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NBED Title in sentence case

© Analysys Mason Limited 2015

COMPANY PROFILE

analysysmason.com

FLYTXT: ANALYTICS SOFTWARE SYSTEMS

ATUL ARORA AND JUSTIN VAN DER LANDE

Flytxt: analytics software systems


Founded 2007

Offices Headquarters in Amsterdam, Netherlands. Offices in

Dubai, Mumbai, Trivandrum, Nairobi and Dhaka.

Employees 350+

Regional

focus Worldwide

Revenue N/A

Corporate

Customers More than 50 CSPs worldwide

Selected key

customers

Vodafone, Airtel, MTN, Idea, Etisalat, Warid Telecom,

Robi Axiata, Banglalink, Grameenphone

Partnerships EMC2, IBM, Intel, Oracle and VoltDB

Company

Status Private Company

2

Figure 1: Flytxt company facts [Source: Analysys Mason, 2015] • Flytxt is a software product company that provides big data

analytics solutions to communication service providers (CSPs)

worldwide. Its product portfolio includes platforms, applications,

consultancy and big data managed services solutions.

• The company has a significant customer base in emerging

economies of Asia-Pacific (APAC) and Africa. Flytxt has group

level framework agreements with MTN and Airtel. Other

customers with multi-country presence include, Vodafone,

Etisalat and Axiata.

• Flytxt portfolio includes internal and external monetization

solutions to increase current revenues, reduce churn, improve

customer experience and generate new revenue streams.

These solutions are driven by their analytics capabilities and

platforms.

• The company has a flexible business model when engaging with

their customers, including licensing and impact based revenue

share models. This enables them to offer commercial off the

shelf (COTS) products as well as consulting and execution

services to help clients benefit from the technology.

• This profile focuses on the analytics solutions offered by Flytxt

for both internal as well as external monetisation of customer

data that is collected by the operator.

Company summary



50% 50%

APAC

EMEA

Total revenue:

N/A

Source: Analysys Mason

Figure 2: Flytxt’s analytics revenue distribution by region, worldwide, 2011-2013

3

*For further information, read Analysys Mason’s Context-Aware Marketing Systems Enable CSPs To

Generate Additional Revenue report, published February 2015.

0%

20%

40%

60%

80%

100%

120%

2011-12 2012-13 2013-14

YoY

gro

wth

ra

te


• Flytxt has demonstrated strong overall revenue growth during

the last 3 years. It has won multiple deals with Tier 1 CSPs in

Asia-Pacific (APAC) and Europe, Middle-East and Africa (EMEA)

region – particularly in the Indian sub-continent and African

markets.

• This is reflective of the fact that the market segment of

contextual marketing using analytics system is still maturing. It

has gained significant penetration in pre-paid dominant

markets where the propensity to churn is higher, with low loyalty

to CSPs. Moreover, these solutions for contextual marketing are

starting to gain traction in the post-paid markets as well.*

• The company derives equal revenues from both APAC and EMEA

regions. Furthermore, Flytxt currently has most of its

deployments with mobile operators.

• For Flytxt, the majority of the revenue comes from their

products sales, accounting for 75% of the revenue. The

remaining 25% comes from product related services, that is,

revenue from the installation and configuration of supplied

software products. The revenue generated from consulting and

big data managed services is considered part of professional

services.

Figure 3: Flytxt’s year-on-year revenue growth, worldwide, 2011-2014

Company summary: financials

http://www.analysysmason.com/Research/Content/Reports/Context-aware-marketing-Feb2015-RMA14/






Figure 5: Flytxt’s analytics revenue distribution by products and services, worldwide, 2013

4

• Flytxt will continue to serve the markets they are established in,

that is, Indian sub-continent of APAC and African region of

EMEA. They will aim to further expand into other regions of the

world, including, the mature markets of NA and Western

Europe.

• The company will continue to introduce new, innovative use

cases and analytical models, within their portfolio, for both

internal and external monetisation.

• Currently, the majority of the revenue comes from sales and

services of its mature product ‘NEON’, that CSPs marketing

teams use to enhance revenues and customer experience. The

company will aim to maintain its relevance and growth.

• There will be increased focus on expanding their external data

monetisation product ‘QREDA’ which has started gaining

traction among Tier-1 CSPs.

• Flytxt will extend its analytics capabilities by launching new

products and services, to support CSPs generate incremental

revenue from both consumer and enterprise clients.

• The company, moving forward, will aim to establish innovative

business models by working with their CSP clients, using

telecom subscribers data, to add new revenue streams for

CSPs.

Figure 4: Flytxt’s analytics revenue distribution by sector, worldwide, 2013

Strategic direction

100%

MobileTotal revenue:

N/A


75%

25%

Products

Services

Total revenue:

N/A




Figure 6: Flytxt’s analytics portfolio

5

Source: Flytxt 2015

Analytics business overview


© Analysys Mason Limited 2015 6

Figure 7: Flytxt’s analytics products [Source: Analysys Mason, 2015]

Product summary [1]

Solution Products and features

Flytxt NEON Flytxt’s NEON is a big data analytics platform that improves revenue generation and customer experience for CSPs. Flytxt packages a set of

applications with the platform, that utilise the analytics and actionable insights providing capability of the platform, to serve multiple scenarios

for CSPs. This includes real-time reporting, campaign management and subscriber experience management.

CLV Max The CLV Max application aims at enhancing revenues for CSPs. It offers workflows for running campaigns for up- and

cross-sell, contract upgrades, new services adoption and churn management.

Customer Engager The NEON Customer Engager application enables CSPs to launch real-time, on-trigger customer experience

enhancement programs to segmented group of customers.

Intent Management This application aims at personalisation of service and content for individual customers by creating ‘segment of one’

and next best offers. It enables touch point personalisation and intent revival to ensure continued loyalty to the CSP.

Loyalty Management NEON loyalty management application targets increase in loyalty of customers by rewarding them. It enables CSPs to

offer bonus points and rewards to customers.

Insight API The Insight API application offers actionable packaged analytics capabilities that Operators can deploy for internal

purposes. At the same time, they have the ability to share KPI, insights and recommendation generated by the

application with any 3rd party system in the telco ecosystem.

Smart-board Smart-board application offers strategic and operational dashboards to CSPs for internal assessment and monitoring

purposes. The application supports CSPs gain operational intelligence, and gain actionable insights.

I-View NEON I-View is customer focused application that enables CSPs to offer their customers multiple capabilities, such as

personal analytics, self care and offer recommendation.



Figure 8: Flytxt’s analytics products [Source: Analysys Mason, 2015]

Product summary [2]

Solution Products and features

Flytxt QREDA Flytxt’s QREDA is a platform that enables CSPs to add and create new revenue streams by monetising the insight generated from analysis of

customer data. It ensures subscriber privacy by converting Personally Identifiable Information (PII) to Non-PII. Thus, allowing CSPs to generate

revenue by sharing subscriber insights to third parties through a Preference, Permission and Privacy (PPP) model.

The platform offers targeted reach to operators touch points and OTT publisher inventory for access by third party. It can act as a bridge to

connect to multiple QREDA deployments, thus creating a ad market place.

Precision Ad Server The Precision Ad Server transforms CSPs to media owners and enables them to offer a self serving platform for

brands and agencies to do multi-channel targeted advertising.

Insight API The Insight API application offers actionable packaged analytics capabilities that Operators can deploy for internal

purposes. At the same time, they have the ability to share KPI, insights and recommendation generated by the

application with any 3rd party system in the telco ecosystem.



Figure 9: Flytxt’s significant customers [Source: Analysys Mason, 2015]

Significant customers

Customer Country Scope

Vodafone

India,

Mozambique

(Vodacom)

Flytxt internal monetisation solution executes all the real-time on-trigger marketing campaigns for Vodafone across India.

Intent Management application was also deployed to deliver personalized offer recommendation over customer care touch

point. In Vodacom, NEON platform is driving campaigns for revenue enhancement and customer retention.

Airtel Africa

Flytxt has a group framework agreement with Airtel to run campaigns targeted at improving data penetration, increasing the

uptake of mobile money service, activating sleeping base, stimulating usage and recharge and enhancing customer loyalty

across Opcos.

MTN MEA MTN Group has also signed a Group Framework agreement, Flytxt platforms drive real-time event driven contextual

customer engagement campaigns for enhancing revenue and reducing churn.

Robi Axiata,

Banglalink,

Grameenphone

Bangladesh

Flytxt external monetisation solution is deployed with multiple operators in Bangladesh, Through these deployments, Flytxt

is creating a ad market place in Bangladesh delivering superior reach and consumer insights to brands/advertisers

leveraging operator assets of data and customer reach.

Etisalat Afghanistan Flytxt Internal monetisation solution is deployed along with Marketing Consulting services for maximizing customer

lifecycle value

Idea India External monetisation solution is deployed with Idea to enable them extend their inventory and consumer insights to

brand/advertisers for multi-channel mobile advertising

Hutch Srilanka Flytxt solution is deployed to drive customer engagement; innovative customer retention programs for Multi-SIM market

and location analytics driven retailer stimulation programs

Aircel India

Internal monetization solutions and services offered to run marketing programs covering more than 80% of their base

across India; generating incremental revenue by making better use of up-selling/cross-selling opportunities across

customer lifecycle



OPPORTUNITIES

THREATS

STRENGTHS

WEAKNESSES

9

Analysis: strengths, weaknesses, opportunities and threats

The company has CSP customers that have international

operations. This offers them the opportunity to expand their

deployments to other operations at these CSPs.

As demand for data monetisation – both internal and external –

increase, Flytxt is in a good position to leverage the opportunity,

with the product set they have.

The company has the opportunity to expand their operations in

other pre-paid dominant markets, such as Latin America.

Flytxt may face competition from other specialist vendors that

offer similar big data analytics solution.

Large vendors are also entering the market segment – which may

make it even more challenging for Flytxt to expand their

operations in mature markets.

CSPs may find selling customer data for external monetisation

difficult, due to regulatory and commercial restrictions. This may

limit Flytxt’s business growth.

Flytxt has a strong presence in emerging markets of APAC and

EMEA – Indian sub-continent and Africa in particular.

It has a mature set of offerings and require minimum

customisation during deployments at CSPs.

The company has a wide range of API sets that enables them to

integrate with existing systems at CSPs, easily.

Impact based Revenue Share business model

Lack of deployment in mature markets.

Regulatory restrictions on use of customer data for monetisation

purposes may hinder Flytxt’s business growth.

Lack of local delivery staff may limit their ability to win new

business.



About the authors

Atul Arora (Research Analyst) is a member of Analysys Mason’s Telecoms Software research team and contributes to the Analytics Software

Strategies, Customer Care and Digital Economy Software Strategies programmes. His areas of interest include omni-channel customer care,

context-aware analytics and digital enablement. Atul joined Analysys Mason in 2013 after working as an intern analyst in the telecoms sector for

a year. He has worked on a range of projects focused on telecoms verticals, cloud services and mobile services in emerging markets. He holds a

bachelor's degree from Jaypee University (India) and a Master's degree in neuroscience from University College London.

Justin van der Lande (Principal Analyst) leads the Analytics Software Strategies, Customer Experience Management Software Strategies

and CSP IT Strategies research programmes, which are part of Analysys Mason’s Telecoms Software research stream. He specialises in business

intelligence and analytics tools, the functionality of which cuts across all of the research programmes in this area. He also provides project

management for large-scale projects within our Telecoms Software research. Justin has more than 20 years' experience in the communications

industry in software development, marketing and research. He has held senior positions at NCR/AT&T, Micromuse (IBM), Granite Systems

(Telcordia) and at the TM Forum. Justin holds a BSc in Management Science and Computer Studies from the University of Wales.



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