Martin Morgan, VP of Marketing at Openet, discusses how mobile operators can leverage real-time data and customer context to generate personalized offers. An operator survey found real-time, contextual offers could increase data revenues by 15% globally, representing a $47 billion opportunity. The presentation outlines how real-time offer management works, using the example of an operator responding to increased Facebook usage by creating targeted service packages for customers. Real-time offers allow operators to quickly upsell customers and optimize offer catalogs based on subscriber behavior and feedback.

1. Real-time Data
Opening up the $47 billion opportunity:
contextual aware real-time offers
Martin Morgan, VP Marketing, Openet
BBTM and Big Data Summit, Barcelona, 12th November 2014

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• Real-time – Generation now
• Operator survey results – what’s the impact of using real-time to drive real-
time offers
• How does it work?
• Summary
Agenda

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Last of the Analogue Generation
• Most of us of a certain age.
• Most senior management in companies
• Devices had a main single function
Generation Now – under 25s
Generation Now
• Instant gratificationof purchases
• Many never known a time without
mobile
• Grown up with digital technology
• Smartphones and tabletsare the new
shops
• Expect and want stuff now and will buy it
using technology (smartphones, tablets)
• 2.9 bn people (50% of world’s
population)are under 25

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• This represents a significant opportunity for operators
• They have the customer relationships
• They have the opportunity to upsell new products and services (both their
own and 3rd parties – e.g. content partners)
• They have the financial relationships with customers – billing, prepaid top
ups, direct operator billing
• They have the business intelligence on customer behaviour
• They have the customer context – e.g. location, service being accessed (or
tried), customer behaviour – in real-time
Generation Now Wants Stuff Now (aka Real-time)

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• Traditionally offers are not real-
time. They depend on either
pre-planned/pre-configured
schedules, or off-line processing
based on historic activity.
• Real-time offer presentation
after intelligentoffer mapping,
and presentationof
contextually appropriate offers
can increase data revenues
• Also need orchestratedoffer
provisioning to deliver offers in
real-time
Real-time Data – Driving Real-time Offers

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• Combine customer context and real-time data
• Use this to make a real-time offer, that is relevant and timely, to a customer
• Can significantly increase data revenues
• Increase customer satisfaction, reduce customer care costs, increase net
promoter score
• Making offers in real-time that are contextually aware - increase relevance to
each customer
Real-time Data – Making an Impact on
Corporate Performance

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• Openet surveyed 85 mobile operators in October 2014 on the impact of real-
time contextually aware offers
The $47 Billion Opportunity

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How Important are Real-Time Offers in
Increasing Data Revenue?

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Current Status and Upsell Effectiveness

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What Impact do Operators Forecast?

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Centralizing Offers: Impact on Time of Market

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Centralized Offers – Current Status

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The Context:
• Facebook have amended their app
and service in a new update
• The app now includes far more HD
video. Users are rushing through
their data allowances.
• The operator DPI system is capable
of identifying it’s app traffic
distinctly.
• In todays traffic reports, Facebook
traffic was identified by the
operator as having grown
dramatically overnight, both in
terms of engagement levels and
user numbers
Example: New OTT App – Facebook
The Context

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The Service Offer
• The following morning, the IT
department added 7 new service pass
plans for users of Facebook, based on
existing offer packages
• Offers include a simple data allocation
increase, an unlimited Facebook option
with different timeframes (1, 3, 7 days),
and a Facebook with no video option
with different timeframes (again 1, 3, 7
days)
• Offers will be trialled with a maximum
100 subscribers each, to determine
effectiveness and profitability
New OTT App – Operator Response
Fast Response-
Operator Service Offers
The Context
The Service Offer

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The ContextMeetTim.
• Tim is a long time Facebook user, but has limited
monthly data consumption. With the change in
service, he is now using significantly more data
through the Facebook app.
• Tim is a valued, but low ARPU customer. He has a
small data balance between now and the end of
the month, not enough to consume a lot of video.
• When Tim goes onto Facebook he is presented
with an offer for one days unlimited access with
HD video for $1.
• This is one of the new service offers.
• Tim accepts, and is instantly notified that he has
been granted unlimited access to the service for
that day.
New OTT App – The Subscriber
Fast Response-
Operator Service Offers
The Service Offer
The Subscriber

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1. Offers can be created, changed and updated very quickly
2. More granular offers mean more tailoredupsell, which can be triggered by
real-time subscriber activity
3. Once added to the offer catalog, offers will be instantly available to
appropriate subscribers
4. Once activated by a subscriber, offers will be provisioned through any
necessary BSS components
5. Offer effectiveness can be reportedon in real-time, to understand uptake
and profitability metrics.
5 Benefits for the Operator
So how was this done?

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• An offer is presented to the subscriber
following a trigger event (1), either an
inboundsubscriber query, or a pre-
defined network event (e.g. subscriber
accesses Facebook)
• Real-time Offer Manager will decide
which offers to present to the
subscriber, by first verifying their
context (2) across multiple control
points.
• If the context is determined suitable
(3), one or more offers will be
presented to the subscriber (4) and
provisionedon acceptance
• Offer analysis(5) can determine new
offers, and advise where to refine the
existing catalog
Closing the Offer Management Loop

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• Using real-time data to drive marketing and
sales offers can:
• Increase upsell rates from 8% to 14%
• Generate an additional15% data revenues –
representing $47bn opportunityto the global
mobile market (based on 2014 global service
revenue of $1.01 trillion)
• 34% of operators currently have the capability
to provide real-time contextual offers
• Significant opportunity here to use real-time
data to drive relevant offers to the now
generation
• Download Openet’s Operator Survey Research
Report: The Revenue Impact of Real-time
Contextual Offers – www.openet.com
Conclusion