Customer Value Contribution Analysis And Application Of Mobile Operators

As the current telecommunication evolution driven by service integration goes on, China Telecom Industry is facing ever-increasing fiercer competition, which makes quality customer acquisition and retention a more and more vital mechanism to operators in order to secure financial success and operational excellence. How to distinguish and quantify customers of various value and attribution has become an ever-longing question for the industry, which current attempts based on mere experience or primitive statistics lead to no real answer. Therefore, constructing a flexible and accurate model to identify customers with remarkable value and attribution in order to differentiate marketing efforts, has become the key to unlock its growth potential for the industry.Current studies on customer value and attribution mainly derive from FMCG industry, and few are devoted to telecom industry, let alone examining its customer attribution at individual level, thus leaving a significant area of study being overlooked. Moreover, even if operators try to tackle this challenge by accumulating vast amount of customer data, their efforts seldom produce satisfactory result due to the lack of proper tools and techniques for data analyzing and decision making.Based upon the current situation, this thesis attempts to take a serious look at the individual customer attribution in telecom industry. Through introducing a practical quantitative valuation model which take into account both individual customer's demographic characteristics and service preferences, this approach is believed to be a more effective and efficient way for high-attribution customer identification and differentiation, which leads to tailored retention tactics and ultimately, to marketing resources utilization and revenue growth.