CUSTOMER STORY | TELECOM
VOO halves its collection costs by flagging risky customers in the first month
At VOO, a small group of customers with risky or fraudulent behavior could cause major losses. A predictive model spots suspicious behavior as early as the first month after a subscription is activated.
Collection costs, from €720,000 to €360,000
-50%
Net gain
€1.7M
Of at-risk customers for whom revenue was preserved
36%
OVERVIEW
The challenge.
A small group of customers caused a large share of the losses.
A few risky customers
A small group of customers with risky or fraudulent behavior could cause major losses.
€2,000 per case
Each case could mean €1,000 in costs and €1,000 in lost revenue.
SOLUTION
What was done.
A predictive model, followed by two actions.
Early detection
A predictive model spots suspicious behavior as early as the first month after activation.
Proactive outreach
Flagged customers are contacted quickly.
Customer-first approach
Tailored reimbursement plans are offered to maintain the relationship.
RESULTS
What changed.
Lower recovery costs and preserved revenue.
Collection costs
Cut by 50%, from €720,000 to €360,000.
Revenue preserved
Revenue was preserved for 36% of the at-risk customers.
Net gain
The net gain is €1.7M.
USE CASES BEHIND THIS STORY
Read the method.
Fraud Detection
Score suspicious transactions and see the factors behind each alert.
SEE FOR YOURSELF
Test it on your own data.
Run TIMi on your own data with a free trial, or talk to us about your case.
