More than 75% of all mobile phones used in the United States are smartphones, according to ComScore’s most recent MobiLens report. That’s 184 million Americans using Web-connected devices every day. A major component of smartphone use is the reliance on over-the-top services offering users games, information, transportation and a vast array of other services. All of this app access means massive amounts of data are created every day by smartphone users. This information is invaluable to companies when they can use it to make decisions related to their existing products and services or to introduce completely new products and services.
The great thing about smartphones and their applications is that people can use them precisely as they wish. They can read news apps and keep up with their favorite sports teams; play games and buy movie tickets; request an Uber; or tweet away. It’s all up to them, and every user is different. All of the usage data created by smartphone owners and a growing number of “Internet of Things” sensors, expected to reach 50 billion by 2020, means telcos can do so much more now. There’s a growing opportunity – and demand – for service providers to offer individualized service to customers. Moreover, telcos are in a great position to capitalize on this information since it all goes through their networks. Data reveals critical traits of every user or group of users that can be factored into specifically tailored offerings.
Another area that can be hugely valuable to telcos is data insight that points to certain kinds of service issues that can be proactively managed. The ability to move from reactive to proactive maintenance is one of the biggest opportunities for data. Using information to inform decisions on new offers, make adjustments to popular services or help avoid problems moving forward is ushering in a services renaissance. While the pervasiveness of smart technologies means the number of possible service issues also has expanded, it doesn’t have to cause more headaches. Analytics from smart devices can be used to quickly assess and troubleshoot issues and provide remote diagnostics and maintenance without human intervention — the holy grail for services companies.
Additionally, marketing strategies, services and pricing can be honed for specific groups of people or even tailored to each individual user. The sheer volume of information available to mobile service providers means they can take either a broader approach with certain communications and services or a smaller, personalized angle for others. Previously, one-to-many approaches to service, pricing and maintenance made sense. As smarter, Web-connected mobile phones and sensors become ubiquitous, the ways telcos deal with customers needs to change, as well. Leveraging the massive volume of usage data to alter plans in line with likely consumer uptake is just good business at this point.
It’s inevitable for companies, especially the largest, to feel a bit overwhelmed with all of the new opportunities available to them. However, the new information age ushered in through smart devices provides precisely the kind of knowledge companies have long sought to take the guesswork out of marketing, sales, maintenance, operations and other areas. There’s inevitably going to be an adjustment period as new strategies are integrated to make best use of this opportunity. This is the new paradigm, though, and moving now to turn data into the new currency is a competitive must.
IoT and its influence on telcos and the world at large continues to grow. Mobile service providers and telcos with proactive strategies that leverage data will position themselves as attractive options for consumers, as well as enterprises.
Esmeralda Swartz has spent 15 years as a marketing, product management and business development technology executive bringing disruptive technologies and companies to market. As CMO of MetraTech, now part of Ericsson, Swartz is responsible for go-to-market strategy and execution, product marketing, product management, business development and partner programs. Prior to MetraTech, she was co-founder and VP of marketing and business development at Lightwolf Technologies, a big data management startup.
Editor’s Note: The RCR Wireless News Reality Check section is where C-level executives and advisory firms from across the mobile industry share unique insights and experiences.
