Commercialize to win | KPMG | CA
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Commercialize to win

Commercialize to win

Traditional telecommunications players have to step up their game in D&A if they want a lead in the digitization race.


Partner, Advisory, National Leader, Data and Analytics

KPMG in Canada


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Traditional telecommunications players have to step up their game in data and analytics (D&A) if they want a lead in the digitization race. For these pioneers of electronic and digital communication, survival and success over the next 10 years rests, in large part, on their ability to accelerate the commercialization of their data and analytics (D&A) — both customer data as well as network and operational data, which comprise a vast and valuable trove of information.

Standing in the way, however, are some deeply-rooted challenges that often prevent telecom executives from trusting their D&A and the valuable insights they can gain from them.

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Telecom executives are well aware that that their business models are being fundamentally and continuously disrupted. In a recent KPMG International survey of 580 telecoms executives, most (79 percent) said they worry they are already seen by customers as just a 'fat pipe of bits'.1 And they understand that D&A will be central to their efforts to transform. The same survey found that 80 percent of telecom executives see D&A as the key to creating real-time change in the way they serve their customers. So, the ability to compete in one of the most hotly competitive business environments calls for a transformation underscored by the rapid commercialization of D&A.

Success will be highly dependent, however, on determining the best approach to address critical trust gaps across their organizations, as less than half of telecommunication executives in a recent KPMG International survey on building trust in analytics said they had trust in the usage and deployment of their analytics.2

Many of the large players are making huge capital investments in technology and infrastructure but are seeing much of the value of those investments being usurped by nimbler, over the top (OTT) rivals such as Google, Netflix and Facebook. It could be argued that these capital investments represent a huge risk, given telecom executives' lack of trust in their data, yet they intuitively understand the value that D&A could deliver to their top line. Most telecom players are already building up strong capabilities in areas such as customer value management and social media monitoring. Many are also keen to explore how they might monetize the data that travels over their networks to deliver new services, not only to their traditional customers but also to new markets.

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