Customer Experience Management Performance through improved customer lifetime value Nokia Solutions and Networks. All rights reserved.

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1 Customer Experience Management Performance through improved customer lifetime value 2014 Nokia Solutions and Networks. All rights reserved.

2 Our approach Insight Action The right data to generate the most relevant insight Best-practice use cases from hundreds of projects worldwide Know-how to measure Outcome success & continually refine results 2 28-Mar Nokia Solutions and Networks. All rights reserved.

3 Business drivers for CEM Loyalty and revenues Monetizing traffic growth Efficiency > Retaining customers and increasing their loyalty by focusing on their needs > Increasing revenues from existing customer base > Gaining visibility to perceived customer experience through customer centric operations > Optimizing and growing the capable device base for 3G and LTE data > Monitoring and optimizing customer data experience > Up selling 3G and LTE data plans to capable devices > Monetizing OTT services > Managing the increased complexity by simplifying operations and automating actions > Exploiting smart data opportunities including big data to manage growing number of data sources and related insights 3 28-Mar Nokia Solutions and Networks. All rights reserved.

4 CEM Launch Window launches To support operator business priorities Loyalty and revenues Monetizing data growth Efficiency CEM for Loyalty Scores Revenue capture through increased customer life time value Device Portfolio Analyzer Increased revenues through optimal device mix to drive data usage CEM Umbrella Solution Customer loyalty and savings through leveraging economies of scale 4 28-Mar Nokia Solutions and Networks. All rights reserved.

5 CEM for Loyalty Scores 5 28-Mar Nokia Solutions and Networks. All rights reserved.

6 Operators increasingly use Net Promoter Score To measure and manage customer loyalty Would you recommend Operator X to your friends and colleagues? promoters passives Very likely Neutral Not likely detractors How to link with customer experience management? NPS % of Promoters (9 and 10) = - % of Detractors (0 to 6) Regular customer surveys to monitor the score 6 28-Mar Nokia Solutions and Networks. All rights reserved.

7 CEM on Demand tuned to reflect Net Promoter Score Enables customer-focused actions throughout the organization Customer Experience Index Number of subscribers Promoters Passives Detractors CEM for Loyalty Scores > In CEM on Demand, CEI user interface to reflect NPS, filters to identify detractors, integration of NPS insight to content packs > Professional Services for CEI calibration, insight induction, prioritization of actions > Close to real-time visibility to Net Promoter Score, and factors contributing to it throughout the organization > Enables everyone to work together to identify likely detractors and focus on actions to turn them passives and further to promoters Real-time performance indicators 7 28-Mar Nokia Solutions and Networks. All rights reserved.

8 Growth CEM powers timely and focused actions to improve the NPS Customer recommendations lead to profitable growth NPS correlates with market growth Profitability through Revenue growth > Increased customer life time value Operator B Operator C OPEX savings > Reduced acquisition and retention costs > Less customer care and other interactions > Focused and prioritized actions Operator A Embeds NPS in all daily operations of the operator Source: Harvard Business Review 2003 NPS Score 8 28-Mar Nokia Solutions and Networks. All rights reserved.

9 Tuning CEM on Demand to NPS for customer care 9 28-Mar Nokia Solutions and Networks. All rights reserved.

10 CEM for Loyalty Scores CEM for Loyalty Scores Care use case 1. Marketing, Customer Care, Operations and Management in MyTelco have the same visibility to Net Promoter Score reflected in near real-time in Customer Experience Index. 2. The shared goal within every department and individual working for MyTelco is to improve NPS by making detractors passives and further to promoters Mar Nokia Solutions and Networks. All rights reserved.

11 CEM for Loyalty Scores CEM for Loyalty Scores Care use case 3. Care team works to turn the high value detractors, who are most important to retain, to passives. 4. By drilling down to the reasons of dissatisfaction in the Customer Experience Index, they identify low scores in ticket resolution time Mar Nokia Solutions and Networks. All rights reserved.

12 CEM for Loyalty Scores CEM for Loyalty Scores Care use case 5. With Customer Quality Insight Content Pack Care analyzes the helpdesk calls of must retain detractors further. 6. Special number analysis reveals these subscribers are calling prepaid helpdesk although they are postpaid users. Customer Care re-routes these calls to another team to handle. 7. Care agents also list the top 1000 callers to fix their issues. Satisfaction of these customers will be followed up by SMS Mar Nokia Solutions and Networks. All rights reserved.

13 CEM for Loyalty Scores CEM for Loyalty Scores Care use case 8. Insight on whether the caller is a likely promoter, passive or detractor, is also integrated to Customer Care. This is very valuable information for the helpdesk as well as other customer touch points Mar Nokia Solutions and Networks. All rights reserved.

14 CEM for Loyalty Scores CEM for Loyalty Scores Care use case 9. With Care working together with the rest of the organization to focus on identifying and turning the must retain detractors to passives and further to promoters, MyTelco improves their Net Promoter Score Mar Nokia Solutions and Networks. All rights reserved.

15 Making CEM real for large operators Mar Nokia Solutions and Networks. All rights reserved.

16 CEM needs are different at group and country levels Group level Large scale decisions > Customer centric insight supporting decision processes > Regional comparisons & deviations > Evaluation of new campaigns & their effectiveness > Brand & partner evaluations > Target & planning metrics Country operations Operational actions > Customer centric network optimization/problem resolution > Focus on individual customer insight > Insight driven marketing activities & campaign management > Complain handling and customer care > Efficiency gains in several areas Mar Nokia Solutions and Networks. All rights reserved.

17 Nokia Solutions and Networks (NSN) CEM Umbrella Solution Combines local CEM information for group level decisions Performance of networks, services and devices across the group updated on daily basis Easy and fast start through standardized use cases developed from customer engagements NSN Solution > Integrates local CEM platforms at the group level > Defines the key use cases > Implements the data gathering process from affiliates > Develops customized reports for the key stakeholders > Operationalizes CEM at the group level Limited investment with the need for platform to be deployed only at the group level Mar Nokia Solutions and Networks. All rights reserved.

18 NSN Umbrella CEM enables operator groups to leverage economies of scale For customer satisfaction and better business agreements Group level visibility to affiliates enables Business benefits through better informed decision making and practices by benchmarking affiliate performance and deviations Increased customer loyalty and lifetime value by implementing CEM best practices across affiliates Revenues though better SLAs and roaming agreements with partners European operator with 16+affiliates connected with NSN CEM umbrella uses it for Promote devices with higher usage and service uptake Analyze and compare network utilization across affiliates Rolling out NSN CEM Umbrella to 17affiliates of a leading South American operator for Contract and campaign evaluation Cost savings through better group level terms and conditions for device procurement Contract negotiations with device vendors for better deals and optimal device portfolio Monitoring roaming experience for better SLAs with roaming partners Mar Nokia Solutions and Networks. All rights reserved.

19 Roaming Use case CEM Umbrella Solution Mar Nokia Solutions and Networks. All rights reserved.

20 Exploring the distribution of roamers CEM Umbrella Solution Use case 1. The roaming director of MyTelco group wants to renegotiate the roaming business with the partners and wants to understand the roamer dynamics. 2. She looks into Roamers Business tab on her umbrella CEM dashboard and sees that there is a huge volume of roamers from UK using their affiliate networks while roaming. 3. She checks specifically on the data usage to validate this is still high for the UK roamers Mar Nokia Solutions and Networks. All rights reserved.

21 Analyzing the roamer dynamics related to specific countries CEM Umbrella Solution Use case 4. She wants to drill down further to see the distribution of data usage of UK roamers across the different affiliates. 5. By selecting the all operator option she can see the break down of roamers and their data usage split by the different UK operators and she notices that Vodafone UK has the highest number of roamers Mar Nokia Solutions and Networks. All rights reserved.

22 Utilizing trends CEM Umbrella Solution Use case 6. She checks on the trend to see whether this is a one off occurrence or a trend and sees that there has been a steady increase in Vodafone UK roamers compared to other UK operators across its affiliates in the last month. 7. She also notices that the data usage of Vodafone UK roamers are very high compared to the other UK operators Mar Nokia Solutions and Networks. All rights reserved.

23 Action for better revenue models CEM Umbrella Solution Use case 8. With these stats from the CEM umbrella solution the roaming director negotiates a better contract and improved SLAs with Vodafone UK thereby improving the revenue potential Mar Nokia Solutions and Networks. All rights reserved.

24 Device Portfolio Analyzer Mar Nokia Solutions and Networks. All rights reserved.

25 Understanding device trends and capabilities Enables better customer experiences Operator View > What devices are in use today and are they gaining or losing subscriber share? > How can I negotiate better deals with device vendors? > Is there a way to get a single view of all my device management systems? > How can I leverage all the device capability information available to me? Subscriber View > What are the most popular devices going to be in the near future? > What are the capabilities of devices my operator offers? > My operator knows what device I have. Why can t they use that information whenever I interact with them to make my life easier? Mar Nokia Solutions and Networks. All rights reserved.

26 Device Portfolio Analyzer Managing your device portfolio efficiently > See trends of growth and decline as well as terminal migration patterns to and from devices, vendors, categories and more for over 70,000 device types > Plug real time device information into other applications via API > Get an executive level view of markets, regions or multi-country device distribution > Acquire a superset of features in one solution rather than pieces and parts or only enterprise focus Mar Nokia Solutions and Networks. All rights reserved.

27 Device Portfolio Analyzer promotes smart device management Simplify your portfolio and use real time device information for CEM Enables revenue generation by > Planning device mixes based on trends and capabilities of service for data growth > Increased retention and service uptake due to improved customer experience Savings introduced by > Reducing care and marketing of devices with a streamlined portfolio > Automation with real time device information being supplied to applications > Better deal negotiating capabilities with vendors > Consolidation of reports from multiple systems into a single view Mar Nokia Solutions and Networks. All rights reserved.

28 Optimizing your device portfolio Mar Nokia Solutions and Networks. All rights reserved.

29 Discovering the trend Device Portfolio Analyzer use case 1. Operations tells Marketing that they have discovered a new device, the LG G Flex, on the network that is causing problems but MyTelco doesn t sell it. What can Marketing do to help? 2. Jennifer in Marketing goes to the Device Portfolio Analyzer to understand how much market share the device has and see the trend over the last month. It s been growing somewhat steadily, which is not good if it has been causing problems Mar Nokia Solutions and Networks. All rights reserved.

30 Investigating alternatives Device Portfolio Analyzer use case 3. Jennifer next looks at Terminal Migration to see what devices people move to when they stop using the problem device. Looks like HTC One and LG Optimus F6 are popular alternatives that MyTelco sells. She wants to offer subscribers an alternative, but she s looking at different devices to promote to postpaid vs. prepaid subscribers Mar Nokia Solutions and Networks. All rights reserved.

31 Creating a plan of action Device Portfolio Analyzer use case 4. Going back to the Highlights area, Jennifer sees that both the HTC One and LG Optimus F6 are in the top devices MyTelco is selling and they have good growth trends. She can now create campaigns for prepaid and postpaid users to swap their LG G Flex for her targeted devices and take advantage of MyTelco s incentivizing offer Mar Nokia Solutions and Networks. All rights reserved.

32 Executing the plan and getting results Device Portfolio Analyzer use case 5. Using Serve atonce Device Manager, Jennifer is able to set up 2 separate campaigns for postpaid and prepaid subscribers and execute them. 6. A few weeks later, Jennifer goes back to Device Portfolio Analyzer to check on her campaigns. She finds that the HTC One and LG Optimus F6 have grown a bit more in market share, but she can clearly see that the LG G Flex has lost many subscribers, so she knows her campaigns were successful Mar Nokia Solutions and Networks. All rights reserved.

33 Traffic Steering Mar Nokia Solutions and Networks. All rights reserved.

34 CEM demos in Mobile World Congress 2014 Address operator business priorities Loyalty and revenues Monetizing data growth Efficiency CEM for Loyalty Scores Revenue capture through increased customer life time value Device Portfolio Analyzer Increased revenues through optimal device mix to drive data usage CEM Umbrella Solution Customer loyalty and savings through leveraging economies of scale CEM Analytics for Traffic Steering Efficiency through automated value based traffic steering Mar Nokia Solutions and Networks. All rights reserved.

35 Traffic steering means different things to different people How to optimize the usage of heterogeneous networks? CAPEX Load balancing? Dynamic QoS prioritization Wi-Fi offloading How to prioritize high value customers? REVENUES OPEX How to simplify operations? Mar Nokia Solutions and Networks. All rights reserved.

36 Insights Dynamically optimized settings or policies NSN cross portfolio solution for Traffic Steering INSIGHTS CUSTOMER Lifetime value, customer segments, device capability SERVICES Applications (Facebook, Youtube etc) NETWORK Capacity, performance BUSINESS REASONING Orchestration Traffic Steering Analytics and Rules Monitoring, reporting, optimization, automation ACTIONS Load balancing Quality of Service management Idle and active mode control Use case examples 1. Wi-Fi offloading of selected customers based on customer segment, application type and quality of experience and device capabilities 2. QoS prioritization and resource optimization for customers based on lifetime value, segment, application type and demand 3. Temporary provisioning of high value customers with capable devices to LTE > Unique combination of network and customer insights to execute dynamic traffic steering actions > Solution is software based (no hardware investment needed), no centralized system needed > Enables making Wi-Fi an integral part of mobile broadband to utilize unlicensed band for additional capacity Mar Nokia Solutions and Networks. All rights reserved.

37 Business benefits Maximized business value by utilizing the network to its full potential Business CAPEX savings Savings on radio hardware due to increased efficiency Customers Increased revenue capture Personalized customer experiences for improved customer lifetime value Lower customer retention and acquisition costs due to higher satisfaction and loyalty Operations Higher efficiency Improved value capture through the benefits of automation handling large amounts of dynamic actions Mar Nokia Solutions and Networks. All rights reserved.

38 Extras Mar Nokia Solutions and Networks. All rights reserved.

39 Analyst recognition for our CEM portfolio By tuning its CEM offering to reflect NPS and making that insight available to different management layers within the telco, NSN gives operators a valuable tool to get closer to underpinning true Customer Experience. Chris Lewis 2014 IDC believes that NSN is at the forefront of the market in incorporating customer experience into network operations. IDC Flash report: The new NSN 2013 CEM on Demand gives NSN an attractive value proposition to operators, as the simplified view of network KPIs is ideal for chief marketing officers and network engineers. Chris Antlitz, Michael Soper 2013 One of the biggest challenges of CEM is how to make insightful and actionable data quickly available to the different parts of the business in a format everyone can understand. NSN s CEM on Demand, is an effective example of how to quickly bring key data and KPIs in a way different stakeholders are able to support better decisions. Informa, Telecoms & Media Mar Nokia Solutions and Networks. All rights reserved.

40 Our CEM has a true global reach Selected CEM deals Bharti Airtel says that NSN Customer Experience Management is one of the best platforms available in the industry. Jagbir Singh, Director, Network Group at Bharti Airtel Device Manager Device Manager CEM on Demand, Device Manager CEM platform CEM on Demand CEM platform Customer Care, Traffica CEM on Demand, Traffica Customer Care Mar Nokia Solutions and Networks. All rights reserved.

41 What do our customers say about us? This innovation gives us a unified view of how our customers are experiencing our services and real-time customer insights, helping us proactively improve the service quality for our customers. Hanang Setiohargo, VP Network and Service Assurance Management, Telkomsel Zain Kuwait s COO shares how Zain and NSN worked together to develop the best approach to CEM for their specific needs. Once the approach was evolved, NSN designed and implemented CEM software cost-efficiently, making all our customers, including high-value customers and international inbound roamers, more empowered with a superior service experience. Hani ElKukhun Chief Operation Officer, Zain Kuwait "This solution is a product that will enable call centers to make a real difference in the companies customers experience. We can solve technical problems during the first call in 50% of the cases. Response is available on average in 20 seconds. Customer Care Head, Orange Switzerland Bharti Airtel s CEO says that NSN s robust mobile device management solution will allow our customers in Africa to enjoy the latest services by enabling seamless internet connectivity and excellent customer care support. The solution will benefit Airtel from reduced operational costs when introducing new devices or services. Manoj Kohli CEO Bharti Airtel Mar Nokia Solutions and Networks. All rights reserved.

42 Innovation awards recognize our CEM offering NSN and Zain Kuwait win Global Telecoms Business Innovation Award 2013 NSN wins CEM Innovation of the Year Award 2013 at Telecom Asia Customer Experience Index from our CEM on Demand portfolio recognizes deployment to track customers experience in near real time and at the individual subscriber level for any service, device and location. Dashboard Solution for Unified Network & Service Operations from our CEM portfolio Monitors and analyzes various aspects of the Bharti Airtel s entire network operations and then presents them in a unified way to help the operator provide the best service quality management and customer experience to its subscribers Mar Nokia Solutions and Networks. All rights reserved.

43 Thank you 2014 Nokia Solutions and Networks. All rights reserved.

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