15 Tips For Prepaid Marketing

It doesn’t take a rocket scientist to realise that if you cannot count on a flood of new postpaid customers to fuel your growth, you need to create more value from your existing prepaid subscriber base. With this in mind, I have put together 15 practices to help you increase the value of your prepaid subscriber base while maintaining positive user experience of customers. Some of these tips are applicable just as well to your postpaid activities.

1. Map all customer interactions

Map all the touch points with customers via all channels to prevent conflicting messages and offers. You want to prevent a scenario in which customers reach an IVR and get an automatic offer that contradicts the personalised offers you have worked hard to design.

2. Make it simple

Design simple offers with clear conditions, and preferably with immediate rewards. For example, “Recharge 10€ or more by the end of the week and get 4€ to be spent on data.”

3. Be ‘contextual’

Take into an account subscribers’ profile and attributes (static data such as price plan, behavioural patterns such as personal number of days between Top-ups or Max Top-up in the last 3 months, preferred communication channel, responsiveness to past activities) and design the overall marketing proposition (targeting, offer description, communication channel, communication text, user experience etc.) to fit these personal attributes.

4. Simulate natural response rates

Try to run the rules of the offers on your subscriber base to predict response rates of the target segment you defined. Based on your simulation results, adjust the targeting or offer conditions to maximise the offer efficiency (target group versus control group response rates) and relevancy.

5. Implement churn predictors

Apply real-time and near real-time modelled churn detectors to prevent churn attempts. Modelled churn predictors will identify abnormalities in customer’s behaviour and allow you to react immediately.

6. Allocate a benefits budget

Allocate a benefit budget that takes into account the customer’s ARPU and overall value to avoid cannibalisation.

7. Simplify response for churners

Make it as easy as possible for subscribers who are in-risk to churn to respond to offers and remain connected. For example, avoid cumbersome registrations procedures.

8. Choose the right words

Always probe copy alternatives. Consider focusing the marketing text so it addresses customers’ personal pain. For instance, for customers who are sensitive to cost, create copy that emphasises the monetary value of the incentives provided.

9. Ensure wide coverage

Make sure your contextual marketing plan covers a large portion of the subscriber base, or if not, apply a complementary plan to address it. Wide coverage is highly important for achieving the overall desired Top-up lift, so you should consider combining reactive/contextual and proactive communications.

10. Send time-based offer reminders

Communicate personal reminders (e.g., “You have 3 more days to Top-up 10$ or more and get 5$ back! Top-up today!”). These reminders generate better response rates than invitations, due to their time limit and urgency which triggers a reaction. The recurring effect of the message also increases its effectiveness.

11. Use benefit reminders cautiously

Be careful when raising awareness to unused benefits or incentives. Such reminders can be risky in terms of user satisfaction and may drive churn.

12. Send benefit confirmations

Consider issuing a benefit confirmation communication in order to reduce calls to Customer Care and to increase customer delight

13. Tailor Recharge and Spend flows

Stimulate customers with a personal low balance to recharge their account; motivate customers with a high balance to spend it by proposing new services, activating bundles (one-off or recurring) and so on.

14. Analyse competitors’ offers

While this may seem obvious – still, you must be acquainted with market competitors and their marketing propositions, and visit their web sites and stores occasionally. You can get ideas and implement unique personalised offerings within your Below-The-Line marketing initiatives.

15. Mix and match

Combine contextual behavioural triggers with special occasions (such as Pay day or a Sports event). For example, during the Olympics you can offer a discounted data bundle for viewing sports news and watching Olympics videos. The contextual offer can target low data users with no data bundle whose current balance supports the data bundle price.

Naama Ben-Oliel Ronen joined Pontis in 2006 and is acting as the Head of Marketing Best-Practices in Pontis. Naama leads the development and assimilation of the Marketing Best Practice in the company's projects and in Pontis' automated infrastructure. Mrs. Ben-Oliel Ronen has 10 years of experience in the High Tech industry. Prior to joining Pontis, Naama was a senior software engineer in Cadence Design. Naama holds a B.A. in Computer Science from the Open University of Israel, graduated Cum Laude, and an MBA from the University of Tel-Aviv (majoring in Marketing Management).