DrivingHighPerformanceforaLargeWirelessCommunicationCompanyThroughAdvancedCustomerInsightAccentureConsulting–CRMCustomerInsightPresenters:RaminMikailiandLynetteLillyMikailiLilly高級客戶關懷埃森哲共13頁，您現在瀏覽的是第1頁!2Copyright?2006AccentureAllRightsReserved.Insaturatedpetitivemarkets,theeconomicsofacquisitionandretentionbeespainfullyobviousandrequiresashiftinthemarketingmixfromusingthe4Pstothe4Rs.11.JamesG.Barnesbook"SecretsofCustomerRelationshipManagement"McGrawHillcopyright2000,23WhyCustomerInsight?4PsPriceProductPromotionPlace4RsRelationships:effectivemunication,trust,mitment,understandingcustomerneedsRetention:targetedincentives,rewards,loyaltyprogramsforspecificsegmentsReferrals:valueselling,CommunicationRecovery:strongwin-backprograms,productandservicedevelopmentAcquisitiondetermineshowfastapanycangrow.Retentiondetermineswhetherapanywillsurviveovertime.

MikailiLilly高級客戶關懷埃森哲共13頁，您現在瀏覽的是第2頁!3Copyright?2006AccentureAllRightsReserved.LevelsOfInsightRetention,up-sell,orserviceAcquisition,capitalinvestmentsMassmediabuysCorporateBrandingM&A/AllianceStrategyCorporateStrategyPricePlans/BundlingCapital/TechnologyInvestmentStrategyCorporateDirectionNetworkBuildNewMarketEntryITprojectprioritizationSupplyChainStrategyPromotionsNewBusiness/GrowthStrategyAcquisitioncampaignsNetworkdecisionsRetailStrategyChannelStrategyProductprioritizationPOStechnologyStoredesign/inventorAccessorymixAllianceprioritizationMarketing:The“P’sR’s”BundlesRetentionoffersCrosssellofvalueaddedservicesDifferentiatedcustomerserviceTelesalescallinglistsWebsitepersonalizationLifecyclecommunicationplan5-10Segments50-100CellsMillionsofCustomersIllustrativeBusinessDecisionsLevelofInsightVariousanalysistypesareemployedtomakesounddecisionsaboutcorporatedirection,acquisitionandcapitalinvestments,retention,ups-sellorservice.MikailiLilly高級客戶關懷埃森哲共13頁，您現在瀏覽的是第3頁!4Copyright?2006AccentureAllRightsReserved.ApproachAccentureimplementedaphasedapproachforasuccessfulCustomerInsightRevenueGenerationprogram.

-20%0%20%40%60%80%100%%ofPotentialValueCapturedInsightObtainmentInsightApplicationDeveloptacticaltargetingtoolsApplytestandcontrolmethodologytoexamine/generatehypothesesIdentifythecustomerdatarequirementsforenhancingtheeffectivenessDevelopoptimalcampaignprogramplanDeveloplongtermroadmapSustainedCustomerInsightInstitutionalizeinsightthroughouttheorganizationIngrainnewprocessesintheorganizationILLUSTRATIVEInsightServicesExtend/expandthescopeofrevenuegrowthstrategytoincludeotherchannels,customerbaseInfrastructureDeveloptechnologybasedcapabilitiesValueCaptureValueTargetingPhase1Phase2LeverageResultstoEntireBasePhase4ResultsTracking&MonitoringPhase3EstablishGrowthStrategyProveEffectivenessImproveEfficiencyIdentifygrowthopportunitiesDevelopacaseEstablishbenefitsPrioritizeinitiativesMikailiLilly高級客戶關懷埃森哲共13頁，您現在瀏覽的是第4頁!5Copyright?2006AccentureAllRightsReserved.CaseI:GrowthSegmentationAnalysisFrameworkRatePlan-PricePoint1-10%+10%UnstableTrendSeparatescustomerstolimit“noise”intrendanalysisHML123Undefined/ErrorH1H2H3M1M2M3L1L2L3AverageSubscriberChargeSubscriberChargeTrend6Month6monthsubscriberaverageofkeycharges.Forecastchangeinrevenueover6monthsbasedonaregressionofmonthlysubscriberchargestosmoothmonthtomonthvariationsCut-offschosentoshowsignificanttrendsinthemovementofrevenueandtosplitthebaseroughlyintothreepartsCut-offschosentosplitthebaseintoroughlythreeparts12345TheRevenueChangematrixisthetoolweusetoanalyzethebaseRatePlan-PricePoint2Identify&ProfilesegmentsMikailiLilly高級客戶關懷埃森哲共13頁，您現在瀏覽的是第5頁!6Copyright?2006AccentureAllRightsReserved.CaseStudyII:BusinessIssuesWhichnewproductsaremostlikelytohavefastest,profitableuptakeandbywhichcustomers?Whichnewproductswillattractnewcustomersthatlooklikeourmostprofitablecells?Howdowelaunchanewproducttomaximizeadoption?Whichhandsetsarebestforourbottomline(bycustomer)?Howdowedetermineinventoryandstoreshelftobestmeettheneedsoflocalcustomers?HowdowebetterdeployNetworkcapitaltoimproveserviceandloyalty?Whatgeographicareasshouldbeourpriorityinrollingout?Wherecanweinvesttoturnaroundprofitabilityissues?Howdowemaximizenewproductadoption?Howshouldweroutecallsandhandleanindividualcustomercontact?

Howdowerespondtoapetitorpricechange?Canweinstituteacustomerloyaltyprogramtoreducechurn?HowdowehandleIncreasingvolumesintothecallcenters?Whatisthelikelyreasonthuscustomeriscallingandhowcanwebestserveprofitably?HowdoweprioritizeITinfrastructuredevelopmenttooptimizecustomerexperienceandourbottomlinebysegment?Whichpotentialalliancepartners’supportourcustomerstrategy?Whichalliancesaremostlikelytoattractandretainthe“best”customers?Onwhatterms?SalesCustomerServiceInformationTechnologySupplyChainAlliancesProductDevelopmentNetworkCustomerInsightInthissaturatedmarket,thepanywasfacingmanykeybusinessquestionsthatnowcanbeansweredwithstronganalyticalsupport.MikailiLilly高級客戶關懷埃森哲共13頁，您現在瀏覽的是第6頁!7Copyright?2006AccentureAllRightsReserved.CaseStudyII:

StrategicSegmentationTopLevelStrategicSegmentsPopulationMultipleSegCSegmentDSegBSegASegEValueFactorsBehaviorFactors(Average)Thisanalysisyieldedfivestrategicsegmentsandthedecisionwasmadetofurtheranalyzethecellsbelowtheseforinsightsinmanykeydecisionsareas.

Sources:CustomerDataMikailiLilly高級客戶關懷埃森哲共13頁，您現在瀏覽的是第7頁!8Copyright?2006AccentureAllRightsReserved.CaseStudyII:MarketResearchMarketShareLeaderinSegmentNote1:IncludescarrierssuchasNextel,RuralCellular,USCellularandrespondentswhodidnotindicateacarrier.Note2:Addingvaluesmaynottotalexactly100%duetorounding.SegmentCompany1Company219%22%22%21%Company3Company4Company511%12%18%17%20%14%13%16%18%16%11%14%7%10%3%3%23%17%14%7%4%Others1Total219%23%26%21%29%100%100%100%100%100%ABCDECompany66%4%7%8%7%MarketShareBySegmentSource:2001ConvergenceAudit.Dataisfromresponsetoquestionabout,“whoisyourwirelesscarrier?”.MarketversusClientparisonismadeusingClaritasdataandshouldbeusedforrelativeparisononly.DatadoesnotexactlyreflectClient’sbase.Inhighlypetitiveindustrywithhighchurnrates,itwascriticaltoidentifytheaddressablemarketineacharea,andtofindoutwherethosecustomerswereiftheywerenotinourbase.MikailiLilly高級客戶關懷埃森哲共13頁，您現在瀏覽的是第8頁!9Copyright?2006AccentureAllRightsReserved.ClientSituationTheLifecycleGroupisresponsibleformaximizingthelifetimevalueofthecustomerbaseTheirtraditionalfocushasbeenretention.TeamhashadsignificantsuccessreducingchurnandincreasingtheportionofthebaseundercontractAsthesechurnprogramshavematured,focusturnedtoproactivelygrowingtherevenueofexistingcustomersHowever,thecarrierlackedkeyinfrastructureandcapacitytolaunchaprehensivecrosssell/upsellprogramSignificantincreasesachievedforpilot,base,andlifetimeincrementalrevenueValueTargeting:Identify,profileandanalyzethesegmentsAssessmarketandidentifyopportunitiesDevelopportfolioofcross-sellandup-sellpilotopportunitiesValueCapture:SelectopportunitiesanddevelopbusinesscaseCreatepilotlaunchplanandidentifykeymetricsPreparechannelsandlaunchpilotsMonitorpilotsandcreatesummaryreportofresultsLeverageResultstoEntireBaseDesigncampaignsbasedonpilotresultsCreatelaunchplanandbusinesscaseforcampaignsLaunchcampaignsBIOfferingsSolutionResultsCompanyDescriptionAleadingUSprovideroffullyintegrated,wirelessmunicationsservices.FocusesitsproductsandservicetowardsBusinessCustomersLeadstheIndustryinCustomerRetentionIncreaseRevenueCaseI:RevenueGenerationforaMajorWirelessCompanyMikailiLilly高級客戶關懷埃森哲共13頁，您現在瀏覽的是第9頁!10Copyright?2006AccentureAllRightsReserved.Thewirelessindustryisexhibitingthetelltalesignsofamaturingandpotentiallyunhealthymarket.Note1:IncludesConsumerPost-Paid,Business,ResellersandPre-PaidSubscribers.Source:CTIA,MorganStanley,Clientestimates$80Bindustrywithrevenueswith12%CostofAcquisitionNewproductsandservicesstillcompellinginvalueBundlesarebecomingincreasingimportantConvergenceisbringingnewopportunitiestothemarketMarketisataninflectionpointFocusisshiftingfromrevenuegrowthtoprofitabilityTheGoodNews:DecliningnewsubscribergrowthSaturationofhighprofitabilitywirelessusersMarketinefficienciesandgapbetweencustomermarketingandsalesisaddingtodecliningmarginsLargestremainingsourcesofgrowtharelowerendSwitchersoutnumbernewentrantsby2:1LWNPisnotan“if”buta“when”SpectrumandnetworkconstraintsaboundUntraditionalentrantsareshiftingthevaluechainBottom-lineeconomicsaredeterioratingTheBadNews:Rev./User1$46$45Churn2.6%2.7%CPGA$286$294Min.ofUsage188249RevenueCostAttritionDecreasingCustomerValue$463.1%$340343Yield2$0.24$0.18$0.13AnnualizedSubscriberGrowthAnnualizedGrowthRateJune85June010%50%100%150%200%250%CaseStudyII:

InsightDrivenCustomerStrategyMikailiLilly高級客戶關懷埃森哲共13頁，您現在瀏覽的是第10頁!11Copyright?2006AccentureAllRightsReserved.Thefirststepwastocreatea360-degreeviewofthecustomerthatincorporatedfactorsfromallkeyareas.ComponentofSegmentationVariableCategoryChargesfromthebillingsystemMinutesofuse–usedasaproxyforcosttoserveMinutesofuseChannelpreferencesAccessChargesOverageChargesRoamingChargesPlanSampleofFieldsChannel(retail,agent,etc.)Distribution(internet,etc.)ProductgroupProductsubgroupPriceplanProfitability~40variablesBehavior~130variablesCallDetailAllMinutesCallDetailHomeMinutesMinutesofUse-AirCallDetailAllMinutesCallDetailHomeMinutesMinutesofUse-AirDemographics~400variablesDemographicsAgeIncomeEthnicityMaritalStatusOccupationLifestyleGolfBoatingGardeningCaseStudyII:ApproachMikailiLilly高級客戶關懷埃森哲共13頁，您現在瀏覽的是第11頁!12Copyright?2006AccentureAllRightsReserved.CaseStudyII:

MarketResearchResultsSegmentMoreLikelytoHaveLessLikelytoHaveProductFeatures1ExpressedInterestedintheFollowingDataProducts2ABCDEInternationalLDCellularInsuranceMobile-To-MobileEnhancedVoicemailWirelessDataEmailInstantMessagingInternetGamingFileTransferInternetShoppingNewsGPSCellularInsuranceMobile-To-MobileWirelessDataEmailInstantMessagingInternetGamingFileTransferInternetShoppingNewsGPSCellularInsuranceWirelessDataNotInterestedinDataProductsCellularInsuranceMobile-To-MobileEmailNewsGPSRoadsideAssistanceCellularInsu