Shaanxi Mobile Communications Company Customer Value Evaluation And Enhance Research

With the split of the former China Telecom, The top 6 Chinese mobile operators compete for the customer share under the government control. For a long time Shaanxi Mobile Communication Co. Ltd. only focuses on the enlargement of total customer's quantities while the customer's value promotion is ignored, which causes the ever-ending customer churn of the high value customers and the raising of mass low value customers. Thus, Shaanxi Mobile Communication Co. Ltd. has to encounter the dilemma of increasing quantities rather than profits. Facing with the emerging problems during development, it is key for the enterprise to do systematic research about the marketing strategy of customer value promotion, which can succeed in decreasing customer churn and enhance competitiveness.Taking the customers of Shaanxi Mobile Communication Co. Ltd. as research object, the evaluation system of customer value as well as customer value matrix is established in this paper. In addition, the customers can be divided into four segments according to the current realized value and future potential value. Using frequency statistics and Least Square Method, the critical value model of the current realized value is founded. The Genetic algorithm is further introduced to build Credit model and Royalty model so that the evaluation of the customer future potential value can be achieved. Then, the character group of customer behavior is founded by means of customer value segmentation. In the process of customer value segmentation, the FASTCLUS of SAS data mining algorithm and the evaluation method of customer behavior's character are introduced in this paper.In the end, the customer value-behavior matrix based on the customer value and customer behavior is proposed, through which the strategy of enhancing customer value promotion can be made. In this process, the Categorical method of SAS is used.The research results can be taken as direct guidance for development of customer value management of Shaanxi Mobile Communication Co. Ltd., and can also be referenced by other mobile communication companies.