CASE STUDY

DOCOMO Digital + Movistar (Telefonica Group)

40%

Reduction in Bad Debt

20%

Improvement in realized revenue

25%

Drop in billing enquiries

Challenge

Movistar is the mobile brand of Telefonica group, headquartered in Spain and a dominant telco in the Hispanic world. The telco had been a pioneer in offering value-added services to it subscribers and offering App Stores and other OTT media was a natural progression. However, Movistar was facing a high incidence of billing disputes over merchant fees and non-payment of bills. The high “bad debt” was adversely impacting the profitability from Movistar’s digital business.

Our Solution

DOCOMO Digital turnkey platform with the Billing Risk Manager and Self Care Portal was deployed by Movistar. This provided complete transparency in transaction histories and billing details for their subscribers, resulting in significant reduction in both “Bad Debt” on account of non-payment of bills and billing disputes.  

“The launch of the Customer Self Care Tool for Pagos Movistar was a milestone in our payments strategy. We couldn’t imagine launching a Payments brand without a world-class customer care infrastructure. And thanks to our continuing partnership with DOCOMO Digital, we are able enhance our billing performance, and at the same time slash bad debt. This increase in profitability will help us allocate more resources to pursue growth, while improving customer satisfaction.”

Movistar
Head of Pagos Online

The Outcome

The Self Care Portal provided simple and easy access to billing history, with the ability for customers to unsubscribe and request refunds. As a result, there was a steady decline in the number of customer care calls on account of billing disputes and enquiries. With increased transparency in transactions and billing, fewer customers disputed their bills for 3rd-party services and this resulted in significant reduction in non-payment of bills or bad debt.

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