Telecom operator data needs to be innovative

December 02, 2020

Telecom operator data needs to be innovative

At present, domestic telecom operators face many challenges from OTT, and more and more service providers and mobile Internet providers are also providing many services and have played a number of alternative roles. For operators, they have large amounts of data such as location data, bills, etc. How they can be mined and refined into valuable information and generate huge value is a big challenge.

Wu Chuanyu, General Manager, Communications & Public Sector, Teradata Greater China Region; Daniel Rodríguez Sierra, Director of Center for Excellence in Communications, Media & Entertainment, Teradata International; Bart Cloosen, Business Intelligence Manager, Vodafone Netherlands; Director, Business Intelligence, Telecoms Colombia, Spain Alvaro Ramirez

Some foreign operators such as Telefonica, Vodafone and others have already made many explorations in realizing data realisation, making data valuable and excavating its value through cross-border development. Currently at home and abroad is almost synchronized, Teradata is also working with the three major domestic operators to carry out product innovation, operators can use these data to produce cross-industry application effects. For example, in the financial industry, banks hope to improve their accuracy in areas such as credit checking, fraud prevention, and site selection, thereby increasing efficiency, generating more value, and saving costs. How to integrate operator data with bank data and generate benefits is crucial. At the same time, we will also face some challenges, such as privacy protection, through some business operations, IT technology protection to fully comply with the requirements of laws and regulations.

At the same time, the tourism industry and the suppliers of video on demand on Internet marketing need to analyze the data of the operators, so as to understand each consumer's habits, contacts, and geographic location. In the retail industry, Telefonica has created these products. In China, Teradata also cooperated with some operators to try to help the retail industry to choose the site faster and more accurately, and help the tourism industry to evaluate the design of the tourist route and the monitoring of the flow of people during the tourist season. These not only produce economic benefits, but also have social benefits. Public security departments and government departments also hope to receive such data support. These data information can help them to better work. For operators, data analysis has a very strong internal driving force, it can create new products, and produce economic value and social value.

The data will become three separate difficulties

Global operators have made many attempts and explorations in the application of industries and business models in the realization of big data. Daniel Rodríguez Sierra, director of Center for Excellence in Communication, Media and Entertainment at Teradata International Group, stated that different telecommunications operators in the world have different ways of realizing data, and some operators will set a new focus on the realization of data. Separate department. The realization of data is divided into two situations, one is internal and the other is external.

The realization of internal data is divided into three forms. The first one is sales data and insight, and the main sales position information and time information. The second application is a classification of aggregated group behavior data, that is, a large amount of information on people flow at different locations and at specific times. This application is mainly for government departments and transportation industry.

The third application is the analysis of high value of big data analysis, which is called predictive analysis. Its business model is for different corporate customers. For example, the data owned by the telecom operators is different data of the customers and placed in a large database, and the bank wants to launch a product. The bank can entrust the telecom operators to make associations according to the data in the telecom operators’ own customer database. Sexual data analysis. Such an analysis can be applied to products such as bank-introduced installment type products, and based on the analysis results made by each customer payment.

In addition to banks, companies such as insurance companies, airlines, and media content sales companies can be applied in this area as long as they are connected to related industries. And Teradata will also do some analysis of machine-to-machine communication information, which is also part of the overall analysis.

He also said that the realization of data for telecom operators also produced two additional effects. The first effect is to help telecom operators better retain their customers and increase customer loyalty. They can use big data to provide value-added services to customers they serve, so they can greatly improve customer loyalty. The second effect is that it can better improve the company's market value or stock market value. If a company is more active on the road to digitalization and continues to follow the trend of big data analysis, shareholders will have more confidence in the company.

For the key points of data realization, he said that data should not be realized as a project in many marketing projects, but from the date of its birth, there should be a separate organization and an organization to do it. Because the commercial value it provides is totally different from what we call the general data marketing value, it must have its own life.

In addition, there are mainly three difficulties in the realization of data by telecom operators. The first difficulty is the business model. Each company's business model is different, and the market is not a unified business model.

The second difficulty is value-added data services. Value-added data services must begin with existing customers. If you directly go beyond your existing customers and open up new services, it will be a completely different business content for operators.

The third difficulty is the issue of data privacy protection. Data privacy protection itself is a limiting factor, but it can be overcome. Many telecom operators are very serious about privacy protection of customer data, and when they need to collect customer personal data, they also do it in a very transparent way.

Telefonica: Not just commercialization but more service to society

In recent years, Telefonica has done a lot of research on big data monetization in recent years, especially the very famous “Smart Steps” big data product, which provides retailers with location selection services.

People will generate data each time they touch or press the button of the mobile phone, and these large amounts of data will be stored in the telecom operator's system. Alvaro Ramirez, director of business intelligence for Telefónica Colombia, said that before Smart Steps was born, these large amounts of data were useless. Through the Smart Steps product, first, all the data are summarized, and when the data is provided, they are all unnamed data. Second, Smart Steps uses statistical methods to calculate and analyze data. By means of statistical analysis, the patterns generated by these data can be applied not only to their own customer base but also to the entire population analysis.

At present, Spain Telecom has begun cooperation with the government. The government often invests in some major municipal and infrastructure projects. Spain Telecom will provide city-level governments with the rules for urban citizens to flow through the city, such as the number of floating people from point A to point B, and help the city The government decides whether a road should be built between points A and B, or whether it is more reasonable to build a subway.

In addition, it can also be used for the outbreak of large-scale diseases. For example, if we see a certain disease has an outbreak of infection, we can ask the patient to stay in their own home to avoid contagious people. It can also be found that some infected patients may have left home. We must promptly remind government agencies to tell them there is a potential risk of infecting others.

From these two application cases, it can be seen that Smart Steps are not just commercial applications, but more are serving the society.

In commercial applications, Telefonica can share information with companies in any industry. For example, to help companies use advanced analytical tools to identify customer gender, age, hobbies and other information, so as to carry out subdivided advertising or product promotion, in order to make the best advertising investment choices.

At the same time, there are various business models. Regardless of the needs of customers, the quality of customers, and the mode of customer's personal mobility, Spain Telecom has data. Therefore, for all walks of life, companies of different sizes, Telefonica can constantly create new markets and develop new customers.

Vodafone Netherlands: Building a BI Competence Center to Create a Privacy Model

Vodafone is the first large-scale carrier to conduct data management, data management, and BI applications. In recent years, many attempts have been made in data governance. Bart Cloosen, business intelligence manager at Vodafone Netherlands, stated that data governance is divided into two levels: first, the technical level, and second, the organizational structure. The two are complementary and indispensable.

On the technical level, Vodafone Holland broke the status quo of data decentralization in different departments. By aggregating all the data, it created a new organization, the Business Intelligence Competence Center, which consists of 50 BI experts. Through the BI Competency Center, all company data is aggregated and put into a large data warehouse. The center is considered by all business units to be their very good partner, and this competence center reports directly to the CEO of Vodafone Holland.

In the way of operation, executives of various departments will often communicate and are familiar with each other. However, for the following hierarchy, communication between people in different BU departments is not sufficient, and they do not know what other departments are useful for themselves. Therefore, the BI Competency Center can help them to do such data sharing.

Vodafone Holland respects the privacy of its customers. It has created its own privacy model based on the government's privacy protection regulations. First, the customer information is aggregated, all data is turned into anonymity, and the data is sold to government departments through third-party partners. The data is mainly applied to the departments responsible for rail transit and highway management. In particular, in some grand events, by predicting the number of people who will gather in a certain place at a certain point in time, whether the flow of people is too large or the risk is too high, it is not necessary for the government departments to adopt some diversion measures or close down a certain article. Highway and so on.

Telecommunication operator data realization needs innovative business model

The three major operators in China are all actively conducting trials to realize data, but they are limited to issues left over from history, such as resource coordination, organizational changes, industry experience, or restrictions on customer operations.

Wu Chuanyu pointed out that at present, the core of telecom operator data is not the level of technology, and privacy protection and legal protection are to be considered in the future. In addition, for the domestic operators, because it is a central enterprise, the entire business model also needs innovation. In the process of business model innovation, there are many barriers that need to be constantly studied. At the same time, Teradata is constantly working with operators to find solutions.

Daniel Rodríguez Sierra said that telecom operators’ voice data revenue is currently falling sharply, but they also have a large customer penetration rate. Therefore, telecom operators are eager to make up for the insufficiency of their traditional voice data income in the sales of data products. The problem is that data-money-type products are products that are long-tailed, meaning that the value to a specific individual consumer is relatively low. Therefore, we must have a sufficiently large customer base market to be able to make the benefits of this product. In China, there is such a large amount of customer base, so in the Chinese market to do it, the effect may be good, because in many European and American countries, the data to achieve cash is not a very good business model.

Bart Cloosen proposed two suggestions for the realization of the data of Chinese telecom operators. First, as a telecom operator, he must respect the rights of his customers' privacy. Second, telecom operators should provide data to their customers as a service.

Alvaro Ramirez said that it is very important for telecom operators to realize data realization and organizational structure. It requires very good coordination of work between IT departments, business intelligence departments, and marketing teams to effectively implement the deployment of information. At the same time, operators must be very clear about the business direction, partners, and input costs.

Today, telecom operators need to compete with data analytics to monetize data value. At the same time, the use of big data to achieve business transformation from telecommunications network operators to information operators. Teradata will also continue to help telecom operators understand the consumption habits of the customer traffic business through the analysis of data, identify the geographical location of customers' consumption, gain insight into the channels of customers' access to different information, etc., gain deep business insights, and build big data-based services. New data monetization model.

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