huawei dynamic tariff technical solution (en20100412)
DESCRIPTION
Huawei DDS SolutionTRANSCRIPT
HUAWEI TECHNOLOGIES CO., LTD.
www.huawei.com
Huawei Confidential
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2013/10/11
Huawei Dynamic Tariff
Solution
2010-06-07
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DT Introduction
Huawei DT Solution
DT Prerequisites
Huawei DT Success Stories and Advantage
Agenda
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Keep improving
Wasted capacity
Poor network quality
Convert idle network capacity to
revenue
Alleviate the traffic to provide
better network quality
More subscribers & more
revenue
Customers’ satisfaction with
price and network quality
High loyalty & Low churn rate
..
Wasted capacity
Poor network quality
A shopping mall
A resident area
Look through the traffic portrait Our target
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Dynamic tariff
The admitted traffic peak
Spare capacity Utilized
Decrease congestion
The actual traffic in
traditional mode
The actual traffic in
dynamic mode
The Existing radio
network capacity
00:00 24:00
Traffic Peak decreasing
Dynamic Tariff (DT) is defined as a mechanism to charge varying prices at different times, in
various locations, according to different constraints, with the objective of better network
quality, optimal revenue, higher market share and other strategic criteria.
Time
Tra
ffic
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Benefits of DT
Reduce CAPEX of network extension for more network usage
Increase revenue by utilizing the spare network capacity
Improve the quality of service
Reducing churn, Increasing loyalty
Increase market share and improve competitive
Improve value of money;
Affordable price for low income users, to attract more new customer and let them use the mobile voice;
Improve quality of calls due to less congestion at peak time
Customer
Operator
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DT Introduction
Huawei DT Solution
DT Prerequisites
Huawei DT Success Stories and Advantage
Agenda
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Main process of DT
Segment cell groups Set discount policy Calculate optimal
discount
Evaluate discount
effectiveness Depict cell features
Discount policy:
Discount range
Discount target
Discount mode
Group A:
1AM: 70%
2AM: 80%
…
8AM:30%
…
20
PM :20%
KPI
Report
Monitor
Voice
CDR
Traffic
Stat.
Cell property
model
Cell
conf
Regional features
Subscriber behavior
features
Subscriber value
features
Network traffic profile
Segmentation
Engine
Cell
features
Segmentation
Rules
Group A: Urban, high
ARPU
Group B: High price
elastic
Group C: Rural, low
MOU
…
A B
C
A B
C
Group A, non peak time
Range: 50%-90%
Target: maximize revenue
Mode: model (prediction)
Decision Model
Cell
Groups
Discount
Policy
Group B:
1AM: 80%
2AM: 90%
…
8AM:40%
…
20
PM :30%
90% 90%
90%
90% 90%
80%
80% 80%
80%
70%
70%
70%
70%
70%
Statistics and report
Cell
Groups
Discount
Policy
Evaluate the discount
effectiveness and adjust
the discount policy
Group B, peak time
Range: 20%-40%
Target: maximize revenue
Mode: Random
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Depict cell features Cell Features
Regional Properties User Properties Traffic Properties
City
Circle MOU of DT
subscriber
MOU of total
subscriber
MOU of non-DT
subscriber
Number of active
DT subscriber
Number of total
subscriber
Network Traffic
Profile
Geographical
features
ARPU of DT
subscriber
ARPU of total
subscriber
ARPU of non-DT
subscriber
Urban, Rural,
Shopping mall,
Residential area,…
These properties can be
depicted from voice CDR,
which reflect the user’s
behavior and value
within a cell
Price elasticity
Cell’s features
mainly
depend on
user’s
behavior and
value
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Segment cell groups
Why segments cells?
Simply discount policy configuration, reduce calculation work
Some cells have the same characteristics such as traffic, location and so on. So the cells can
be divided into several cell segmentations, Cells of one cell segmentation can be applied for the
same discount policy and discount, thus it brings convenience to end user, and also it can
optimize performance, because the number of cell sites is so large and the calculation of cells’
discount is a computing intensive work.
Cell Segmentation
Discount is NOT a geographic concept (cell)
Discount is a marketing concept (segment)
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Segment cell groups
How to segment cells
The end users define the segmentation rules, then DT can segment cell groups automatically
and periodically
Also the end users can move cells from one cell group into another cell group manually
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Discount Target for Different CELL
Flexible Discount Strategy to realize the
business objects and value
Different cell group can set different discount
automatically in the same period
The same cell group can set different discount
automatically at different timeslot
Support special discount setting on special date or special
events
Discount Generation based on condition
constraints
Optimization the network traffic but revenue can not
reduce a special ratio such as 5%
Improve the revenue but limit no more than peak
network traffic
Optimization traffic
5%~15% off
Increase revenue
0%~60% off, extra 5% off on Holiday
Increase network usage
5%~95% off
Constraint: Revenue decrease
should be no more than 5%
35%
5%
65%
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Set discount policy-discount target
Revenue Promotion
Call Promotion
Traffic Alleviation
To promote the revenue may cause more network usage which can lead to low network quality, it is permitted to define the network utilization threshold for this target.
Decision Model Target
To promote call may cause more network usage which can lead to low network quality, it is permitted to define the network utilization threshold for this target.
To alleviate traffic may cause low network usage which can lead to low revenue, it is permitted to define revenue threshold for this objective.
Different Cell group can be specified different target according to marketing strategy
Multiple discount targets, flexible marketing strategy
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Set discount policy-decision mode
Prediction model + Random algorithm makes discount more variable,
continuously bring surprise to user
Predictive model: curve regression algorithm
Random algorithm: Uniform random, Normal random, Intervention random
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Calculate optimal discount
Input Data + Discount Policy + Decision Model = Optimal Discount
In addition, end user can specify discount manually
In case of special event and special day,
e.g. National Day
DTE:
Self learning algorithm
Intelligent decision
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Calculate optimal discount
Real time discount decision, rapidly discount adjusting
Generally, each day DT calculates discount for tomorrow, in some case, it is possible that the network
traffic suddenly become very high or very low. End user can define some rules, DT scan the network
utilization periodically, once the currently network utilization meets certain rule, then DT will adjust the
discount immediately
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DT Effectiveness Evaluation
The revenue comparison analysis
Call Duration Analysis
Discount Analysis
Traffic
Optimization
Customer
Development
Revenue
Improvement
Network
Utilization/Traffic
Network Monitor
Network overload and
idle alert
Bottleneck analysis
Cell portrait analysis
The amount of new DT
subscribers
ARPU and MOU of
subscribers
Active Subscriber
Analysis
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Evaluate discount effectiveness
DT Monitor and Analysis
KPI Monitor Report
Monthly KPI
Daily KPI Number of
Active Subscriber
Network
Utilization/Traffic
Call Minutes/MOU/
Revenue/ARPU
MOU of Sample
Subscriber
ARPU of Sample
Subscriber
Network
Monitor
Business
Monitor
System
Monitor
Overload Alert
Network Traffic
Monitor
Idle Alert
Call Duration
Monitor
Revenue
Monitor
Active Subscriber
Monitor
Discount
Monitor
Network
Analysis
Business
Analysis
Time Bottleneck
Analysis
Cell Portrait
Analysis
Cell Bottleneck
Analysis
Call Duration
Analysis
Revenue
Analysis
Active Subscriber
Analysis
Discount
Analysis
Mean Price/
Mean Discount
Weekly KPI
Number of Offline
DT Subscriber
Number of New
DT Subscriber
Powerful analysis and monitor,
Deep insight into DT effectiveness
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Analysis Feature Samples
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System Monitor
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BSC
NMS/EMS
Cell Traffic
Traffic performance
Stat.
System Interaction Processes (Option1)
Dynamic Tariff
CDRs
Discounts
Discounts
Discounts
BTS
Discounts
Customer
USSD
USSD discount
message
Separate CBC
Discounts
Discounts
DT subscription
IN/OCS/Billing
Provisioning/CRM…
Customer
Discount query before call or
discount notification during call setup phase
① Registering
(Optional)
② Data integration
④ Discount
broadcast to
customer via NMS
③ Discount
synchronize to
IN/OCS directly
⑤ USSD notify to customer
⑤ Customer request Discount via USSD
④ Discount
broadcast to
customer via
separate CBC
Discount
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BSC
NMS
Cell Traffic
Traffic performance
Stat.
System Interaction Processes (Option2)
Dynamic Tariff
CDRs
Discounts
Discounts
Discounts
BTS
Discounts
Customer
USSD
USSD discount
message
MSC
Discount delivery during call setup phase
Discounts
Separate CBC
Discounts
Discounts
DT subscription
IN/OCS/Billing
Provisioning/CRM…
Customer
discount notification during call setup phase
① Registering
② Data integration
④ Discount
broadcast to
customer via NMS
③ Discount
synchronize to
IN/OCS via MSC
⑤ USSD notify to customer
⑤ Customer request Discount via USSD
④ Discount
broadcast to
customer via
separate CBC
Discount query
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BSC
NMS/EMS
Cell Traffic
Traffic performance
Stat.
DT System Interaction Processes (Option3)
Dynamic Tariff Center
CDR
BTS
Discounts
Customer
CBC
Discounts
Discounts
DT Subscription
Existing IN/Billing
HLR
Existing CRM/Provision
Change O-CSI
(SCPaddr.=Huawei SCP)
①Registering
②Data Collection
③Discount info
sent to Huawei
SCP
⑤Customer query
Discount via USSD
④Discount
broadcast to
customer via
separate CBC
Discount Info
Huawei SCP
Discount Info Query
via USSD
Customer
Discount Info
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DT Call Procedure (Option3) ① When the DT subscriber originates a call, the call is
triggered to Huawei SCP via standard CAP interface.
② SCP checks the discount information and hands
over the call to the existing IN carrying the discount
information in the CAP interface with extension.
Legacy IN applies discount info on the rating and
handles the call accordingly.
If “discount query” is provided via IVR, the same
procedure is followed. Legacy IN gets discount info from
IDP, and announce it in IVR.
Non-DT calls directly go to Legacy IN from MSC.
User A
User B
BSC
BSC
MSC
Existing IN
DT Subscriber
Non-DT Subscriber
Huawei SCP
11 22
Standard CAP
CAP with
extension
IDP handover
MSC HuaweiSCP IN
MOIDP
Call continue
Rating and
session control
Call end
.
.
.
.
Check discount
information
The typical signaling flow:
Note:
1) Carrier needs to provide the interface protocol used between
Huawei SCP and existing IN. Huawei can follow the interface with
customization.
2) MSC’s cooperation is required.
3) To get the subscriber’s current location information (Cell
Information), MSC needs to report the location information of the
subscriber in the IDP message or HLR needs to support ATI
operation of MAP protocol.
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Customer Experience – Register to DT service
• As a competitive service, DT needs the
customers to know how to order the service
in an easy way.
• Subscribers can register or cancel DT service
via a specified USSD code.
• Alternatively carriers can provides others
channels, e.g., SMS code, IVR, dealers for
subscribers to consult or register the DT
service.
• Once successfully subscribed to DT services,
subscribers can query current discount via
USSD code or IVR.
CRM/Provisioning…
Billing/HLR…
Call Center (FAQ)
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Customer Experience – Discount Broadcast to
subscribers
DT IMC
BSC
NMS/EMS CBC
Via NMS/EMS
In General, the discount is transferred to
NMS via private MML and then broadcast
to customer by BSC, which have a simple
CBC module.
Via independent CBC
In case a simple CBC is not available in
any of BSC, an independent is needed;
Discount display in mobile phones
and the discount will be updated per
half hour;
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DT system Architecture
Huawei
SCP
DT IMC ( Inter Media Center )
FTP
Cell
Segmentation
Discount
Decision Model
Model
Schedule
Discount
Range Model
DT Engine
Discount
Generator
Engine
Monitor
Portal
Discount Policy
Mgmt
Discount Mgmt
Cell Group Mgmt Overload &Idle
Alert
Network Traffic
Monitor
DT Management DT Analysis
Syste
m M
gm
t
Network Traffic
Analysis
DT Business
Analysis
Cell Portrait
Analysis
DT Business
Monitor
DT KPI Analysis
Network Bottleneck
Analysis
Discount Analysis
CDR
Integration
Subscription
Integration
Discount
Delivery
NW Configuration
Integration
NW Performance
Integration
Discount
Broadcast
Open, standard,
modularized platform
Support secondary
development
Rapidly integration to
external system
NMS/EMS IN/
OCS…
CRM/
Provisioning MSC CBC
FTP
FTP
FTP
FTP
USSD
MML
MML SOAP HTTP
Option1, IN based
solution
Option2, MSC based
solution
Option3, SCP based
solution
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Logical Networking
Fabric
Legend
Line
Storage
Fabric Switch Fabric Switch
DB server
Switch Switch
Web server DT IMC
MSC/SCP USSD Server
NMS/EMS
IN/OCS/Billing
DT Engine
Provisioning/CRM
Dynamic Tariff
CBC
Each module has
1+1 backup, no
single Node fault
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DT Introduction
Huawei DT Solution
DT Prerequisites
Huawei DT Success Stories and Advantage
Agenda
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Prerequisites
IN/OCS/Billing
Can provide voice CDR to DT via flat file interface on a hourly basis.
Provide the interface protocol used between Huawei DT and existing IN.
Discount was delivered to IN/OCS/Billing by FTP.
NMS
Can provide cell performance statistics to DT via flat file interface on a
hourly basis.
Can provide BSC, BTS, Cell configuration data
Can provide one month’s historical cell performance data during delivery
phase
CBC
Can broadcast discount message.
Provide MML document to Huawei.
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DT Introduction
Huawei DT Solution
DT Prerequisites
Huawei DT Success Stories and Advantage
Agenda
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Pakistan Telenor
Project Implementation:
Began implementation in
Jan., 2010
launched in April 2010
Pakistan Telenor:
Total Subscriber is about
22,000,000
Total Cells for DT service:
over 2000 in first phase.
Telenor DT Service:
No need to register.
Discount delivery to IN by
Nokia and Siemens Network.
Discount broadcast by Nokia
and Siemens Network
Management.
Nokia Network
Siemens Network
CDR data integration
Discount broadcasting
Delivers discount to MSC
Legend
MSC BSC BTS Subscribers
Data WareHouse IN
MSC BSC BTS Subscribers
Dynamic Tariffing
FTP
MML
MML
MML
MMLFTP
Cell performance data integration
Optima
Netact
RCs
HUAWEI TECHNOLOGIES CO., LTD. Huawei Confidential
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Uninor India Case
DT Service:
DT integrated with Telecodia IN
directly by COBRA.
5 BSC vendors, Ericsson,
Alcatel, Huawei, NSN and ZTE
Discount broadcast by
integration with TeleDNA CBC.
(FTP)
(FTP)
(FTP)
(FTP)
(FTP)
(HTTP&XML API)
(FTP) ( COBRA/SII)
(HTTP/XML/SMPP)
(HTTP)
(FTP)
Uninor India:
Telenor Group’s Indian mobile
operation, Uninor, launched its
mobile services in Dec. 2009
Total Subscriber is about
6,000,000
Project Implementation:
Began implementation in
Jan., 2010
launched in April 2010
HUAWEI TECHNOLOGIES CO., LTD. Huawei Confidential
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Zain Congo Case
DT Service:
IN/MSC are from Ericsson.
Discount delivered by Huawei SCP.
Integrated with Ericsson, NSN,
Astllia Network Management
system.
ZAIN Congo:
Total Subscriber is about 1,400,000
Total Cells: over 1500
Project Implementation:
Began implementation in
March, 2010
launched in April, 2010 for
Ericsson MSC by pass solution
in phase 1.
Huawei SCP bypass solution in
Phase 2
Integrated with Ericsson IN/MSC by Huawei SCP.
HUAWEI TECHNOLOGIES CO., LTD. Huawei Confidential
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Tailored, flexible and fast customization and
maintenance let your daily operation easier
R&D in Shenzhen
and Nanjing HQ
R&D at Location Implementation
Project Team
Implements a
software product
on site, and collect
and analyze
customization
requirements.
Customizes the base
version development
of a software product
on site.
Developing the basic and unified version of the software
product
HUAWEI TECHNOLOGIES CO., LTD. Huawei Confidential
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Implementation Phases
1st months 2nd months
Equipment transport
and installation
Software installation
Debug & system test
External interface
development and test
Historical data acquire
DT Preparation Pilot Phase Commercial Phase
Data quality analysis of
CDR and network
performance data
Customer behavior analysis
and cell segmentation
Algorithms optimization
Trail based on a special
location or customer group
DT service planning,
campaign popularization
and promotion
A large scope to market
the DT service
Continuously algorithms
optimization
> 3 months
HUAWEI TECHNOLOGIES CO., LTD. Huawei Confidential
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Huawei Solution Highlights
Business
Value
Adaptability &
Implement
DT
E-2-E Solution
• DT is offered as a service
need to operation,
Huawei provides not only
DT platform, but also DT
marketing plan, design,
evaluation, customer
services and other
operational consulting Flexible Discount
Strategy and multi- target
decision
Discount Generation
based on condition
constraint
Multiple interfaces with
MSC, IN, NMS, Billing
system are reserved;
Fast interface and
implementation with all
kinds of network
equipments,
Thank You
www.huawei.com