Integrated Billing and CRM: A Necessity for Success

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After several years of exuberance—the acquisition of customers at astronomical cost, excessive emphasis on top-line growth, imaginative assessments of future technologies—communications services providers (CSPs) today are focusing relentlessly on good business basics: targeting the right customers, treating valuable customers well, cross-selling effectively and increasing efficiencies. In short, CSPs are looking for smart, profitable growth based on sound data and solid customer interaction over growth at any cost. In this context, back-office systems are moving into the limelight. Billing and CRM strategy is increasingly tied to corporate strategy, and CSPs are realizing that an effectively integrated billing and CRM system is essential to the profitable deployment of new services and the maintenance of happy customers.

All this being stated, there are a variety of vendors in the marketplace offering a wide range of services and solutions to help CSPs meet their business needs. The maze of vendors can be confusing, and it is vital for the CSP to understand the differences in systems and philosophy, of which there are many. Not all systems are created equal, not to mention the complexities of making them work -- the delivery.

This article will look at the need for billing and CRM integration, while underscoring the key factors CSPs must consider when selecting a vendor to provide these complex but indispensable systems.

From Silos to Integration

With the focus on customer retention and cost reduction, there is no more important issue right now than smooth and effective integration -- specifically the integration of billing and CRM.

The advantages of true integrated billing and CRM are many. Integrated CRM allows the CSP to efficiently and accurately sell to and service customers. With multiple contact channels -- such as the Internet and mobile devices -- through which subscribers can contact their CSP to either order, change, or cancel services, or analyze or question a bill, it is essential that all systems are "talking" to each other seamlessly. New broadband access also means more complex service fulfillment, particularly in wireline services. These systems must be in sync, providing the customer service representative a single view of the customer and order status across all touch points. Whereas billing and CRM were once distinct silos, the ability for these systems to communicate in real time is critical to maintaining customer satisfaction and loyalty. Coherent customer information is also essential for analyzing customer behavior, proactively reducing churn, and delivering more effective marketing campaigns.

A truly integrated billing and CRM platform will reduce costly errors, ensure accurate and timely billing, and enable proactive trouble support and service level agreement (SLA) management. It also allows the CSP to introduce and roll out new differentiated services and products with significant time to market advantages.

Strategic Options For The Future

CSPs are rightfully nervous about the prospect of a major software or platform overhaul. The risks associated with such a change can be daunting in any economic environment. If not managed correctly, the inherent complexities of implementation, integration, and conversion can bloat budgets and cause projects to fall short on delivering the promised business value. It is also recognized, however, that the potential business benefit can be enormous.

To optimize their investments and realize their business objectives, CSPs should consider a vendor who specializes in the "factory integration" of billing and CRM on a single platform based on an open architecture for ease of integration with legacy and third party systems. Such a solution offers the benefit of lifetime integration. Unlike point in time integrations between disparate, third party billing and CRM systems, a lifetime integrated solution from a single vendor ensures that a CSP’s investment today will be optimized in the long-term with synchronized product roadmaps and upgrades based on a common development roadmap and vision. In turn, this will effectively lower a CSP’s investment risk and total cost of ownership, while providing all of the benefits of billing and CRM integration.

Proven Delivery a Necessity

While significant focus is placed on vendors' product and functional capabilities, the "magic" of implementation and integration is often overlooked. Given the inherent risks in today’s business climate, CSPs are becoming more aware of the importance of finding a vendor that can deliver.

Today, CSPs are looking for stability, complete accountability, a proven track record, and depth of experience in the industry -- a vendor that demonstrates that they can deliver and that they have done so successfully for many years.

We've already seen billing and CRM functions grow exponentially in importance. In the coming years the ability for CSPs to meet the strategic imperatives of the industry – offer differentiated services, achieve profitable growth, increase customer loyalty, and reduce costs -- will be heavily reliant on the capabilities of these systems. As a result, the billing and CRM platform will serve as the main competitive differentiator for CSPs in a brutally competitive environment. With a world-class, strategic system from a leading vendor with proven delivery capabilities, CSPs can succeed.