Why Mobile Apps are Important in Telco
With mobile service revenue set to reach $1.1 trillion this year, there has never been a more significant time for Communications Service Providers (CSPs) to engage with their customers, and provide a helpful, relevant customer experience. In 2019, one of the primary (and most obvious) ways that CSPs can connect with customers is through the use of mobile apps. Indeed, consumers are rapidly migrating to the mobile app as the primary method of interacting with brands (either Telco or other): total time spent in apps is forecast to grow to 3.5 trillion hours in 2021, up from 1.6 trillion in 2016.
However, building and then implementing an effective app experience is far from simple. Industry statistics reveal that over 80% of mobile apps are discarded within the first three months of being downloaded. To that end, CSPs are under pressure to ensure that their app(s) are intuitive, relevant, and add value to the customer.
Image Source : forbes.com
How AI/Machine Learning Technology Enhances Mobile App Performance
The app landscape is indeed challenging and competitive, but unprecedented levels of customer data, paired with new AI capabilities, open up huge opportunities for brands willing to embrace new technologies as they look to the future of their customer experience/service delivery. Let’s look at two potential use cases leveraging AI/personalization in Telco app experiences:
1. Enhance transactional/functional apps with personalized product recommendations
Many CSP apps exist solely as a window for the customer to understand their tariff allowance and usage, and to be fair, most of these apps are clean, intuitive and perform their intended purpose well. However, there is a huge opportunity for CSPs to tap into their already-engaged app user base and use this channel to deliver personalized product and tariff recommendations within the app, without intruding on the user experience.
For example, an app that is only being used for balance checks and admin can now be enriched in target areas (powered by AI) with bundles, upgrades and products selected automatically at an individual level, based on that user’s CRM data. You now have an app that is harnessing user engagement to deliver cross-sell and up-sell opportunities, but with a customer-centric approach: i.e. promoting products and services that will help the customer, as opposed to pre-selected products a CSP have decided they will push.
Benefits: Increase sales from cross-sell/up-sell; Support customer by recommending only helpful products and services; Grow commercial value of app user-base.
2. Improve the user experience with relevant content
Perhaps a CSP wants to keep their mobile app experience strictly non-commercial. They may have applications that exist solely to give support and guidance to customers, and therefore do not want them to actively promote products and services. In these instances, AI and machine learning is able to process and understand all brand social, marketing and value-add content, match this content to a customer’s individual profile/behaviour, and dynamically integrate this content with the app automatically. Previously unused areas of screen real-estate are now populated with content that adds value to the customer and increases their engagement with the brand. The result is a seamless yet potentially unique experience for each user – as they will see only the latest, most relevant and helpful content each time they use the app.
Benefits: Improved CX; Deliver one-to-one experiences with no additional resource/effort; Build brand affinity.
Image Source : knexusgroup.com
Competition among Telco brands to provide better customer service and experience has never been higher. To that end, interactive and intuitive mobile apps can deliver some of the most meaningful opportunities for CSPs to respond to the challenge. Brands who understand the power of customer data, place importance on personalized customer experiences, and have a clear strategy and ambition to embrace AI technology, will be set to stand above the competition and capitalize on Telco industry growth for decades to come.
Knexus is an AI decision making engine that offers brands a single, virtual content view of contents (product, social, marketing) and matches it with customer data to deliver 1-to-1 content experiences in real-time and on any digital channel in real time.