Churn Prevention

Executive Summary >> Churn Prevention System >> Allround Risk Management Framework

Reaching, keeping and “protecting” the most valuable customers for long term and in a profitable way should be an
elementary goal of every mobile operator. It is also well accepted that acquiring a new customer costs significantly more
than retaining an existing one.

Usually subscriber churn is treated as a deterministic part of the telco business and churn figures are surprisingly static in
time. Very often no matter of the exact churn rate operators have learnt to live with it; trying to make out the most of the
only tools they have: the loyalty programs and weakly targeted campaigns based on data warehouse or CRM reports. Sure,
the competitor is doing the same.

Worldwide statistics show that yearly churn rates vary market by market, region by region. However, it seems to be realistic
to make an effort keeping the yearly rate under 20% - as industry best practices justify.

>> CHURN PREVENTION IN 2009

Current global economical challenges will reduce your and more targeted churn prevention business processes
customers’ buying power affecting your new sales numbers. with much shorter reaction time.
But - as the extensive growth is slowing down - the almost
only way to increase the subscriber base is the seduction Additionally, due to the feedback and evaluation you can
of each other’s customers. Changes on your market are continuously adapt your churn prevention activity to the
forcing you to reevaluate the importance of churn prevention market circumstances.
and rethink your approach and business processes. Technically: move churn prevention from Business
Intelligence domain to your everyday operation. To do so –
>> YOUR REWARD? and due to the limited headcount and budget you have – you
need a good system with high level of automation. This is
According to Chorleywood Consultancy decreasing your exactly what we offer.
churn rate by 1% will increase your profit by 6%. Sounds
encouraging but how to achieve it? o Integrated solution covering all major elements
of churn prevention: symptom
handling, customer
With a sophisticated and well functioning churn segmentation, workflow
management solution you can support, evaluation and
feedback
› Retain the high value subscribers resulting
in increased average ARPU o campaign
management
› Assure the most effective usage of the allocated
resources for churn prevention due to well defined o additionally, provides input
and good targeted offers for offer management and
operational support for
› Have maximal control in your hands by accurate fferings
and up-to-date reporting and evaluation.
• Gives immediate operational solution

• Assures shorter response times with balanced

>> HOW TO ADAPT TO THIS CHALLENGE? workload

Amaze your subscribers by demonstrating how much you • Easy to implement and integrate. – can interface
understand their needs! Implement more customer centric surrounding systems or work with raw data

THE MAIN ADVANTAGE? IMMEDIATE FINANCIAL RESULTS DUE TO THE SUPPORT

OF THE EVERYDAY OPERATION.

Know what will happen. Allround puts you in control. ›››

Allround CHURN PREVENTION SYSTEM (CPS) detects in a timely manner those customers who intend to churn
and enables you to act to retain the most valuable customers. Allround’s CPS:

• collects all the relevant information from customer satisfaction

point of view,

• builds a customer profile based on detailed usage habit

• generates predictive early warnings based on even the slightest

changes in habits

• supports the whole workflow making it effective, efficient and

measurable

• allows you to continuously track your churn prevention expenditures

and costs and improve their return and impact on your profit.

Allround CPS is not just another customer relationship management solution. If you already have a CRM system in place:
check out whether it supports subscriber level operational churn prevention workflows. Not really? This is what we
provide. But also no problem if CRM is only in the strategic plans. For a fraction of the cost and effort of implementing a
CRM system we provide you our Multidimensional Customer View methodology.

The advantage is clear for saturated countries but what is the value for high growth markets? Learn from others’
experience: it proved to be almost impossible – i.e. very-very expensive – to significantly change the market shares after the
high growth phase is finished. Rather think in advance for 2-3 years and start to actively manage your subscriber portfolio
by our churn prevention solution now. You leap frog your competitors and ensure owning the biggest share and highest
value customers for a long-long time.

Allround Churn Prevention System can help you a lot – mainly if you act before your competitors do.

>> For further information please

call at +36 1 206 6280 or e-mail us to sales@allround.eu

About ALLROUND
With presence in 4 continents - North-America, Europe, Middle-East, Africa – and more than 20 countries Allround pioneered commercial
CDR/xDR processing and is a leader in risk management, roaming and the billing testing area.
ALLROUND puts telecom operators in control with its integrated Risk Management Framework providing a real business enabler, comprehensive
solution to telecom operators.
Allround built its Risk Management Framework 2.0 based on real operator needs incorporating Allround Global Footprint
our 13+ year experience, Word Billing Award winning methodologies and innovative products.
Supports all mobile and fixed-line access technologies, addresses multiple business areas by
utilizing all – business process and technical level – synergies: Fraud Management, Interconnect
Bypass Detection, Revenue Assurance, Churn Prevention, Internal Fraud Detection,
Partner Monitoring.
ALLROUND is a profitable, private European company headquartered in Hungary.
The company is an Associate Member of GSM Association since April 2002.

The development project of the new CeDaR technological platform was realized with the support
of the European Union within the New Hungary Development Plan.