Technology
Discovering new revenue streams via data exploration
The Challenge
Commoditasation of core product and increasingly saturated market causing up to £350m in annual lost opportunities owed to churn
Urgency to get value from customer data to improve business performance
Rich data landscape but limited capability and no method to prioritise and develop use cases
The client, a leading consumer software provider, has been witnessing a declining retention rate across their main customer segments. With hundreds of TB of high quality data, the opportunity to drive more value out of customer data was identified as a clear business mandate. Arca Blanca was appointed to identify the most valuable use cases that will drive performance quickly.
The Results
Identified over £10m in revenue opportunities through data use cases across the customer lifecycle
Scoped and prize-sized the top use case to minimise churn and optimise revenues through renewals, up-sell and cross-sell
Explored the data landscape including opportunities for enrichment through external data sources
£10m+
revenue opportunities identified by exploring and prioritising AI use cases
The team analysed the customer lifecycle to map out challenges and opportunities and translate these into data use cases. A rapid diagnostic of data sources informed the suitability of these use cases. The outline scope of the first use case included a size of the prize, a design methodology and a delivery plan. Fast-forward to now, the business is leveraging data extensively to drive customer centricity.
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An increasingly competitive market coupled with declining demand was creating significant challenges for our client in converting and retaining customers. Manual optimisation processes and the lack of data-backed ways of working were a critical blocker. Arca Blanca analysed the business and data landscape, mapped out the most strategic opportunities and outlined the scope and case for minimising churn, optimising revenues and exploring cross-sell opportunities.