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Multiplay in Asia-Pacific: Operators Improve Positioning and Prepare for FMC - Asia-Pacific Telecom Insider / Vol. 2, No 3, Edition 5
Pyramid Research, Inc., May 2010, Pages: 16
Offering multiplay and fixed-mobile convergence (FMC) packages that are attractive to subscribers can help operators in Asia-Pacific reduce churn and merge operations, both of which help cut costs, according to a new report.
In the report Multiplay in Asia-Pacific: Operators Improve Positioning and Prepare for FMC, Pyramid Research Analyst Tae-Hyung Kim shows how operators can reduce churn, lower tariffs and lead industry trends by providing multiplay or FMC services. He also looks closely at three operators in the region that are leaders in the field. Download an excerpt of this report. Purchase this report online.
Despite the fact that Asia-Pacific continues to be one of the fastest growing telecom regions in the world, thanks to high-growth markets such as China and India, operators in the more mature markets of Asia-Pacific are not exempt from the regional trend of stagnating revenues, Kim notes.
Throughout the Asia-Pacific region some operators are starting to focus on increasing margins by cutting costs. 'One strategy they have started implementing is to bundle services as multiplay packages,' he writes.
'Some operators are even taking the additional step of aggressively rolling out fixed-mobile convergence products. Pyramid Research believes that such strategies will not only achieve short-term goals, such as reducing costs, but also bode well in the long run given government initiatives to reduce household expenditure on telecom services.'
'Offering discounts for bundled services is an effective way to lower tariffs without starting a price war,' Kim writes, 'especially when developed markets are facing reduced economic growth rates and governments consequently are pressuring operators to reduce household expenditure on telecom services.'
Providing multiplay services prepares operators for fixed-mobile convergence, both internally and externally, exposing both the organization and the market to the concept. In addition, governments and regulators in the AP region are realizing that the distinctions between fixed and mobile and telecom and media are blurring and are encouraging consolidation.
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