Crm Project
Content
A Project On Customer Relationship Management Submitted to Prof. Sushil Chaurasia
Submitted by Roll no- 10118 Roll no- 10088 Arpit Vora Priyanka Raval
Roll no- 10086 Dipi Rathod
Tolani Institute of Management Studies
Page 1
WHAT IS CRM?
Customer Relationship Management, or CRM, is an essential part of modern business management.
Customers are the lifeblood of any organization be it a global corporation
with thousands of employees and a multi-billion turnover, or a sole trader with a handful of regular customers. CRM is a strategic process and a technology that lets a company make its entire sale by optimizing revenue and getting a better understanding of the customer's needs. Customer Relationship Management concerns the relationship between the organization and its customers. The CRM operates together on sale, marketing, and customer service into a single software-driven technology.
In other words, it includes the areas of a company that affect the
relationships with their customers. It puts the information into a single pack which encompasses the meet of what every customer-centric business needs to know and keep track of. Each and every interaction with a customer is recorded in this system. This information is then used to manage, measure and keep track of the processes of marketing, sales and customer service as they relate to that client.
Introduction To Telecom Industry In India
India, like many other countries of the world, has adopted a gradual approach to telecom sector reform through selective privatization and managed competition in different segments of the telecom market. To begin with, India introduced private competition in value-added services in 1992 followed by opening up of cellular and basic services for local area to private competition. The Telecom Regulatory Authority of India (TRAI) was constituted in 1997
Tolani Institute of Management Studies Page 2
as an independent regulator in this sector. Competition was also introduced in national long distance (NLD) and international long distance (ILD) telephony at the start of that current decade. Despite asymmetry in initial market endowments between public sector incumbents and private operators, the act of opening up of the market unleashed dynamism that was hitherto latent in the sector. Three types of players now exist in ' Telecom Industry India ' community State owned companies like - BSNL and MTNL. Private Indian owned companies like - Reliance communications and Tata Teleservices. Foreign invested companies like – Vodafone, Bharti Tele-Ventures, Escotel, Idea Cellular, BPL Mobile, Spice Communications etc.
The Indian mobile services market is highly competitive with six to eight players operating in each of the 23 telecom circles that the country is divided into. The intensity of competition has increased in recent months following the launch of GSM services by Reliance Communications (RCom) and Tata DoCoMo, CDMA services by Sistema Shyam; and the continuing pan-Indian GSM rollout by Aircel, Idea Cellular (Idea), and Vodafone Essar (Vodafone).
Need for CRM in Telecom Sector
The beneficiaries of the competition being consumers, the telecom players in today’s environment are required to design and deploy customer-centric strategies not only to grab a share in the market but also to sustain in the market in the long-run.
Tolani Institute of Management Studies
Page 3
The players have realized the importance of constant service-quality delivery to the customers for long-run sustainability. Customer relationship signifies identifying the needs of the customers and stretching out ways and means to satisfy them. To be precise, it means achieving high customer profitability— customer revenues over and above customer costs, which demands matching customer expectations with customer satisfaction. The high cost of customer acquisition is making today’s businesses understand the importance of retaining the customers for long-run sustainability.
Customer Relationship Management (CRM) aims at narrowing the
gap between the company and its customers. In Telecom Sector, CRM plays a vital role in not only bringing the customers close to the company, but also in identifying the changing behavioral pattern of the customers.
In technology-dynamic markets like telecom, an efficient CRM
system is essential, since the customer attrition is high due to the presence of close substitutes and near-zero switching costs.
Tolani Institute of Management Studies
Page 4
Inroduction To Reliance Communications
Reliance Communications is the flagship company of the Anil Dhirubhai Ambani Group (ADAG) of companies. Listed on the National Stock Exchange and the Bombay Stock Exchange, it is India’s leading integrated telecommunication company with over 40 million customers. The company’s business encompasses a complete range of telecom services covering mobile and fixed line telephony. It includes broadband, national and international long distance services and data services along with an exhaustive range of value added services and applications. Reliance Mobile is an umbrella enterprise of the Reliance Communication. Reliance Mobile initially started its operations providing. CDMA technology enabled cell phone service where the customers are bound to use a particular phone for a particular number and GSM service where in the customers have a wide range of options available for selecting the cell phone and the network provider. And in both the services customers are given high importance and plans are built on it with prepaid and postpaid connections.
Company Profile
The company serves a customer base of over 1200 enterprises, 200 carriers and 1.5 million retail customers in 50 countries across 5 continents. “Asia’s Top 5 Most Valuable Telecom Companies”.
Covering over 20,000 towns and 450,000 villages, and growing.
India’s leading integrated telecom company
Listed on the N S E and the B S E.
Tolani Institute of Management Studies
Page 5
Over 55 million customers. It includes broadband, national and international long distance services
and data services.
Business Model:
Reliance Communication (formerly Reliance Infocom), was set up to make an India where the common man in urban as well as in rural area, would have access to affordable means of information-technology and communication, the tools of information and communication available to all the individuals and businesses at affordable cost by creating customer delight and enhancing the business productivity and by assisting India’s knowledge brains deliver globally. Core Business Model that relay on IT and IS: Reliance Mobiles is the Pioneers of the CDMA Technology mobile services and has now entered into the GSM services, has captured the untouched rural Indian market through its low price and basic user friendly cell phone models and plans/schemes which is a contradiction in the industry as most of the industry players are busy capturing the diametrically opposite market segment who are actually capturing urban and upper segment. We understand Reliance Mobile is also offering a range of handsets specially designed to reach all economic classes at very reasonable price. This today, makes the telecommunications industry in India have a revolution in the way nation communicates and the networks which has brought in a new way of life style in India. Reliance Communications has made huge investments on the IT infrastructure by laying optical fibers over 60,000 kilometers of a panIndia fiber optic backbone covering nearly 450,000 villages and 77million subscribers by penetrating into the untouched market segment which has a high growth potential in the recent times.
Tolani Institute of Management Studies Page 6
Reliance Communications has a reliable, high-capacity, integrated, and convergent digital network. It is capable of delivering a range of services spanning the entire information and communication value chain, including infrastructure and service for business as well as the individuals. Apart from the enormous investment made into the IT infrastructure on which the whole business process of Reliance Mobile is dependent upon there has been other Information System on which the process is dependent upon such as Traffic Monitoring, Connection Fraud Management system, Management of billing systems, etc. Competitors Reliance Mobile is facing a cut throat competition with 22% market share in the cellular service provider market, as there are many market players including the private and the public owned companies. As this industry is growing at a very high pace the market entrants are also high and each player looks forward to grab the market share available to them. The major competitors for Reliance Mobile in CDMA and GSM technology are: CDMA Technology: Though this technology was pioneered by the Reliance Mobile in India their major competitors in this technology are: TATA Indicomm Virgin Mobile. GSM Technology: Reliance has entered into this technology based service recently and has a very low market share in this segment and is facing a very tough competition with the established giants like:
Tolani Institute of Management Studies
Page 7
Bharti Airtel Vodafone Essar Idea BSNL (Bharath Sanchar Nigam Limited) BPL Aircel. Major IT/IS Investment made by Reliance Communication Reliance Communications is concentrating mostly to bring in many services and IT applications on its telecommunication network and has a further plan of investing nearly $3.5 billion on the applications. One of the major IT investment made by the Reliance Communication is on their Customer Relationship Management (CRM) and on Enterprise Resource Planning (ERP) in the recent years. SAP the application software giant is catering CRM application for the Reliance Communications.CRM software is vital for the telecommunications industry and Reliance Mobile is one of the major users of CRM application in India. This in turn is maximizing the return on customer investment using CRM Software. CRM software identifies profitable customers and processes.CRM focuses attention on customer service problems and the associated costs. CRM software at Reliance Communication finds incremental profit and cost savings opportunities. As telecommunication industry and CRM go hand in hand this is helping Reliance Communications target sales and marketing to prospects most like the profitable market segments using telecommunications CRM tools. Telecommunications CRM applications implemented in Reliance Communications find the products that generate the highest customer service costs, information and restructure the
Tolani Institute of Management Studies Page 8
products to cut costs and increase savings. It helps in identifying customer service bottlenecks and the information developed by Reliance Communication. This software at Reliance Communication has a high contribution towards increasing customer satisfaction and retains customers. The Innovation: The innovation was centered around Reliance Communication’s CRM system, which needed to be upgraded to improve performance, scalability and stability, improve transactional integrity across systems to address operational pain areas and implement database storage transformation. Normally, the technical complexities of the process would have necessitated a downtime of about seven days. The innovation was to shrink the 7 day downtime to zero downtime for the major upgrade of the CRM application and associated infrastructure in a live environment. This was completed in a seamless manner so that customer service, revenue and reputation was not impacted or compromised in any manner. RCOM prioritized the core business processes to ensure the acquisition of new customers, the acceptance of payments, management of customer inquiries and complaints, synchronization of transactions with external systems and synchronization of transactions with old as well as new CRM database instances. A lightweight software application, named UCS (Uninterrupted Customer Service), was engineered and developed for all the core business processes to continue unchallenged and without compromising any Business SLAs or Customer Service Quality Levels.
Reason for using telecommunication CRM application in customer support costs at Reliance: CRM telecommunications application solutions at Reliance
Communication, link customer support costs to products and the markets. It uses the information to correctly price products and services. Reliance is
Tolani Institute of Management Studies Page 9
using data from telecommunications CRM applications to accurately identify profitable and unprofitable market segments.
Current Status of CRM at Reliance Communication: At Reliance Communication works throughout the seven days in a week with their UCS (Uninterrupted Customer Service) which is the Business Continuity solution for any planned and unplanned outage of CRM for maintenance. This has resulted in the availability of the CRM by improving its efficiency to 99.99% from 99.9%. RCOM has deployed several modules from the Amdocs portfolio of CRM product solutions. The Amdocs Contact Center solution is helping RCOM tie together all its lines of businesses, interaction channels and customer-facing processes to give agents the information they need to deliver a consistent, intentional customer experience. The solution includes Amdocs Process Manager and Amdocs Support. RCOM is using Amdocs Process Manager to make its business processes more efficient and streamlined by, for example, identifying time- saving process workflows and removing unnecessary actions. Amdocs Support is being used to control and manage the various levels of RCOM’s customer support operation. Reliance Communications has established a pan-India, next generation, integrated (wireless and wire line), convergent (voice, data and video) digital network that supports best-of-class services spanning the entire infocom value chain, covering over 20,000 towns and 450,000 villages. Reliance Communications owns and operates the world’s largest next generation IP-enabled connectivity infrastructure, comprising over 165,000 kilometers of fiber optic cable systems in India, USA, Europe, Middle East and the Asia Pacific region. Amdocs Support is being used to control and manage the various levels of RCOM’s customer support operation. RCOM’s IT Team architected and developed a unique ‘bridging’ application to ensure critical CRM business
Tolani Institute of Management Studies Page 10
processes continued during the upgrade and remove the need to synchronize data after the upgrade. Using Java struts framework and Web and Java technologies, it runs on a back-up database and is capable of managing critical processes in the event of operational issues. Initially designed to help manage the transition during the CRM upgrade, it proved so effective that RCOM has adopted it as its on-going back-up solution for critical processes.With this upgrade, RCOM has seen significant improvements in customer service levels, business operations, and business continuity,” Amdocs Product Support provided the right attention during this critical period, through Support Account Manager services, effective request prioritization, and around-the-clock case handling. This personalized support approach helped to ensure a smooth upgrade process.” Amdocs is helping RCOM manage the expected huge leap in customers by upgrading its CRM system and improving processes. Implementing the Amdocs solution has also helped RCOM handle 2.5 times more case, interaction and process capacity than before, and achieve a 30 percent improvement in meeting services level agreements. Greater system reliability, simplifed maintenance and less complex processes have helped RCOM reduce unavailability of the CRM system during planned and unplanned outages, further increasing customer service level reliability. In addition, RCOM was able to avoid completely the anticipated seven-day down period for the upgrade – expected because of the database size and multiple application upgrade - which meant no deterioration in customer service and no negative impact on RCOM’s reputation.
PROFILE OF CUSTOMERS AND CHURN PREDICTION: There are certain input variables required to design a churn prediction model. In this case the input variables are the categories on the basis of which customers are profiled. The mobile phone user market has been segmented on the following parameters: 1. Network connectivity 2. Value for Money (Call rates and full talk time)
Tolani Institute of Management Studies
Page 11
3. Value Added Services (caller tunes, Games etc. and the charges for these value added services) For a pre-paid customer, customer service is not of utmost importance as very rarely he uses this service, customer care service is more used in the post-paid segment. Though most post paid card users are not sensitive towards price and consider network connectivity and customer services as important. Profiling churns can reveal customer segments and the reasons why customers are leaving your service. Customer information, when all combined, can be very large. It may consist of dozens of fields. Analyzing data with many variables with conventional tools is a challenge. The data being produced in this report has been analyzed using MS Access.
The customers are profiled on the following parameters:
Age on network
The period of time for which the customer used the services
Minutes of usage
The sum of total outgoing and total incoming minutes of calls.
Cumulative recharge
The sum of MRP of recharges done on a particular MDN in each
month. Quality of service
Number of calls made to customer care center before churning
customer
Retention Marketing - A Systematic Approach To Reduce Churn: At Reliance Communications we developed a systematic approach to identify the root causes of customer churn, and created an integrated program of activities to address them. This enabled the organization to launch a program for much more dramatic improvements over regular UnR activities.
Tolani Institute of Management Studies Page 12
At the product level, a customer retention tool was developed in order to provide more value to customers and entice them to stay on network for a longer period of time. Though it is a short term strategy the results show that such activities if continued and also improved over time, could prove to be highly beneficial for the organization.
Developing A Customer Retention Tool:
It was proposed that a product must be devised, keeping this subset of customers in mind who are prone to churning. This product must provide some extra benefit to the customers at a low price point so that the customers who don’t intend to stay on the network for too long are somehow convinced of the benefits and end up beginning regular usage. The product so developed was priced at Rs. 30/-. It provided a core talk time of Rs. 25 and additionally 25 minutes of STD calling. This promo pack was sold only to those customers who had a higher probability of churning.
Tolani Institute of Management Studies
Page 13
Submitted by Roll no- 10118 Roll no- 10088 Arpit Vora Priyanka Raval
Roll no- 10086 Dipi Rathod
Tolani Institute of Management Studies
Page 1
WHAT IS CRM?
Customer Relationship Management, or CRM, is an essential part of modern business management.
Customers are the lifeblood of any organization be it a global corporation
with thousands of employees and a multi-billion turnover, or a sole trader with a handful of regular customers. CRM is a strategic process and a technology that lets a company make its entire sale by optimizing revenue and getting a better understanding of the customer's needs. Customer Relationship Management concerns the relationship between the organization and its customers. The CRM operates together on sale, marketing, and customer service into a single software-driven technology.
In other words, it includes the areas of a company that affect the
relationships with their customers. It puts the information into a single pack which encompasses the meet of what every customer-centric business needs to know and keep track of. Each and every interaction with a customer is recorded in this system. This information is then used to manage, measure and keep track of the processes of marketing, sales and customer service as they relate to that client.
Introduction To Telecom Industry In India
India, like many other countries of the world, has adopted a gradual approach to telecom sector reform through selective privatization and managed competition in different segments of the telecom market. To begin with, India introduced private competition in value-added services in 1992 followed by opening up of cellular and basic services for local area to private competition. The Telecom Regulatory Authority of India (TRAI) was constituted in 1997
Tolani Institute of Management Studies Page 2
as an independent regulator in this sector. Competition was also introduced in national long distance (NLD) and international long distance (ILD) telephony at the start of that current decade. Despite asymmetry in initial market endowments between public sector incumbents and private operators, the act of opening up of the market unleashed dynamism that was hitherto latent in the sector. Three types of players now exist in ' Telecom Industry India ' community State owned companies like - BSNL and MTNL. Private Indian owned companies like - Reliance communications and Tata Teleservices. Foreign invested companies like – Vodafone, Bharti Tele-Ventures, Escotel, Idea Cellular, BPL Mobile, Spice Communications etc.
The Indian mobile services market is highly competitive with six to eight players operating in each of the 23 telecom circles that the country is divided into. The intensity of competition has increased in recent months following the launch of GSM services by Reliance Communications (RCom) and Tata DoCoMo, CDMA services by Sistema Shyam; and the continuing pan-Indian GSM rollout by Aircel, Idea Cellular (Idea), and Vodafone Essar (Vodafone).
Need for CRM in Telecom Sector
The beneficiaries of the competition being consumers, the telecom players in today’s environment are required to design and deploy customer-centric strategies not only to grab a share in the market but also to sustain in the market in the long-run.
Tolani Institute of Management Studies
Page 3
The players have realized the importance of constant service-quality delivery to the customers for long-run sustainability. Customer relationship signifies identifying the needs of the customers and stretching out ways and means to satisfy them. To be precise, it means achieving high customer profitability— customer revenues over and above customer costs, which demands matching customer expectations with customer satisfaction. The high cost of customer acquisition is making today’s businesses understand the importance of retaining the customers for long-run sustainability.
Customer Relationship Management (CRM) aims at narrowing the
gap between the company and its customers. In Telecom Sector, CRM plays a vital role in not only bringing the customers close to the company, but also in identifying the changing behavioral pattern of the customers.
In technology-dynamic markets like telecom, an efficient CRM
system is essential, since the customer attrition is high due to the presence of close substitutes and near-zero switching costs.
Tolani Institute of Management Studies
Page 4
Inroduction To Reliance Communications
Reliance Communications is the flagship company of the Anil Dhirubhai Ambani Group (ADAG) of companies. Listed on the National Stock Exchange and the Bombay Stock Exchange, it is India’s leading integrated telecommunication company with over 40 million customers. The company’s business encompasses a complete range of telecom services covering mobile and fixed line telephony. It includes broadband, national and international long distance services and data services along with an exhaustive range of value added services and applications. Reliance Mobile is an umbrella enterprise of the Reliance Communication. Reliance Mobile initially started its operations providing. CDMA technology enabled cell phone service where the customers are bound to use a particular phone for a particular number and GSM service where in the customers have a wide range of options available for selecting the cell phone and the network provider. And in both the services customers are given high importance and plans are built on it with prepaid and postpaid connections.
Company Profile
The company serves a customer base of over 1200 enterprises, 200 carriers and 1.5 million retail customers in 50 countries across 5 continents. “Asia’s Top 5 Most Valuable Telecom Companies”.
Covering over 20,000 towns and 450,000 villages, and growing.
India’s leading integrated telecom company
Listed on the N S E and the B S E.
Tolani Institute of Management Studies
Page 5
Over 55 million customers. It includes broadband, national and international long distance services
and data services.
Business Model:
Reliance Communication (formerly Reliance Infocom), was set up to make an India where the common man in urban as well as in rural area, would have access to affordable means of information-technology and communication, the tools of information and communication available to all the individuals and businesses at affordable cost by creating customer delight and enhancing the business productivity and by assisting India’s knowledge brains deliver globally. Core Business Model that relay on IT and IS: Reliance Mobiles is the Pioneers of the CDMA Technology mobile services and has now entered into the GSM services, has captured the untouched rural Indian market through its low price and basic user friendly cell phone models and plans/schemes which is a contradiction in the industry as most of the industry players are busy capturing the diametrically opposite market segment who are actually capturing urban and upper segment. We understand Reliance Mobile is also offering a range of handsets specially designed to reach all economic classes at very reasonable price. This today, makes the telecommunications industry in India have a revolution in the way nation communicates and the networks which has brought in a new way of life style in India. Reliance Communications has made huge investments on the IT infrastructure by laying optical fibers over 60,000 kilometers of a panIndia fiber optic backbone covering nearly 450,000 villages and 77million subscribers by penetrating into the untouched market segment which has a high growth potential in the recent times.
Tolani Institute of Management Studies Page 6
Reliance Communications has a reliable, high-capacity, integrated, and convergent digital network. It is capable of delivering a range of services spanning the entire information and communication value chain, including infrastructure and service for business as well as the individuals. Apart from the enormous investment made into the IT infrastructure on which the whole business process of Reliance Mobile is dependent upon there has been other Information System on which the process is dependent upon such as Traffic Monitoring, Connection Fraud Management system, Management of billing systems, etc. Competitors Reliance Mobile is facing a cut throat competition with 22% market share in the cellular service provider market, as there are many market players including the private and the public owned companies. As this industry is growing at a very high pace the market entrants are also high and each player looks forward to grab the market share available to them. The major competitors for Reliance Mobile in CDMA and GSM technology are: CDMA Technology: Though this technology was pioneered by the Reliance Mobile in India their major competitors in this technology are: TATA Indicomm Virgin Mobile. GSM Technology: Reliance has entered into this technology based service recently and has a very low market share in this segment and is facing a very tough competition with the established giants like:
Tolani Institute of Management Studies
Page 7
Bharti Airtel Vodafone Essar Idea BSNL (Bharath Sanchar Nigam Limited) BPL Aircel. Major IT/IS Investment made by Reliance Communication Reliance Communications is concentrating mostly to bring in many services and IT applications on its telecommunication network and has a further plan of investing nearly $3.5 billion on the applications. One of the major IT investment made by the Reliance Communication is on their Customer Relationship Management (CRM) and on Enterprise Resource Planning (ERP) in the recent years. SAP the application software giant is catering CRM application for the Reliance Communications.CRM software is vital for the telecommunications industry and Reliance Mobile is one of the major users of CRM application in India. This in turn is maximizing the return on customer investment using CRM Software. CRM software identifies profitable customers and processes.CRM focuses attention on customer service problems and the associated costs. CRM software at Reliance Communication finds incremental profit and cost savings opportunities. As telecommunication industry and CRM go hand in hand this is helping Reliance Communications target sales and marketing to prospects most like the profitable market segments using telecommunications CRM tools. Telecommunications CRM applications implemented in Reliance Communications find the products that generate the highest customer service costs, information and restructure the
Tolani Institute of Management Studies Page 8
products to cut costs and increase savings. It helps in identifying customer service bottlenecks and the information developed by Reliance Communication. This software at Reliance Communication has a high contribution towards increasing customer satisfaction and retains customers. The Innovation: The innovation was centered around Reliance Communication’s CRM system, which needed to be upgraded to improve performance, scalability and stability, improve transactional integrity across systems to address operational pain areas and implement database storage transformation. Normally, the technical complexities of the process would have necessitated a downtime of about seven days. The innovation was to shrink the 7 day downtime to zero downtime for the major upgrade of the CRM application and associated infrastructure in a live environment. This was completed in a seamless manner so that customer service, revenue and reputation was not impacted or compromised in any manner. RCOM prioritized the core business processes to ensure the acquisition of new customers, the acceptance of payments, management of customer inquiries and complaints, synchronization of transactions with external systems and synchronization of transactions with old as well as new CRM database instances. A lightweight software application, named UCS (Uninterrupted Customer Service), was engineered and developed for all the core business processes to continue unchallenged and without compromising any Business SLAs or Customer Service Quality Levels.
Reason for using telecommunication CRM application in customer support costs at Reliance: CRM telecommunications application solutions at Reliance
Communication, link customer support costs to products and the markets. It uses the information to correctly price products and services. Reliance is
Tolani Institute of Management Studies Page 9
using data from telecommunications CRM applications to accurately identify profitable and unprofitable market segments.
Current Status of CRM at Reliance Communication: At Reliance Communication works throughout the seven days in a week with their UCS (Uninterrupted Customer Service) which is the Business Continuity solution for any planned and unplanned outage of CRM for maintenance. This has resulted in the availability of the CRM by improving its efficiency to 99.99% from 99.9%. RCOM has deployed several modules from the Amdocs portfolio of CRM product solutions. The Amdocs Contact Center solution is helping RCOM tie together all its lines of businesses, interaction channels and customer-facing processes to give agents the information they need to deliver a consistent, intentional customer experience. The solution includes Amdocs Process Manager and Amdocs Support. RCOM is using Amdocs Process Manager to make its business processes more efficient and streamlined by, for example, identifying time- saving process workflows and removing unnecessary actions. Amdocs Support is being used to control and manage the various levels of RCOM’s customer support operation. Reliance Communications has established a pan-India, next generation, integrated (wireless and wire line), convergent (voice, data and video) digital network that supports best-of-class services spanning the entire infocom value chain, covering over 20,000 towns and 450,000 villages. Reliance Communications owns and operates the world’s largest next generation IP-enabled connectivity infrastructure, comprising over 165,000 kilometers of fiber optic cable systems in India, USA, Europe, Middle East and the Asia Pacific region. Amdocs Support is being used to control and manage the various levels of RCOM’s customer support operation. RCOM’s IT Team architected and developed a unique ‘bridging’ application to ensure critical CRM business
Tolani Institute of Management Studies Page 10
processes continued during the upgrade and remove the need to synchronize data after the upgrade. Using Java struts framework and Web and Java technologies, it runs on a back-up database and is capable of managing critical processes in the event of operational issues. Initially designed to help manage the transition during the CRM upgrade, it proved so effective that RCOM has adopted it as its on-going back-up solution for critical processes.With this upgrade, RCOM has seen significant improvements in customer service levels, business operations, and business continuity,” Amdocs Product Support provided the right attention during this critical period, through Support Account Manager services, effective request prioritization, and around-the-clock case handling. This personalized support approach helped to ensure a smooth upgrade process.” Amdocs is helping RCOM manage the expected huge leap in customers by upgrading its CRM system and improving processes. Implementing the Amdocs solution has also helped RCOM handle 2.5 times more case, interaction and process capacity than before, and achieve a 30 percent improvement in meeting services level agreements. Greater system reliability, simplifed maintenance and less complex processes have helped RCOM reduce unavailability of the CRM system during planned and unplanned outages, further increasing customer service level reliability. In addition, RCOM was able to avoid completely the anticipated seven-day down period for the upgrade – expected because of the database size and multiple application upgrade - which meant no deterioration in customer service and no negative impact on RCOM’s reputation.
PROFILE OF CUSTOMERS AND CHURN PREDICTION: There are certain input variables required to design a churn prediction model. In this case the input variables are the categories on the basis of which customers are profiled. The mobile phone user market has been segmented on the following parameters: 1. Network connectivity 2. Value for Money (Call rates and full talk time)
Tolani Institute of Management Studies
Page 11
3. Value Added Services (caller tunes, Games etc. and the charges for these value added services) For a pre-paid customer, customer service is not of utmost importance as very rarely he uses this service, customer care service is more used in the post-paid segment. Though most post paid card users are not sensitive towards price and consider network connectivity and customer services as important. Profiling churns can reveal customer segments and the reasons why customers are leaving your service. Customer information, when all combined, can be very large. It may consist of dozens of fields. Analyzing data with many variables with conventional tools is a challenge. The data being produced in this report has been analyzed using MS Access.
The customers are profiled on the following parameters:
Age on network
The period of time for which the customer used the services
Minutes of usage
The sum of total outgoing and total incoming minutes of calls.
Cumulative recharge
The sum of MRP of recharges done on a particular MDN in each
month. Quality of service
Number of calls made to customer care center before churning
customer
Retention Marketing - A Systematic Approach To Reduce Churn: At Reliance Communications we developed a systematic approach to identify the root causes of customer churn, and created an integrated program of activities to address them. This enabled the organization to launch a program for much more dramatic improvements over regular UnR activities.
Tolani Institute of Management Studies Page 12
At the product level, a customer retention tool was developed in order to provide more value to customers and entice them to stay on network for a longer period of time. Though it is a short term strategy the results show that such activities if continued and also improved over time, could prove to be highly beneficial for the organization.
Developing A Customer Retention Tool:
It was proposed that a product must be devised, keeping this subset of customers in mind who are prone to churning. This product must provide some extra benefit to the customers at a low price point so that the customers who don’t intend to stay on the network for too long are somehow convinced of the benefits and end up beginning regular usage. The product so developed was priced at Rs. 30/-. It provided a core talk time of Rs. 25 and additionally 25 minutes of STD calling. This promo pack was sold only to those customers who had a higher probability of churning.
Tolani Institute of Management Studies
Page 13
