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Project

The VimpelCom company completed software implementation of conducting marketing campaigns

Customers: PJSC VimpelCom

Product: IBM SPSS Decision Management

Project date: 2011/05  - 2014/09

Content

The project on creation of a system of analytics of client preferences and creation of the personalized offers for each subscriber Beeline.

The VimpelCom Ltd. group and IBM corporation completed an implementation project of the software solution IBM SPSS for holding marketing campaigns.

Prerequisites

By the time of start of the project by the VimpelCom group the model of NBA (Next Best Action) was adopted. A basis of this model - the directory of offers which is actively replenished and updated and also analytics on clients which also should be updated continuously as continuously there are events in the subscriber's life. For example, acquisition of the new smartphone, and unpleasant - problems with work of a mobile network can be a pleasant event. All these events need to be considered correctly, and to make it quickly and very precisely as errors are fraught with deterioration in the relation of the client to the company. Personalisation became one of key trends of maintaining customer relations. The new model of work demanded new technologies.

According to the partner of AT Consulting company, the director of the Business Intelligence block Andrey Nugmanov, the choice as the platform of the solution IBM SPSS was caused by optimal opportunities for integration, implementation time, lifecycle, scalability and also cost. The solution SPSS implements deep data processing (data mining). Thanks to it it is possible to build the models predicting actions of subscribers. In turn, the module RTDM gives the chance to analyze and apply rules in real time. The core of a system, IBM SPSS, collects information on subscribers, analyzing up to 500 different KPI and applying more than 1000 calculation formulas and selection criteria. In holding time of one client a system analyzes information with a capacity up to 5 Tbyte.

Expectations

Use of the software solution allowed to increase number of the attracted clients from 3 to 12% and to increase profitability of marketing campaigns by 3 times.

Business of the operator set the task - to obtain a maximum of information which can be collected from each user, and then to update constantly in the online mode and to analyze it. It was important that the analytics worked in real time, independently studied and generated new offers. At the same time offers should not have been persuasive for the subscriber. Such moments as preserving of investments, cost minimization, the choice of advanced technologies, scalability of the solution, project implementation in aggressive terms were also important for the customer.

Opinion

The senior target marketing expert of JSC VimpelCom Vladimir Maslik noted: "Working in the conditions of dynamically growing markets, we came to need of increase in efficiency of targeted marketing campaigns. The solution on predictive analytics of IBM SPSS allows us to build up the point relationship with a great number of users of our services and more effectively to satisfy their personal requirements. It allows us to optimize return from our marketing campaigns, to increase and save base of subscribers and to considerably improve performance indicators'.

Project Progress

For accomplishment of tasks the project team which consisted of several groups of specialists was created: project orderers, the staff of project office and department of IT from VimpelCom, managers and technical advisers of AT Consulting, representatives of IBM. At all stages there was a dense communication of staff of project office with business customers and IT specialists for timely correction and control of accomplishment of tasks. The project was supervised directly by top managers of VimpelCom. The project assumed the solution of a large number of tasks, and some of them were delivered already during its implementation. With respect thereto the implementation team at peak of the project was increased more than by 50%.

BigData technologies were applied to data preparation for predictive modeling of the best offers and segmentation. As a result of it were prepared daily and Real-time of a show-window on a profile of consumption, various segmentation and the current parameters of the subscriber on the basis of permanent processing of all traffic of subscribers of 3 months in depth (5 Tb).

For the choice and personification in real time of the best target offer using predictive models the solution IBM SPSS RTDM which as it was told above, allows to carry out the analysis to 500 different KPI and to apply more than 1000 calculation formulas and selection criteria is set. Processing of all entering appeals to call center and offices sale also carrying out scoring on 100 different potential targeted campaigns, determination, personification and display of the most relevant campaigns of all through half a second after the address of the client became results of implementation of IBM SPSS of RTDM.

The task of the organization of Uniform policy of contacts which in real time provides fixing of the facts of communication and implements up to 100 thousand new checks per second about permission/prohibition of carrying out this or that communication was solved using In-Memory Distributed Cache. Thanks to this technology all history of communications is placed in RAM of memory in the distributed cache of quick access.

Result

Use of IBM SPSS allowed to increase efficiency about 200 marketing campaigns Beeline within 6 months. The software solution allows telecommunication company to analyze data of the subscribers to predict their behavior, requirements and preferences, and eventually to optimize marketing campaigns.

After the implementing solution IBM SPSS the number of the clients Beeline who accepted the offer created on the basis of the data delivered by a system grew up by 3.5 times. From the moment of start about 1 million such offers were accepted. The solution is used at all own offices, and these are more than 1200 offices, and about 6000 in all regions. All specialists who directly contact to clients at offices and call centers have an opportunity to obtain information.

Comment

"We are glad to an opportunity to offer the client that it is necessary for him here and now. The personal approach based on needs of the client becomes a basis of customer-oriented business today. For us it is very important to satisfy needs of the client as fast as possible and individually. The high-tech solution of IBM SPSS allows us to apply this approach to each client and even to foresee his requirements. Thanks to the solution of IBM we can today not only meet customer expectations, but also more effectively use such business structures as contact center and sales offices", – the director of management of a subscriber base of JSC VimpelCom Elena Ivashechkina comments.
"The implemented project allows our partner using modern technologies more effectively to manage marketing campaigns, using information at the new level and providing it essential competitive advantage. Big Data and analytics will become a basis for change of world economy and laws of business. At the same time cloud computing will help to use these means fully to customers", - the CEO of IBM in Russia and the CIS countries Kirill Kornilyev continues.

"New economic conditions which our customers face increase the need for high-quality forecasting and business performance management, - Alexander Tikhonov, the head on sales of solutions of a business intelligence, IBM in Russia and the CIS noted. - The project implemented in VimpelCom company shows capability of the company to transform information to a valuable asset, to expect long-term results and to take the correct actions, providing the organizations serious competitive advantage".

On March 24, 2014 the herd is known: VimpelCom implemented the IT platform from IBM for formation of the personified client offers in real time taking into account the reasons of addresses of the client to the operator. The integrator in the project is AT Consulting company.