Personalising vs. Customising: Risks and Rewards
2016.10.05   |   30 pages   |   Customer Experience and Connection

Author:
Robert Harrison


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Personalisation has become a popular and effective tool in the consumer retail goods and services sectors, and claims of significant improvement in profit margins have been reported by many businesses.  Much of this development has been enabled and supported by the relatively recent ability of businesses to gather and process large volumes of data about their customers and thereby gain much greater understanding and insight into customers’ behaviours, needs and wants. 


Mobile network operators have very large volumes of data about their customers, which should put them in a strong position to develop more personalised services that in turn offer the promise of greater customer loyalty, reduced churn and increased profit margins. 


However, while customers value personalised services, they do not attach the same value to more commoditised products and services as they do to those that are of high personal value.  They can also be wary of organisations that make extensive use of personal data to tailor their services, and can find the results to be disturbingly creepy. 


This report looks at the application and potential application of personalisation in the mobile telecoms sector and considers how and where to implement it for greatest effect, as well as the likely benefits and potential risks. 

 

Companies: Airtel, BIMA, Jio, Juvo, Millicom, MicroEnsure, MTN, O2, Reliance, Safaricom, Syngenta Foundation for Sustainable Agriculture, Telenor, Tigo, UAP Insurance, Verizon, Vanguard Life Assurance, Virgin,Vodafone, 

Countries: Denmark, France, Ghana, Ireland, India, Kenya, Norway, Philipines, Spain, Sweden, Tanzania, Uganda, Zimbabwe, UK, Africa, Asia, Latin America

Keywords: Customisation, Customer data, Identity Scoring, Customer Service, Microinsurance, Marketing, Mass Personalisation, Privacy, Churn, Databases, Touch points, Insurance, Bespoke, Tailored, Mass Customisation, Personalisation,

1

Overview

1

2

Introduction

2

2.1

Background to the Report

2

2.2

Report Content

3

2.3

Currency and Conversions

3

2.4

Further Questions and Feedback

4

3

The Appeal of Personalisation

5

3.1

Introduction

5

3.2

Personalisation in Consumer Markets

5

3.2.1

Methods of Customisation and Personalisation

5

3.2.2

Market Interest

6

3.2.3

Personalisation of Commodities and Premium Services

7

3.3

Drivers for MNOs

8

3.3.1

Opportunity - Business Case

8

3.3.2

Strengths – Customer Data

8

4

Current Practice and New Opportunities

9

4.1

Introduction

9

4.2

Use of Mass Customisation by MNOs

9

4.3

Mass Personalisation by Monitoring Usage

15

4.3.1

Changing Service Selection

15

4.3.2

Recovering Lost Customers

16

4.4

Mass Personalisation - Financial Services

16

4.4.1

Personalised Credit for Prepay Users

16

4.4.2

Insurance & Microinsurance

17

4.4.3

Insurance Services for Agriculture

18

4.4.4

Other Opportunities

19

4.5

Customer Service

19

5

Actions Required for Success

20

5.1

Introduction

20

5.2

Extent of Personalisation

20

5.2.1

Consumer Interest in Low Cost Services

20

5.2.2

The Effect of Multiple Choices

20

5.2.3

Content of Service vs. Customer Service

21

5.3

Topics to Address

21

5.3.1

Marketing vs. Selling

21

5.3.2

Integration of Touch Points

21

5.3.3

Linking or Integrating Separate Databases

22

5.3.4

Respect for User Privacy

24

5.3.5

Resources and Joint Ventures

26

6

Key Findings

27

6.1

Opportunities for Personalisation

27

6.2

Factors to Consider and Address

28

6.3

Conclusions

28

7

Recommendations

30

 

Appendix – Feedback Questions

31

Our Clients

A valuable program, differentiated by its best practice case study approach. Many external providers supply regular updates on MNO KPIs, but it's how operators are approaching these issues we want to know about Orange Group
Mobile Market Development 2015