TURNING BIG DATA INTO MOBILE SUBSCRIBER INSIGHTS: How Mobile Operators Can Capture, Retain and Grow their Subscriber Base

Transcription

1 TURNING BIG DATA INTO MOBILE SUBSCRIBER INSIGHTS: How Mobile Operators Can Capture, Retain and Grow their Subscriber Base

2 Top considerations in U.S. smartphone purchases are: mobile network quality, overall monthly plan cost, the brand name of the mobile service provider, the phone and the data plan cost.

3 EXECUTIVE SUMMARY In the United States and Western Europe, smartphones now make up more than half of all active mobile telephones in the marketplace. Monthly global data consumption from individual smartphones will grow from 150MB in 2011 to 2.6GB in Meanwhile, adoption for more data-intensive tablet devices has already reached more than 50 million devices used via Wi-Fi or through mobile networks, accounting for approximately 22 percent of U.S. mobile device users 2. Despite this proliferation, Average Revenue per User (ARPU) is eroding for mobile operators, as growth in data revenue has failed to offset declines in voice and text revenue. Mobile operators are struggling to gain digital insights from subscriber big data spurred by mobile media consumption. Mobile operators must bridge this gap and provide customized products and services to maximize the subscriber experience and drive growth. Unlocking this opportunity requires a profound understanding of subscriber behaviors from big data generated by usage of smartphones, tablets and other connected devices. The top considerations in U.S. smartphone purchases are: mobile network quality, overall monthly plan cost, the brand name of the mobile service provider, the phone and the data plan cost 3. In order to incrementally capture, retain and grow their subscriber bases, mobile operators must more effectively maximize the utilization of big data. By effectively leveraging their existing big data assets, operators can generate actionable insights that enable them to: Develop effective marketing strategies to increase ARPU (e.g. new tariff plans) Acquire the next best devices for their networks to attract new customers Improve coverage and Quality of Service (QoS) to retain customers COMSCORE SUBSCRIBER ANALYTIX TM MARKETING is the software solution for mobile operator marketers that provides clarity and insights, which give universal context to subscriber digital behaviors. The solution delivers a relevant, agile and intelligent service that drives customer lifetime value. Subscriber Analytix Marketing goes beyond the current market offerings by bringing data transparency to mobile operator business units. 1) Cisco. Visual Networking Index: Global Mobile Data Traffic Forecast Update, February ) These statistics were compiled in December 2012 from comscore TabLens. 3) These statistics were compiled in December 2012 from comscore MobiLens. FOR FURTHER INFORMATION, PLEASE CONTACT: Maria Quan comscore, Inc subscriberanalytix@comscore.com

4 As illustrated in Figure 1, this solution enriches existing data streams for enterprise reporting and analytics and supplies marketers with agile and tailored user-ready reports. FIGURE 1 Subscriber Analytix Marketing Network Data Data Collection & Aggregation COMSCORE SUBSCRIBER ANALYTIX MARKETING Data Enrichment Analytics and Reporting GGSN, network probes and proprietary data Data collection, anonymization and data aggregation Digital assets: web, devices, apps, services Reports, dashboards, bulk data exports CRM, billing and handset data integration With Subscriber Analytix Marketing, mobile operators glean insights into subscribers data consumption, browser and app usage, content categorization, segmented data usage types and frequency. This provides operators with the software platform to capture, retain, and grow subscribers in this new world of connected devices. 4

5 THE CHANGING MOBILE OPERATOR ENVIRONMENT In the U.S. and Western Europe, the Average Revenue Per User (ARPU) is under continuous pressure. In recent years, falling voice and text revenue contributions to ARPU have negated higher data revenues. In Q4 2011, U.S. operators lost 96 cents in fees for voice services for every 52 cents of new data service fees they acquired. 4 Similarly, large Tier 1 European operators such as Telefonica Europe recognized ARPU declines caused by decreased voice revenue. The increase in data usage stems from the advent of smartphones, which has heightened consumers appetite for mobile web connectivity. While early data plans were costly and only affordable for affluent and enterprise subscribers, accessibility to data has increased in recent years as price points dropped for basic plans. However, many basic data subscribers remain conservative with data usage due to the availability of free or inexpensive Wi-Fi options. Mobile operators need to incentivize these subscribers by tailoring tariff plans and devices according to the subscribers own preferences for mobile media consumption. For instance, insight into heavy sports media consumers can show potential demand for sports event streaming and 4G services. This may prompt mobile operators to develop specific event streaming and device conversion add-on packages for tariff plans to maximize revenue. 5 Mobile operators have yet to effectively utilize categorization and granular segmentation in digital measurement. RAPID ADOPTION OF CONNECTED DEVICES DRIVES NEED FOR DIGITAL MEASUREMENT Adoption rates for connected devices such as smartphones, mobile broadband cards, tablets, e-readers and individual hotspots have skyrocketed. comscore MobiLens TM found that in the U.S. and EU5 countries (comprised of France, Germany, Italy, Spain and the UK), smartphones currently make up more than half of all active mobile phones. 6 Mobile broadband, according to the International Telecommunications Union (ITU), had almost 1.1B active subscriptions globally in Meanwhile, comscore TabLens reports that U.S. tablet adoption exceeded 52 million devices used via Wi-Fi or through mobile networks in the last three years. 8 In fact, an entire industry has developed around these new devices. Connected devices provide the on-ramp to digital services catering to subscribers needs for 4) Chetan Sharma, U.S. Market Update Q and Full Year 2011, U.S.marketupdate2011.htm (January 2012). 5) Mobile Europe, Telefonica Sees ARPU Decline as Data Grows and Voice Falls, Analysis/telefonica-sees-arpu-decline-as-data-grows-and-voice-falls (November 2011). 6) These statistics were compiled in December 2012 from comscore MobiLensTrend. 7) International Telecommunications Union. The World in 2011: ICT Facts and Figures. March ) comscore Mobile Future in Focus. February For more information, please visit SubscriberAnalytix or subscriberanalytix@comscore.com 5

6 browsing the mobile web, accessing applications (apps) or downloading content. As consumers have quickly adopted these digital behaviors, mobile operators have yet to effectively utilize categorization and granular segmentation in their digital measurements. APPS PROVIDE INCREMENTAL REACH FOR MOBILE OPERATORS AND MEDIA PUBLISHERS Accelerated device proliferation and especially smartphone adoption have helped to spur the growth of mobile apps and mobile browser services. Smartphone operating systems, such as Apple ios and Google Android allow third-party developers to create mobile software applications on their systems. In the past, most feature phones had proprietary operating systems and prohibited third-party development in their environments. Today s more open platforms, coupled with the swift adoption of smartphones, created a new world of apps where both content providers and publishers can seek lucrative profits from investments in consumer mobile application development. Through connected mobile devices, subscribers can download these applications in media stores, such as Google Play and itunes. Subscribers can find a full range of entertainment, social networking, business, lifestyle applications and more. According to comscore Mobile Metrix, when using applications via smartphone, sites owned by Google combined to show more than a 92 percent reach among U.S. media consumers in November This includes Google Play that offers Google s own applications, such as Maps and other non-google applications. FIGURE 2 Top U.S. Media Properties by Mobile Application Access Source: comscore Mobile Metrix, November 2012 Google Sites Facebook.com Sites 75.1% 92.6% Yahoo! Sites 69.0% Pandora.com 40.9% Apple Inc. 39.0% In November 2012, comscore MobiLens showed that 57 percent of the total mobile audience in the U.S. used mobile apps and the U.S. total audience growth was 16.8 percent year-over-year. In the EU5 the app world has a similar grip on audiences, with 53.9 percent of the total mobile audience using mobile applications. The EU5 total audience growth was 17.3 percent from the prior year. 6 9) These statistics were compiled in December 2012 from comscore Mobile Metrix 2.0.

7 Connected device proliferation has also led to increased use of mobile browsers to view and stream content from publisher websites percent of the total mobile audience in the U.S. used mobile browsers and the U.S. total audience growth was 23.9 percent. Among EU5 mobile subscribers 47.5 percent used mobile browsers and the EU5 total audience growth increased 32 percent from the prior year. 10 The U.S. top media properties are Google, Facebook, Yahoo, Wikimedia Foundation, AOL and Amazon. This reveals that consumers heavily participate in a wide range of mobile activities from research, social networking, shopping and music and video streaming. Google Sites Facebook.com Sites Yahoo! Sites Amazon Sites 55.5% 52.9% 59.1% 88.4% FIGURE 3 Top U.S. Media Properties by Mobile Browser Access Source: comscore Mobile Metrix, November 2012 Wikimedia Sites 39.7% The continued adoption of connected devices provides incremental reach for mobile operators and digital service providers. If mobile operators can identify existing subscribers who already consume a significant amount of mobile media, incremental revenue in the form of premium data services or device attachment campaigns. Apple Inc. Facebook.com FACEBOOK Google Sites Yahoo! Pandora Amazon 2,944 4,700 3,454 11,635 10,307 7,292 10,112 9,857 9,803 8,545 7,920 7,647 Application Access Browser Access FIGURE 4 Selected U.S. Media Properties by Unique Visitors (000) via Apps or Browsers (Age Year Olds). Source: comscore Mobile Metrix, November 2012 Wikimedia 235 5,847 OVER THE TOP SERVICES: FRIEND OR FOE TO MOBILE OPERATORS? The increased availability of mobile connectivity via connected devices has also spurred the development of more Over the Top, or OTT services. At present, OTTs supply alternative services for voice, social networking, SMS or texts, instant messages, video and more. Subscribers download OTT applications via their mobile networks or other Internet access points. The mobile operator supports only the data connection and does not typically share revenue with the OTT application provider, leaving potential revenue behind. For more information, please visit SubscriberAnalytix or subscriberanalytix@comscore.com 10) The statistics on application and browser usage were compiled in December 2012 from comscore MobiLensTrend. 7

8 Average viewers in the U.S. watched almost 220 videos per month via PCs.

9 In selected European countries and in the U.S., Viber is an example of an OTT that is available for free calls, texts and picture sharing. From the European market via the mobile app, the company received more than two million unique visitors. In the U.S., Viber also received more than 1.8 million unique visitors with an average of 70 minutes per visitor in November Unlike a traditional mobile voice or texting service, Viber rides on top of the mobile network; as such, operators do not receive any portion of voice or text revenues. 14,000 14,000 12,000 12,000 10,000 10,000 8,000 8,000 6,000 6,000 4,000 4,000 2,000 2, Jun-2012 Jul-2012 Aug-2012 Sep-2012 Oct-2012 Nov-2012 Jun-2012 Jul-2012 Aug-2012 Sep-2012 Oct-2012 Nov-2012 Skype Facebook Messenger WhatsApp Messenger Viber Skype Facebook Messenger WhatsApp Messenger Viber FIGURE 5 U.S. Application Usage for OTT Services Unique Visitors (000). Source: comscore Mobile Metrix 2.0, November 2012 The original OTTs were not application-based, but rather physical calling cards that required heavier user interactions. These evolved into voice over internet protocol or VoIP services utilized on personal computers. Today, most OTTs, such as Skype, Facebook Messenger and texting OTTs, are seamless and growing in adoption from either applications or browsers. In just five months Facebook Messenger s reach doubled to almost 10 percent of U.S. smartphone users. 12 As the access conduits for OTT application downloads and services via browsers, mobile operators still have the opportunity to take a share of this revenue pool via partnerships or creating new services of their own. 3G TO 4G: SUBSCRIBERS DEMAND FASTER SPEEDS AND BETTER QUALITY The higher frequency of application usage and mobile browsing requires more data, faster browsing speeds and better quality service. As 3G data consumption increases, subscribers require streaming and other data-intensive services. comscore Video Metrix reports that there are over 182 million monthly unique viewers of online streaming video in the U.S. via personal computers. The average viewer watched almost 220 content videos per month. Of this audience, 153 million streamed video via YouTube. 13 As PC video usage continues to increase, operators plan to accommodate mobile video usage growth by continuing to invest in 3G and 4G networks. These upgraded networks bring faster access and higher quality services, including high definition (HD) video and HD voice. These HD services For more information, please visit SubscriberAnalytix or subscriberanalytix@comscore.com 11) These statistics were compiled in December 2012 from comscore Mobile Metrix 2.0 and MobiLensTrend. 12) These statistics were compiled in December 2012 from comscore Mobile Metrix ) These statistics were compiled in December 2012 using comscore Video Metrix. 9

10 require more bandwidth and data consumption than their legacy formats creating a consumer need for more affordable and flexible data plans. As subscribers migrate to more data-intensive services and 4G networks, it is imperative for mobile operators to recognize and capitalize on the next big streaming services. SHARED DATA PRICING PLANS AIM TO CAPITALIZE ON SUBSCRIBER DEMANDS In the past, mobile operators offered separate voice, text and data allotments. In response to device proliferation, mobile operators in parts of Western Europe, North America, East Asia and Australia are offering a new iteration of tariff plans that feature shared data usage. Shared data usage grants subscribers specific data usage allotments to distribute among multiple devices for a nominal fee. In the U.S., Verizon Wireless introduced its Share Everything plan while AT&T introduced its Mobile Share plan. Under these plans, subscribers pay $10 monthly to add each new device to their individual account. Subscribers receive unlimited voice, text and sharable data allotments for up to 10 connected devices with the ability to utilize smartphones as mobile hotspots within the account data allowance at no additional charge. These plans encourage subscribers to connect more devices to their mobile network accounts, resulting in greater data usage and revenue. The development of new shared data plans reflects the strong focus that mobile operators have placed on increased data revenues as well as the commoditization of voice and text services. As subscribers bring new devices to the mobile network, the operators aim to reap higher financial rewards with dramatically increased data usage. THE UNTAPPED VALUE IN SUBSCRIBER BIG DATA HELPS CREATE NEW REVENUES With the proliferation of smartphones, along with higher mobile app and browsing usage and the 4G network overhauls, mobile operators must prepare for significant increases in big data streams. According to Cisco, average monthly smartphone traffic will grow from 150MB to 2.6 GB in 2016, while global tablet traffic alone will exceed 1.1 exabytes (1.1 x 1018 bytes) roughly the amount of mobile data traffic worldwide in Mobile subscriber big data records capture all behaviors from an opted-in subscriber s session, including: subscriber profile, location, time, frequency, device type, operating system, browsing, streaming usage, the media accessed, data consumption and tariff plans. To stay competitive in the market, mobile operators must store and derive value from this massive amount of information while also respecting subscriber privacy and ensuring transparency through clear opt-in/ opt-out processes. The mobile operators that can immediately capitalize on this value in their subscriber big data will gain market share and stay ahead of their competition by being the first to develop new revenue streams ) Cisco. Visual Networking Index: Global Mobile Data Traffic Forecast Update, February 2012.

11 LACK OF DIGITAL DATA ENRICHMENT AND RELEVANT ANALYTICS PROHIBITS GROWTH Mobile operators struggling with falling voice and text revenue and higher churn rates need new growth levers. In order to overcome these challenges, mobile operators must leverage complex and disparate streams of big data to obtain three key perspectives: 1. Greater understanding and insight into subscriber behaviors and preferences. 2. Increased information transparency between business units through shared awareness of subscriber insights. 3. Faster time to action with tangible options to capture, retain and grow subscribers. Marketing leaders at mobile operators must be prepared to capture and act on subscriber big data as a foundational step in creating plans to grow revenue and market share. However, they face a number of big data challenges including processing, normalization, aggregation, storage, digital data enrichment, reporting and analysis. Digital data enrichment with categorization and segmentation of mobile media consumption represents a major complication for mobile operators in their current data environments. This method of classification or digital taxonomy was not a necessity for mobile operators before smartphones. Now, the global proliferation of connected devices has changed this requirement and digital data enrichment is crucial in extracting the most out of any subscriber big data stream. For more information, please visit SubscriberAnalytix or subscriberanalytix@comscore.com 11

12 Today s analytics solutions must undergo costly and lengthy customizations to be ready for use by marketers.

13 THE CURRENT ANALYTICS MARKET Many third-party vendors pitch solutions to analyze subscriber big data, but very few of these options are highly relevant for marketing and business strategy purposes. Mobile operators also have the option to develop internal analytics. Each of these solutions has positive and negative aspects but all must undergo costly and lengthy customizations to be relevant and immediately useful to marketers. Third-party vendor services range from Deep Packet Inspection (DPI) to networkoriented analytics or general telecommunications analysis. The DPI and networkoriented vendors provide detailed information in reports typically intended for engineers. As such, these are not easily manipulated or understood by business end-users. Ultimately, the marketing end user is likely to invest additional time to add demographic information or to recompile the report to make it more relevant for their retail product propositions or market plans. Meanwhile, the operator-developed analytics solution is extremely customized and takes enormous time and capital investment to produce. This analytics option has a large opportunity cost to the mobile operators who must reallocate or hire new resources to develop the operator-specific tool. A better option is to deploy an operator-ready analytics solution that can accelerate existing software and hardware investments. In addition, many of today s analytics options for operators lack the ability to bring external information into their analyses. Many of these vendors simply cannot obtain valid independent information, severely limiting comparative analysis for mobile media consumption. Subscriber data usage from individual mobile operators is not a large enough sample to create accurate patterns of global Internet usage or to forecast potential subscriber behaviors. Mobile operators are often unable to compare their subscriber behavior patterns with external macroenvironment trends. Marketers at mobile operators need an analytics tool that imparts clarity and granular segmentation of subscriber data usage and delivers macro-level context to subscriber digital behaviors by delivering a relevant, agile and intelligent service. Marketing leaders are hungry for a solution that can transform their vast amounts of digital subscriber data and into insights to drive subscriber capture, retention and growth. For more information, please visit SubscriberAnalytix or subscriberanalytix@comscore.com 13

14 THE POWER OF COMSCORE DATA Founded in 1999, comscore is best known as the gold standard for measuring digital activity, including website visitation, search, video, social, digital advertising and e-commerce. comscore has assembled a unique collection of data and technology assets that are woven into each of its product suites. comscore Data assets come from two major sources: A proprietary opt-in global panel of two million people, which provides rich information on audience demographics and consumer digital engagement. The comscore Census Network TM (CCN) is one of the largest and most comprehensive big data repositories on digital activity in the world. It provides census-level reporting for over one million websites globally and processes server-level data (over 1.5 trillion events per month) for sites and apps all over the world. CCN captures visitation, ad exposure, video usage, search information and more, across connected devices, including PC s, smartphones and tablets. comscore combines these data sources using its Unified Digital Measurement (UDM ) technology to provide an uniquely person-based (as opposed to cookie-based) measurement solution. These assets are woven into comscore s entire product suite in ways that enable customers to quickly derive meaning and insights from all available data and to leverage all digital channels so as to maximize the growth of their businesses. 14

15 Website & App Usage Online Advertising FIGURE 6 comscore Proprietary Data Assets PC Video TV E-Commerce GAMING SMART PHONE Online Behavioral Profiles PANEL TABLET POS Demographic Profiles SERVER comscore Census Network Search Over 1.5 trillion Digital Interactions Per Month Measurement from 172 countries Over 1.5 million domains Greater than 85% of all devices comscore Data assets come from an opt-in global panel of two million people and the comscore Census Network that processes serverlevel data for over 1.5 trillion events per month from sites and apps worldwide. For more information, please visit SubscriberAnalytix or subscriberanalytix@comscore.com 15

16 With Subscriber Analytix Marketing, mobile operators leverage comscore data assets to gain an unparalleled competitive advantage that allows them to compare their subscriber data usage to the market at large.

17 THE SOLUTION comscore Subscriber Analytix Marketing is the digital software solution that provides insights on subscriber digital preferences and behaviors, so mobile operators can make intelligent decisions that drive demand for their products and offerings. Subscriber Analytix Marketing is distinct in the analytics market for its use of proprietary digital taxonomy to enrich existing mobile operator data streams, the display of relevant user-ready executable insights and the capability to use independent information from comscore data assets. For mobile operators, Subscriber Analytix Marketing offers: Relevant and timely categorization of digital behaviors into types of media consumption such as browsing, applications or downloads. A collection of agile and user-ready reports that delve into media consumption segmented by types of data services, volume, devices, tariffs and customer interests. Digital intelligence insights based upon a variety of data streams from the mobile operator and data from comscore proprietary assets. With Subscriber Analytix Marketing, mobile operators leverage comscore data assets to gain an unparalleled competitive advantage that allows them to compare their subscriber data usage to the market at large. For example, visibility is given to the most widely used applications and browsing sites on mobile networks. When compared to the global perspective on apps and sites from comscore proprietary data, operators can begin to assess the next potential data-intensive rising-star services. This provides a new avenue for service revenue and the possibility of additional shared revenue opportunities. Subscriber Analytix Marketing incorporates the comscore Web Dictionary, the comscore Device Classification Dictionary, the comscore Application Dictionary as well as Protocol and Streaming Methodologies: The comscore Web Dictionary, consistently enhanced for 13+ years, contains more than one million URLs with six tiers, 30 top-level categories and more than100 sub-categories that map individual web URLs to meaningful web entities or properties. It segments connected device usage into content categories. For more information, please visit SubscriberAnalytix or subscriberanalytix@comscore.com 17

18 The comscore Device Classification Dictionary is an essential device database with more than 12,000 devices with 200 technical attributes. It serves to aggregate numerous sources, such as Original Equipment Manufacturer (OEM) specifications, Wireless Universal Resource File (WURFL) and User Agent Profile (UAProf) into one central and standardized reference. The comscore Application Dictionary identifies any applications generating mobile traffic across specific mobile operator networks by filtering application metadata and capturing key fields to decode them. comscore Subscriber Analytix Marketing utilizes a specialized protocol methodology that collects protocols and translates them into data consumption categories, such as browsing, streaming audio or video, voice, and other interests. Subscriber Analytix Marketing leverages specific comscore audio and video streaming analysis methodologies, utilizing a combination of domain, host, page, mimetype, application and protocol data. These methodologies enable a variety of comscore monthly reports to size video and audio streaming usage by website. SUBSCRIBER ANALYTIX MARKETING FILLS THE GAP IN DIGITAL DATA ENRICHMENT AND ANALYTICS Unlike other solutions, Subscriber Analytix Marketing works within the existing architecture of mobile operator networks to perform digital data enrichment and to transform this enriched information into timely and relevant insights for mobile operators. Mobile operators can take advantage of these new insights via Subscriber Analytix Marketing s dashboards that include digital measurement capabilities. FIGURE 7 The Subscriber Analytix Marketing Effect on Mobile Operator Data Ingests billions of raw records... and applies digital data enrichment via comscore s proprietary assets to generate differentiated insights. 18 NETWORK DATA MULTIMEDIA & BROADBAND Handsets, Routers Tablets, Dongles USAGE GGSN, DPI, Data, Voice, SMS, Billing, CRM Data, Other Proprietary Data SUBSCRIBER ANALYTIX MARKETING DICTIONARIES Apps, Web, Services, Devices METHODOLOGIES Streaming, Protocol ENRICHED REPORTING AND ANALYTICS CAPTURE Customer acquisition RETAIN Customer retention GROW Margin optimization

19 SUBSCRIBER ANALYTIX MARKETING INTERFACE Subscriber Analytix Marketing displays essential insights through the interface to make users more agile. More than 50 user-ready viewable analyses present business and marketing strategists with executable insights that can serve to measure, refine and improve market positioning strategies and campaigns. By delving into these reports, the user can immediately view the consumption levels of data by devices, OS, downloads, application usage, tariff plans, interest categories and user demographics. Users may also export, and create custom dashboards with the Dashboard Builder. FIGURE 8 Subscriber Analytix Marketing Data Service Analysis Dashboard In addition to the Data Services dashboard displayed above, Subscriber Analytix Marketing provides users with access to other dashboards including Tariff Plan Analysis, Device Analysis, Customer Interests Analysis and Customer Oriented Analysis. For more information, please visit SubscriberAnalytix or subscriberanalytix@comscore.com 19

20 The identification of the next rising-star application before it becomes mainstream can dramatically impact user adoption.

21 USE CASES By utilizing comscore s proprietary dictionaries to categorize browsing interests and granular segmentation down to applications, devices, URLs and methodologies for streaming and protocols, Subscriber Analytix Marketing transforms subscriber big data into executable insights. comscore use cases show the projected results of Subscriber Analytix Marketing to capture, retain and grow subscribers with global Tier 1 operators. CAPTURE AND RETAIN: REFINING DATA ALLOWANCES AND PRICING Current Situation Mobile operators typically have difficulty accurately sizing or dimensioning tariff plans for data usage. Data allowances can be under or overestimated, resulting in frustrated subscribers, who may experience throttling and possible overage charges. Apprehensive subscribers may then limit the amounts of data they consume via the mobile operator. Subscriber Analytix Marketing Impact With Subscriber Analytix Marketing, mobile operators can identify usage propensities with more in-depth categorization of subscriber behaviors. This insight gives mobile operators the ability to create new relevant tariff plans with appropriately sized data allowances. These more attractive plans can improve customer acquisition and satisfaction for the mobile operator. Projected Result for Client A European mobile operator with one million potential premium data subscribers presents newly dimensioned tariff plans. These subscribers already pay 20 for a basic plan. With a two percent adoption of the new premium plan, they pay an extra 10 per month, this would result in extra revenue of over 2.4M annually. For more information, please visit SubscriberAnalytix or subscriberanalytix@comscore.com 21

22 CAPTURE AND GROW: TABLET ATTACHMENT CAMPAIGNS Current Situation Mobile operators view new connected devices as catalysts for growth in data usage and revenues. Due to their rapid adoption rates, tablets currently serve as the best option for mobile operators to quickly lift subscriber data usage. Time-to-market and identification of the most likely adopters is essential in these acquisitions. Subscriber Analytix Marketing Impact Subscriber Analytix Marketing identifies target audiences for tablet upsell/attachment campaigns. The product uses current subscriber data consumption, streaming and browsing patterns with comscore s digital taxonomy to assist operators in determining the types of tablets (entertainment or productivity), specialized tariff plans and subscriber segments to target. Customer satisfaction and operator financial targets are met since both the operator and subscribers gain from the tailored tablet sales through improved tablet campaign effectiveness. Projected Result for Client An U.S. operator with a customer base of six million, approximately 40 percent of which were data subscribers, provides a potential marketing opportunity. Of these data subscribers, Subscriber Analytix Marketing identifies a target audience of 20 percent or 480,000 potential tablet adopters who would pay an average monthly attachment fee of $10 per tablet. At a 3 percent adoption rate from this target audience, the mobile operator is on target to yield additional annual revenues of $1.73 million. RETAIN: PROACTIVE CONTRACT RENEWALS Current Situation The weeks before the end of a subscriber contract are a crucial period for mobile operators. This is the only timeframe when they have the opportunity to retain this valuable business. Base marketing or retention teams hold responsibility for engaging the subscribers during this period to propose new 12 to 24 month contract terms. These new contract proposals must provide the subscribers with proper incentives to remain on the network. In order to design and customize an attractive proposal, these teams need to have awareness of subscriber preferences. Subscriber Analytix Marketing Impact Subscriber Analytix Marketing delivers these insights forward to client-facing resources through enriched information on subscriber profiles and data usage and helps them redesign and customize tariff proposals. These new proposals will address subscriber digital preferences including ideal devices, pricing and accompanying services for every retention opportunity. 22

23 Projected Result for Client The result is a reduction in churn, improved customer satisfaction and incentivized subscriber upgrades. Approximately three million customers per year from mid-sized operators are in potential renewal positions. A churn prevention rate of 0.35 percent with subsequent upgrades of these candidates to higher value tariff plans averaging an additional 10 translated into incremental revenues over 100,000 per month or 12.6M yearly. CAPTURE AND GROW: PRELOADING THE NEXT BIG SERVICE APPS Current Situation With OTTs and other cannibalizing services, mobile operators need more precision in devising revenue partnerships and choosing pre-loaded applications. Mobile network devices can have preloaded applications that give the operator an ability to create personalization and market differentiation. This opportunity has potential to open new avenues for shared revenue. OEMs sanction a limited number of these preloaded applications per device and choosing the appropriate applications is vital. The identification of the next risingstar application before it becomes mainstream can dramatically impact user adoption of a device and bestow a competitive advantage for a mobile operator. Subscriber Analytix Marketing Impact Subscriber Analytix Marketing uses subscriber profiles and segmentation of data usage to identify applications with trend-setting capabilities before the competition. The operator implements the preloading of relevant applications on their devices and customizes tariff plans according to properly segmented subscribers. Projected Result for Client Subscriber satisfaction improves with these more fitting offers and mobile operators better differentiate themselves from their competitors resulting in increased overall usage. As usage increases, the mobile operators are positively impacted from additional data consumption and the possibility of additional shared revenues with app providers. For more information, please visit SubscriberAnalytix or subscriberanalytix@comscore.com 23

24 comscore Subscriber Analytix Marketing empowers mobile operators with essential insights to capture, retain and grow their subscribers.

25 CONCLUSION As connected devices proliferate, mobile operators must seize the opportunity to create the most ideal offerings for their customer needs. comscore Subscriber Analytix Marketing empowers mobile operators with essential insights to capture, retain and grow their subscribers. Through relevant digital categorization, mobile operators achieve a deep understanding of subscriber behaviors and media content consumption. Marketers glean ways to enhance marketing campaigns from agile user-ready reports that segment media consumption by types of data services, volume, devices, tariffs and customer interests. Subscriber Analytix Marketing provides a superior level of digital intelligence derived from disparate data streams, including operator data and data from comscore s proprietary assets. Subscriber Analytix Marketing enables mobile operators to: Improve customer satisfaction by accurately sizing tariff plans according to subscriber usage. Provide the best and most relevant devices for customer lifestyles. Properly incentivize subscribers to renew with customized proposals. Select the next best applications, services and devices. For more information, please visit SubscriberAnalytix or subscriberanalytix@comscore.com 25

26 Subscriber Analytix Marketing provides a superior level of digital intelligence derived from disparate data streams, including operator data and data from comscore s proprietary assets.

27 ABOUT COMSCORE, INC. comscore, Inc. (NASDAQ: SCOR) is a global leader in digital measurement and analytics, delivering insights on web, mobile and TV consumer behavior that enable clients to maximize the value of their digital investments. A preferred source of digital audience measurement, comscore offers a variety of on-demand software and custom services within its four analytics pillars: Audience Analytics, Advertising Analytics, Digital Business Analytics and Mobile Operator Analytics. By leveraging a world-class technology infrastructure, the comscore Census Network (CCN) captures trillions of digital interactions a month to power big data analytics on a global scale for its more than 2,000 clients, which include leading companies such as AOL, Baidu, BBC, Best Buy, Carat, Deutsche Bank, ESPN, France Telecom, Financial Times, Fox, LinkedIn, Microsoft, MediaCorp, Nestle, Starcom, Terra Networks, Universal McCann, Verizon, ViaMichelin and Yahoo!. For more information, please visit or subscriberanalytix@comscore.com STAY CONNECTED Follow FOR FURTHER INFORMATION, PLEASE CONTACT: Maria Quan comscore, Inc subscriberanalytix@comscore.com

28 2013 comscore, Inc