Customer Value Management Saturated Markets of Mobile

Question: The question here that arises is that in the competitive market environment of mobiles what strategies can the operators implement in order to strive in the market? Answer: Summary: The article deals in the saturated markets of mobile. The question here that arises is that in the competitive market environment of mobiles what strategies can the operators implement in order to strive in the market? The answer focuses on the different market strategies that can be implemented like the customer retention. In this regard there are many organizations that emphasize the acquisition of new customers which is not effective in a saturated and competitive market. This approach has been proved to be a success as in the UK O2, the churn rate got reduced with the introduction of the Refresh tariff benefitting the customers. Thus, the main idea is the management of customer value which is described as a complex set of decisions which focuses on data mining so that the operators are able to send important communications to the target customers. The target customers are easily achieved with the social media marketing methods which will help to improve the efficiency and reduce the cost of the business. The first step includes the determination of the valuable customers. In an article on Forbes, the way to reduce the customer churn rate has been discussed which reveals that the companies have failed to reduce the churn rate mainly because they did not value their customers who were on the verge of retention. The problem of understanding the customer value lies in the solution of big data. It has been seen that the revenue forms the key performance indicator to determine the customer value but the clarity of the scenario is achieved only when costs and expenses are included. It can be analyzed that the low value customer may be at the other side of the coin as they prove to be valuable as they receive more incoming calls than they make outgoing calls. The second challenge is the personalization of offers to each of your valuable customers. When the customer value is determined the next issue that arises is the effective communication with them. The big data is also utilized in the communication strategies as it provides the customer history which helps the operators to individualize the customers by providing them with offers that are most relevant to them. In this way the operators can increase the customer loyalty, reduce churn rates and thus increase the revenue. The third challenge is the identification of the different channels through which the offers can be sent to the customers. The more diversified are the channels the more consistent is the customer experience. Analysis: One of the emerging marketing practices in the recent times is the establishment and development of effective customer relationships. The sound relationship between the customers and the sellers are possible through the maintenance of the individual customer data which is important for learning the behavior, tastes and preferences of the customers. This availability of customer data gave birth to a new marketing research area which is the customer value management. This research helps to evaluate the customer lifetime value and the development of offers which are customer specific. The article deals in the customer retention which is possible only when the behavior of each of the customers is available. It has been proved that efficiency of the business lies in the customer retention more and less on customer acquisition. It must be noted that for the expansion of any business acquisition of new customers are as valuable as the customer retention. The customer retention is possible o nly when the valuable customers are identified which is again possible through the big data. There are three major benefits of big data which are useful for the business especially where the market is saturated and competitive. The cost reduction, improved decision making and introduction and development of new products and services are three benefits. The article also focuses on the identification of the different modes of communication to the customers, of which the social media marketing has proved to be effective and efficient. In this regard the targeted customers are easily accessible through the social media networks where the marketing of products and offers are provided in less possible time. It is also evident from the fact that the busy customers find it convenient to approach sellers through online channels rather than visiting the braches or making calls to the call center. Thus, the online channels of communication prove to be beneficial for customer retention. The cus tomer retention is commenced through the customer value management where the big data are used to acquire the information about each of the customers and develop sound customer relationship.