelligence to quickly triage, troubleshoot and resolve customer issues with mobile devices Wireless Network Guardian (WNG) analyzes wireless broadband data networks to support the accurate design, engineering, optimization, and management of network resources. The 9900 WNG reviews how traffic affects critical wirelessspecific resources, such as airtime, channels on a base station, backhaul bandwidth and network signaling to ensure optimal network performance. Motive ServiceView for Mobile (SVM) gives complete visibility and control of mobile broadband services; gathers and analyzes critical Quality of Experience (QoE) information; this information is presented to the help desk (in a simplified and unified manner) to help quickly resolve common customer issues. Genesys Voice Platform (GVP) provides a standards-based voice portal that enables cost-effective customer interactions 24x7; beyond traditional IVR. CXT solution is backed by the Alcatel-Lucent Services organization, which offers indepth knowledge of support systems and process integration strategies that can help service providers transform their customer experience strategies. 23

24 Value Proposition Increase customer satisfaction Resolve Customer issues in a single call Resolve Customer issues in less time Provide Customers with self-service options (Web or IVR) Lower OpEx/Improve Operational efficiency Reduce Average Handling Times (AHT) Increase First Call Resolutions (FCR) Decrease escalations to Tier 2/3 for routine issues Decrease No Fault Found (NFF) returns Reduce time-to-market for new services Leverage existing investments (WNG, MDM, etc.) Reduce Call-Center Support Costs Savings on 1 million inbound broadband support calls = $8.7M based on 20% (3.8min) reduction AHT 15% increase FCR 15% reduction Tier 2&3 escalation 5% increase in IVR self service calls 24