From data to gold: unlocking new and unique telco revenue streams

Imagine stepping into the digital frontier, where every click or scroll isn’t a fleeting action but a step in the grand dance of consumer engagement. As someone with two left feet, it’s difficult to look up from the confounding movement of my own steps and enjoy the movement of the room. Well, unless I am with my trusting wife. Telcos, through utilization of their unique position, existing technology and innovative mindset must become those partners. Partners which guide enterprises in their digital and physical services while empowering them to look up and see the hall around them.

The unique position of telcos

Telcos aren’t just service providers; you have direct relationships with subscribers, like conductors on a train, knowing who gets on and where and where they get off. This provides telcos with access to vast amounts of high-quality first-party data that can transform industries. Yes, it’s a sample, but consider the size and quality. Most mobile network operators (MNOs) support a significant portion of the population (in the UK EE supports 36.5%) by casting a wide net across demographics and regions. Coupled with seamless communication networks, this data access, technological capability, and customer insight position telcos as pioneers in this digital transformation.

Maximizing value of existing network technology

I get it — tight purse strings, stretched budgets, low profitability. Here’s the twist: what I am proposing doesn’t require brand new technology. It’s based on existing customer relationship management (CRM), customer experience management (CEM), complex event processing (CEP) and RAN optimization platforms. Most telcos already have these in place, meaning leveraging existing infrastructure with minimal capital expenditure. It’s like learning to use your stove for grilling and steaming-maximize what you already have.

As the Cookie Crumbles

A storm has arrived, shaking up digital consumer presence as we know it. Cookies, the tiny trackers crucial for consumer presence and targeted advertising, are becoming elusive. Google plans to phase out third-party cookies in Chrome by 2025, while Safari and Firefox already block them by default. This shift means enterprises must find new ways to craft personalized marketing strategies. Partnering with telcos enables them to maintain digital consumer presence without relying on cookies

Next-gen marketing with telco innovation

So, what innovations can telcos offer enterprises? Depending on local requirements and agreements, telcos can provide identified data, anonymized data, and aggregated data. Here are three overarching concepts to support this journey:

• Virtual footfall: telco-led digital transformation of consumer presence

Indulge me with a little exercise. Close your eyes (figuratively, of course) and picture the bustling hallways of a shopping mall you frequent. As we pry ourselves away from the dopamine merchants, shift that image to a virtual landscape—websites, apps—where every visitor’s interaction is measured and analyzed. Virtual footfall tracks online interactions, examining characteristics like affordability, demographics, and behavior. It’s not just about who’s visiting, but how they’re interacting and making decisions.

• Physical footfall: harnessing telco radio networks for high resolution location insights

Your favorite coffee shop, the convenient grocery store, that lucky padel court—these places paint a colorful portrait of each individual. Physical footfall can track these details with precision, identifying user locations down to 50m x 50m grids with time resolutions between 1 hour and 15 minutes. In areas with 5G, it can even determine the subscriber’s floor. This data provides high-resolution location insights valuable for businesses.

• Interceptive advertising: real-time and scheduled engagement

Interceptive advertising captures those micro-moments. Imagine walking down the street, and your phone buzzes with an offer just as you pass your favorite café. Real-time engagement captures these moments. Scheduled engagement uses predictive analytics to deliver ads at the most effective time and through the most effective channel, blending seamlessly into daily routines.

Privacy and ethical considerations

Navigating data privacy is crucial. It is important to recognize that the use of subscriber data and access is entirely governed by prevailing laws and, in the vast majority of cases, the subscriber agreement. I cannot stress enough the importance of having a strong subscriber agreement in place. Great example of this is the storage limitation outlines in Thailand AIS Privacy Guidelines, accountability as demonstrated by Orange Telecoms Data Protection Clauses and transparency as demonstrated by O2’s Subscriber Agreement. User consent and transparency are crucial for building and maintaining trust. Ethical guidelines ensure data is used responsibly, benefiting both consumers and businesses without compromising privacy.

Conclusion

Every great journey comes with challenges. Navigating data privacy is crucial, and investing in the right tech and talent is non-negotiable. However, telcos have completed most of the journey already. They are perfectly placed to capitalize on the changing landscape efficiently. With telcos leading the charge, the future of consumer insights is a growing light and the revenue growth is found.