Geo-Analytics Driven Agile Transformation in Telecom Retail Using H3 Hexagon-based Heatmaps

Customer
Tele2/Altel
Project manager on the customer side
Stanislav Streltsov
Chief Data and Analytics Officer
Year of project completion
2023
Project timeline
July, 2021 - March, 2022
Project scope
4320 man-hours
Goals

Business Challenges and Pain Points

• High CAPEX for new retail shops without data-backed justification
• Missed opportunities due to lack of real-time analysis
• Static business models that are unable to adapt to rapidly changing consumer
behavior
• Environmental impact of poorly optimized physical infrastructure
• Traditional methods were slow in determining optimal store locations
• High costs associated with relocating or establishing new stores
• Ensuring minimal service disruption during store transitions

Project Results

Tangible Measurements

• ROI: 7% increase due to optimized store locations.
• Revenue Increase: 5% revenue increase per product per year.
• Net Promoter Score (NPS): increased by at least 8%.

The uniqueness of the project

Innovative Approaches:

• Geo-analytics to determine the home location of a subscriber using a probabilistic distribution over base stations.
• H3 Hexagon-based Heatmaps provide a visual representation of subscriber density.
Used software

Design Principles:

• User-Centric: All designs should focus on ease-of-use and accessibility for both our internal teams and end-users.

• Scalability: The system should be able to handle increasing amounts of data as our subscriber base grows.

• Interoperability: Easy integration with existing systems for data sharing.

• Sustainability: Consider environmental impacts in all design elements.


Difficulty of implementation
Geospatial Data: Location coordinates of subscribers and base stations.
Subscriber Data: Usage patterns, peak activity times, and service type used.
Sales Data: From existing and closed stores for performance metrics.
Competitor Store Locations: To identify areas of opportunity or potential oversaturation.

Project Description

• Dashboard: A dashboard displaying heatmaps and key metrics.

• Interactive Maps: H3 hexagon layered maps that can be filtered based on different metrics.

• User Access Controls: Different access levels for different teams, ensuring data integrity and security.

Project geography
Whole country (Kazakhstan)

On November 30, the professional IT community GlobalCIO hosted a large-scaled international conference "Global CIO Insights: Digital Transformation with AI". During the event, leading experts shared their practical experience in launching projects utilizing artificial intelligence (AI) and highlighted approaches that helped elevate their companies to new heights.

Voting for projects participating in the "Project of the Year" contest is open. The voting began on December 1st and will continue until January 15th inclusive. The winners will be announced on February 7th, 2024.

According to the statistics agency, the number of telecommunication and IT companies has increased 1.8 times in the last five years. At the beginning of 2023, there are more than 12 thousand ICT companies operating in the country. More than 100 thousand people are employed in the industry. At the end of 2022, the volume of ICT services grew by 125.5% and amounted to 22.9 trillion soums, of which 4.2 trillion soums were programming services provided by Uzbek companies and specialists. The total revenue of Uzbekistan's IT sector for the first quarter of 2023 reached 2.38 trillion soums - almost four times more than in the same period of 2022. Exports of digital services increased to $57.2 million. According to IT Park, net income amounted to more than 90% of revenue or 2.158 trillion soums.

According to the statistics agency, the number of telecommunication and IT companies has increased 1.8 times in the last five years. At the beginning of 2023, there are more than 12 thousand ICT companies operating in the country. More than 100 thousand people are employed in the industry. At the end of 2022, the volume of ICT services grew by 125.5% and amounted to 22.9 trillion soums, of which 4.2 trillion soums were programming services provided by Uzbek companies and specialists. The total revenue of Uzbekistan's IT sector for the first quarter of 2023 reached 2.38 trillion soums - almost four times more than in the same period of 2022. Exports of digital services increased to $57.2 million. According to IT Park, net income amounted to more than 90% of revenue or 2.158 trillion soums.

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