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Summary

Earlier this month, Portuguese company WeDo Technologies announced the release of Shape Telecom, a customer-analytics solution to determine cost and profitability of customers, tariff plans, and services. While Shape Telecom provides an opportunity for the vendor to upsell and cross-sell its revenue assurance product, Raid Telecom, the vendor will need to prove the value of Shape to a new telco audience that it has not engaged with before.

WeDo extends its value proposition to telecoms customers

The market for telco-specific customer-analytics solutions is booming, with telcos under intense pressures to improve revenues and profitability. Additionally, customer experience improvement has become more of an imperative with telcos.

WeDo Technologies recently released its first customer-analytics solution for telcos: Shape Telecom has been developed to serve telco marketing, sales, and customer-care departments with a focus on improving customer profitability, optimizing customer relationships, managing churn, monetizing products and services, and identifying customer social value. Shape combines data-revenue and customer-management systems such as billing, CRM, and campaign-management platforms. It helps telcos segment customers by customer value, by correlating the revenue associated with each customer with the costs of managing that customer. The approach taken by WeDo could help telcos reduce their retention cost, enabling them to focus their retention strategies on their most valuable customers.

Shape Telecom integrates directly with Raid Telecom (WeDo’s revenue assurance and fraud management product), enhancing the value proposition for both products. This approach could fast-track the vendor’s go-to-market strategy with existing Raid customers, who number over 180.

The launch of Shape Telecom comes at a time of growing competition in the telco customer analytics space. For example, in 2013, fellow revenue-assurance specialist cVidya launched its Enrich marketing-analytics software to help telcos monetize their 4G investments and target new markets. At this year’s TM Forum Live event, BSS provider AsiaInfo – which offers integrated revenue and customer-management platforms – announced the release of Veris RTI, which enables telcos to use complex event-processing techniques to validate the suitability of customers before offers are delivered to them. NEP players such as Ericsson and Huawei are also continuously updating existing offerings to meet the demands of the market.

Given the competitive environment, WeDo must prove the value of its solution to a wide audience within each customer. The vendor currently sells its RAID Telecom product to the revenue assurance departments which are different from its current target - marketing, care, and sales organizations. WeDo Technologies will also be at a disadvantage selling to these units as it would compete with vendors that already sell integrated revenue and customer-management platforms that include built-in analytics capabilities.

The vendor needs to consider critically how its platform can serve a broader scope of use cases in a way that’s unique to the market. One approach would be to ensure that Shape Telecom operates with a closed-loop approach, where it can extract data from and feed insights to additional data sources other than revenue and customer management, for example OSS systems. The impact of these results should also be monitored continuously to ensure that Shape’s analytical models are optimized to serve the changing business environment. By adopting this approach, the vendor can compete favorably in the market.

Appendix

Author

Adaora Okeleke, Analyst, Telecoms Operations and IT

adaora.okeleke@ovum.com

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