**This article originally appeared on RCRWireless**
Data is king. Companies like Google and Facebook operate on this basis and virtually every business decision stems from what data says about their customers and how they interact with their products and services.
Leveraging data to win against competitors and skyrocket revenues should not just be reserved for the Google’s of the world. Telecommunications companies generate enormous amounts of data each year – both structured and unstructured – on customer behaviors, preferences, payment histories, consumption levels, user patterns, customer experiences and more. And with analytics this data is a gold mine for those who know how to monetize it.
Telecom service providers previously only had access to aggregated, metered data and even when data types exploded, they lacked the technology to harness it and find meaningful insights into valuable customer usage patterns. Today, data is generated from each customer touch point – calls, text messages, roaming, video downloads, mobile commerce, custom relationship management systems, service calls and so on. Analyzing, this data has the potential to differentiate services, boost customer experiences and, ultimately, increase revenue.
A recent McKinsey & Company study showed data-driven companies have a 50% chance of having sales well above competitors compared to customer analytics laggards. And according to McKinsey & Company benchmarking research, “high-margin telecommunication companies tend to outperform their peers when it comes to data mining and otherwise gaining insights from collected customer information.”
Already we’re seeing telecom providers combine and analyze to better serve their customer base. In fact, big data analytics company, Guavus, released the findings of a global survey pointing to proactive customer care as the biggest single driver of big data analytics uptake among telcos.
Here are three examples of what can be achieved:
Data analytics gives companies a whole new level of insight into customer behavior trends. More importantly, it opens up endless opportunities to improve customer experiences and keep customers happy.