Yield management, or revenue management, is an increasingly important process, especially in the media industry. This strategy promises considerable results when carried out correctly, including the ability to better match customer expectations, support competitive pricing and improve the organization’s ability to appeal to different market segments.
However, in order to achieve these advantages, media firms including telecommunications providers, online advertisers and beyond must ensure that they are leveraging the right data for their yield management decisions. In the current landscape where analytics processes are king, a number of media companies have found success by supporting yield management with the insights provided by data as a service offerings.
But how, exactly, does a setup like this work in the media industry? Let’s take a look:
Supporting the best use of available network resources
According to a report from Ericsson Vice President Sanjay Kaul, telecom providers currently utilize only 40 percent of their available network capacity, and some don’t even approach that mark. This leaves considerable unused resources on the table, calling for a yield management initiative.
Supported by data as a service, telecoms can glean insights into their available network bandwidth and leverage this information to maximize the use of this capacity. This helps prevent telecoms from paying for network resources that they aren’t using, and these capital savings can then be used to support other mission-critical projects or customer outreach.
Staying ahead of a changing marketplace
The media industry is one of the fastest-growing marketplaces, with new disruptive technologies continually offering fresh opportunities for providers and agencies. At the same time, though, this section also experiences considerable changes as customers’ and viewers’ tastes shift.
In order to stay ahead of the curve, media organizations must have in-depth insights into the current market as a whole, as well as their position within it. Details like this help ensure that the organization is able to provide content and services that align with changing customer needs.
However, this is a considerably more difficult pursuit without the assistance of a knowledgeable expert. Not only does this process require the analysis of internal, company data, but it also demands the support of external data sources as well, which can be a challenge to come by. Data as a service providers, on the other hand, can more easily access, aggregate and analyze the necessary data to provide a complete picture of the market and emerging customer needs.
Bridging internal gaps
Data analytics has become a crucial part of organizational processes across every industry. Media firms must be able to gather informational assets and analyze this information in order to make the most of their available financial resources. As Adomik contributor Jamie Sacks pointed out, though, actually extracting value from data is easier said than done. It is an initiative that not only requires the right technological support, but an experienced hand to leverage IT tools as well.
Many media organizations are looking toward analytics as an optimal way to support their yield management. However, most firms don’t have the internal talent or expertise to carry out analytics in a way that will provide the insights media companies need.
This is where data as a service becomes such a powerful part of the process. As opposed to spending time, effort and capital to purchase the necessary hardware and software, and recruit and hire someone with the requisite knowledge to leverage these tools, media companies can instead lean on the support of an outsourced expert to take on these responsibilities for them. Best of all, because data as a service is often much more affordable than hiring an internal analyst, media firms can take advantage of expert support as well as cost savings.
To find out more about how data as a service can benefit your yield management decisions, contact Unifi today.