How can telecom operators stand out out by delivering a seamless, cross-channel customer experience in sales & service?

1. Wow!
Differentiating Customer Experience Design
in Telecoms
Stand out by delivering a seamless, cross-channel customer experience in
sales & service
Capgemini Consulting Netherlands – TMU
May 7, 2012
Management summary
Transform to the power of digital

2. Mobile operators have a challenging position in the mobile communication market and are
looking for ways to sustainably differentiate themselves
Challenges & options for differentiation for mobile operators
Challenges for mobile operators Opportunities for differentiation
Regarding business value & market relevance From direct competition & new challengers
+
How to How to deal with Differentiation Differentiation
improve customer increasing sales & service  Product differentiation Opportunity score
loyalty? demand by smartphone on
— Handsets
options +
customers? • Handsets
— Broadband
• Broadband +/-
How to benefit How to position How to Product
— Services • Value-added services (bit-pipe future, some
from increasing smart- against over-the-top maintain opportunities in VAS)
phone usage? service providers? revenues?  (VAS)
Price differentiation
— Bundles - -/+
• Bundle discounts
Only 27% of consumers consider the mobile operator brand PriceHandset subsidies
— • Handset subsidies (direct competitors
quickly follow)
important when purchasing mobile services  Network differentiation
Look & feel of device 53% — Technology -/+ -/+
• Technology
Brand of handset 44% — Coverage
Network • Coverage (competitors converge,
— Quality • Quality significant investments
Model of handset 38% needed)
 Sales & service differentiation
Operating System 32%
— Multichannel presence
• Multichannel presence + +?
Content & apps 32% Sales & (not a strategic focus,
• Seamless customer
— Customer experience
Mobile operator brand 27% Service experience successful examples
other industries)
Source: “Mobile Life: Study on consumer behavior on mobile devices”, TNS NIPO, 2011, consumers
in mature markets (base: 10,183)
A way for mobile operators to differentiate is a customer-focused sales & service experience design
Source: Capgemini analysis Copyright © 2011 Capgemini Consulting. All rights reserved.
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3. Mobile operators are well positioned to exploit a central position in sales & service
because of their multi-channel footprint, customer insights and direct billing relationship
Scoring of sales & service capabilities per market player
Sales & service Handset Over-the-top service
Mobile operators
capabilities manufacturers providers
 Strong in retail and call centre  Mostly indirect sales & service  Strong online presence in sales
Direct multichannel sales & service through 3rd party (r)etailers and self-service
distribution & service  Improving in online  Emerging direct online and  No retail and call centre
channels and social media social media services channel for sales & service
 Real-time view on mobile usage
 Real-time mobile usage profile
 Limited view on product and profile (apps) per customer
Valuable customer (data, voice, sms) per user
service needs of customers  Limited view on general
insights generation  Multichannel view on
(through 3rd parties) mobile service needs of
product, sales & service needs
customer
 Invoicing of device purchases  One-time invoicing of apps and
Recurring and direct  Monthly direct invoicing of  Limited or no direct billing content purchases
billing relationship mobile usage (also for 3rd relationship  Limited usage-based direct
parties) invoicing for apps
Mobile operators could position themselves as value-added middle man in the increasingly more
complex market of mobile communications
Source: Capgemini analysis Copyright © 2011 Capgemini Consulting. All rights reserved.
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4. True differentiation in sales & service can be achieved by offering a seamless, cross-
channel customer experience
Evolution of maturity in sales & service experience
To-Be?
Maturity
Your current Seamless cross-
situation? channel customer
experience
Integrated
multichannel  Channels aim to maximise
management customer lifecycle value
Multiple, profit-  Seamless customer journeys
optimised channels  Channels optimised to across channels and along
maximise overall sales and the entire customer lifecycle
Retail plus Online and minimise churn
Call Centre channels  Each channel is optimised to incl. WOW moments
maximise sales  Consistent support scope and  Customers migrate between
 Support scope, levels and levels across channels, channels depending on
Retail channel only  Retail is primary sales costs defined and optimised customers directed to best preference
channel channel for specific need
per channel
 Customer support limited to
 Bricks-and-mortar stores only specific channels and not Customer-centric sales & service performance
consistent optimisation
Time
Some examples of cross-channel experiences
 Technical support in online  Guru support on YouTube and in  Support concept in online, call centre,
and social media channels retail
retail and social media with similar
 No clear support  No direct link to call centre and support services
proposition in retail social media support channels
 Flow between support channels
Where is your company in this channel maturity model and what are the challenges you face to move to
the next level?
Source: Capgemini analysis Copyright © 2011 Capgemini Consulting. All rights reserved.
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5. Our Customer Experience Transformation framework start with defining a clear customer
experience vision and goes all the way to detailed experience design and implementation
Capgemini’s Customer Experience Transformation (CET) framework
Customer Experience Transformation Activities Deliverables
Company & brand strategy  Define the overall (or specific) CE vision based
Overall or for a on company and brand strategy, and on
specific channel, customer insights and market developments
customer segment, - Through ASE vision workshop with key CE CE vision document
product or process CE vision stakeholders (also creating CE mobilization)
End-to end  Define the customer lifecycle stages and
customer major interaction points with your customers
experience design  Define and design end-to-end, cross-channel
(journeys) customer journeys within the lifecycle stages Detailed experience designs
 Determine the impact of the journey designs
Transformation of on people, processes and IT
people, processes &  Create the transformation map with projects
technology to implement the journeys, make a detailed CE transformation map
planning and execute
Customer experience KPIs  Based on the CE objectives, the journeys and
• Outcome measures, e.g. NPS, customer
supporting processes define your KPIs and targets
satisfaction, retention
• Performance drivers, e.g. call waiting time,  Design and implement a CE KPI dashboard for
first call resolution continuous CE management CE KPI dashboard
We can support you in realizing a full customer experience transformation, on company level or for your
key channels, customer segments, products or business processes
Copyright © 2011 Capgemini Consulting. All rights reserved.
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6. Christiaan Langezaal
Managing Consultant
t. +31 (0)6 20442789
e. christiaan.langezaal@capgemini.com
Capgemini Consulting Netherlands
Hugo de Vries
Senior Consultant
t. +31 (0)6 46706767
e. hugo.de.vries@capgemini.com
Capgemini Consulting Netherlands