Partner Webcast – Oracle Big Data & Business Analytics: NEOS SNA Solution for Telcos

Copyright © 2015, Oracle and/or its affiliates. All rights reserved. |

Partner Webcast – Oracle Big Data & Business Analytics

NEOS SNA Solution for Telcos

Dražen Marković – Neos d.o.o. CSO

www.neos.hr

SNA for Telco Big Data + Social Network Analysis

Agenda

SNA for Telco SLIDE 4/30

> About Us • General Info

• Line Of Business

• References

> Social Network Analysis

> Metrics & Implementation

> Business Use Cases

> Solution Architecture

> Q & A

Neos


General Info > Founded in 2002

> 40+ consultants

> Specialized in DW/BI, BigData and Java/Oracle Development

> Large Number of Projects and Satisfied Customers

Oracle Partner - Platinum Level > Experience with Exastack products

> BDA, Exadata and Exalytics distributor

Oracle Specializations > Communications Industry

> Financial Services

> Data Warehousing

> Data Integration

> Business Intelligence Foundation

> Java Platform

> Application Development Framework

Competencies > More than 12 Years of Experience

> Certified experts (OCP, DW/BI, Java)

Line Of Business


DW&BI Design & Implementation > Project Management

> Business Requirements Analysis

> System Architecture Design

> Logical and Physical Data Modeling

> ETL Procedures Design & Implementation

> Reports Design & Implementation

> Integration, Testing and Documentation

App Design & Development > Project Management

> Business Requirements Analysis

> System Architecture Design

> Custom Modules Design & Development

> Integration, Testing and Documentation

CONSULTING SERVICES

BD / DW / BI / EPM CUSTOM DEV

References


Clients > International and Regional Companies

> Large and Medium Sized Companies

Industries/Areas > Financial Industry (Banks, Funds)

> Telco Industry

> Insurance

> Energy distribution

> Retail & Wholesale

> Other

Agenda


> About Us

> Social Network Analysis • Motivation

• Terms & Definitions

• Telco Context




> Q & A

Disruption in communication channels


Business = Communication

> B2C, B2C, C2C

Human communication transition > Traditional channels are losing the game

• Voice, SMS

> Data-oriented channels are new winners • LinkedIn, Facebook, Twitter, Instagram…

• Skype, Viber, WhatsApp, FaceTime…

• Blogs

Socal media networks

New communication channels New marketing channels

Social Networks


Characteristics

> various channels

> constant stream of data

> influential users

How to gain real business benefits? > How to obtain information that enhances Decision making?

New tools to gain leverage

> Big Data


SNA - Definitions


SOCIAL NETWORK > A social structure composed of individuals (or organisations) interconnected by one or more specific types of

interdependencies such as friendship, kinship, financial exchanges, communication exchanges, etc

SOCIAL NETWORK ANALYSIS > The application of graph theory to understand, categorise and quantify relationships in a social network

NODES > Each Network Member is considered as Node. In Telco industry networks we can define Nodes as

Clients/Subscribers

EDGES/LINKS > Nodes are connected by different types of relations, which are formally defined as edges/links. In Telco

context all communication by using any kind of channels can be treated as edge/link

LINK WEIGHT > Based on different measures related to link/communication between nodes we can defined Link Weight. For

example in Telco this can be Call Duration, Call Number, SMS Count etc

SNA - Concepts


NEIGHBOURS > Direct connections

> Count (based on degree)

DIRECTION > Directed Edges/Relationships

A sends SMS to B is different than B sends sms to A

> Non-directed Edges/Relationships

A is brother of B, same as B is brother to A

WEIGHT > Weighted

If A calls B only once per month, and A calls C avg 100 per month

Relationship between A and C is stronger than A and B

> Non-Weighted

If A has two brothers - B and C - there are no definition of strength of this connection

ENRICH YOUR NODE (CLIENT) DATA WITH THIS INFORMATION

SNA - Usability


TRADITIONAL APPROACH

> Input data for Campaign and Churn

• Customer Attributes & CRM Data

• Enriched with Traffic and Billing history data

• Focused on Individual characteristics

SNA ENRICHMENT

> Analyse Relationships Instead of Individuals

> Person’s Decisions are Influenced by other people opinions

• If you want to sell your products to your customers, convince their friends

> People can have different roles in different communication networks

• Some people are having larger number of contacts and larger influence on other

> Identify groups and segments by using communication info

WHY SHOULD WE CARE ABOUT IT?

SMN & SNA


Influencer

> Influential user adopts a product or behavior.

> Influential user tells (and influences) his/her immediate contacts within the community.

> These immediate contacts tell their contacts.

> ...and the viral marketing spreads.

It is important...

> To identify these people.

> To influence these people.

> To monitor the behavior of these people.

Why should companies care about SNA?


They want to Sell More Products, Services to their Customers

They want to Increase Market Reach, reaching out to New Customers

Companies need to understand behavior across and within communities rather than focusing just on individuals.

Use SNA and social metrics to Predict and Influence customer behavior > Leverage (and protect against) high velocity of information exchange (on-line social

media networks)

> Understand more abut your customers and communities

> Enhance existing reports, modeling tools and methodologies

Start by Identifying and Convincing influential friends

Reach out to customer Virally, through Influencers

SNA for Telco


TELCO NETWORKS > Quite large

> Large number of connections

> Directed and Weighted Relationships

SOURCES > CDR, XDR..

> SMS, Messaging,..

> Social Media Networks

> ..

SNA APPLICATIONS > Churn prevention

> SNA based Campaign Management

> Household / Friends and family identification

Agenda


> About Us


> Metrics & Implementation • Metrics

• Calculation Steps

• Contexts & Validation



> Q & A

SNA Metrics


IT’S ALL ABOUT CONNECTION > How well is someone connected with others?

> Who is connected with Who and how Strong?

> Centrality

LEADERS/INFLUENCERS > Nodes with large number of connections

> Having ability to “spread the word” to large number of nodes

> Metrics should help identifying those nodes

MEASURES > InDegree

> OutDegree

> TotalDegree

> EigenVector

> PageRank

> Closeness

> Betwenness

> …

SNA Metrics


IN/OUT/TOTAL DEGREE > Number of Neighbours

> Can be calculated on different Level (1,2,3..)

IN DEGREE > Used only in Directed relationships

> Number of Neighbours with incoming connections

OUT DEGREE > Used only in Directed relationships

> Number of Neighbours with outgoing connections

TOTAL DEGREE > Number of Neighbours with incoming or outgoing connections

WHAT IT MEANS? > Helps identifying people with large number connections

> We can also filter by specific context

• Filter all roaming and offset calls?

• Filter only nodes with large number of incoming calls from fixed network..?

Total Degree 7

SNA Metrics


EIGENVECTOR

> Is a measure of the influence of a node in a network

> Defines “importance” of Node

> Favours nodes with connections to nodes having large eigenvector

WHAT IT MEANS?

> Helps identifying people with large influence

> Assuming that node which is connected to other

important nodes can easily spread information

> There can be nodes with small number of connections

but all connections are to nodes with large influence.

> Helps identifying leaders/influencers in specific context.

Largest EigenVector

SNA Metrics


CLOSENESS

> Defines average shortest path from this node to all others

> Has quick access to other entities in a network.

> Has a short path to other entities.

> Is close to other entities.

WHAT IT MEANS?

> Can be used as measure on how much time is needed

to transfer information from one node to all other in network

> Usually used on smaller fraction of network

> Describes also the whole network - not only the node

> Also helps identifying nodes with large access

to all other nodes in network

Largest Clossenes

SNA Metrics


BETWEENNESS

> Defines how many shortest paths are including specific Node

> Holds a favored or powerful position in the network.

> Represents a single point of failure

> Has a greater amount of influence over what happens in a network

WHAT IT MEANS?

> Defines nodes which does not have to have large number

of connections - but are quite important since they are

connecting subnetworks

> Should be considered also as quite important ones beside

ones identified as influencers/leaders by eigenvector

> Client who is talking with two large influencers from

different groups - and transfers information from one

group to other

Largest Betweenness

Calculation Steps


Model Validation


CONTROL SAMPLE VALIDATION

> Based on Subsets

> Analysed and Control Subset

> Based on History Data or Real Subsets

SPREADING ACTIVATION TECHNIQUE

> Identify Target Subset (Churners)

> Initiate a diffusion process on Target Subset.

> Define Diffusion Factor

> Inspect the amount of influence received by each node.

> Accumulating Influence

> Compare No of correct predictions with actual set

LIFT CURVE

Agenda


> About Us



> Business Use Cases • Churn

• Campaign Management

• Segmentation / Grouping


> Q & A

Churn Prevention


One of most important tasks in Telco sales/marketing

Retain your customers > cost of retaining an existing customer is far less than acquiring a new one

SNA model > Calculate churn model based on defined parameters

> Detect customers who are likely to leave • Creation of different models based on customer segments (Private, Business, Prepaid, Postpaid)

• Leaders/Influencers Identification using SNA measures

• Churner Prediction Lift Analysis

> Prepare actions to retain detected churners

Resources > CDRs, CRM data (Client attributes, Contract attributes, Tariff, Network)

SNA based Campaign Management


Create campaigns based on SNA metrics

Detect campaign success

SNA model > Early adopters detection

> Spinners identification

> Retention Campaigns

> Viral Marketing & Acquisition Campaigns

> Value Segmentation (Low ARPU subscribers with high ARPU connections)

Resources > CDRs, CRM Data (Client attributes, Contract attributes, Tariff, Network)

Groups / Segmentations


Household / Friends and Family identification > Both models are similar (differ only in parameters used)

> Opportunity for cross-sell and up-sell

SNA model > Identifying groups of interconnected clients - cliques

> Analyzing interconnected groups

> Context filtering on specific time and location (non-work time)

> Household – based on location (among other)

> Friends & Family – based on time of a call (among other)

Resources > CDRs, CRM Data (Client attributes, Contract attributes, Tariff, Network), Time of day, Location

Agenda


> About Us




> Solution Architecture • Logical Architecture

• Data Flow

• Tech Stack

> Q & A

Architecture – Core components


Data reservoir & Initial data preparation

> Cloudera Hadoop

> Oracle Big Data Appliance

SNA modelling & Use Cases

> Oracle Database EE

> Advanced Analytics Option - R Enterprise

> Oracle Exadata

Data Integration

> Oracle Data Integrator

NEOS SNA for Telco – Data Flow


NEOS SNA for Telco – Oracle stack


Why Oracle for NEOS SNA Telco?


Oracle technology empowers us to produce world-class solutions

Top-of-the-line technology (Leaders in Gartner Magic Quadrant)

Oracle provides complete product stack for our line of business

> (Data Integration, Data Analysis, Business Decision Support etc.)

Oracle Engineered Systems

> Features non-achievable by usage of discreet components

> Comparably priced to discreet components-based systems

> Lower TCO, Higher ROI

We are Platinum Oracle Partner (7 Specializations)

Q&A For more information, please contact

Dražen Marković, CSO, Neos

[email protected]

Mario Mrljić, CTO, Neos

[email protected]


www.neos.hr

Thank you!

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Partner Webcast – Oracle Big Data & Business Analytics: NEOS SNA Solution for Telcos