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Strategy Analytics: UK multiplay bundle subscriptions driving revenue growth

Via Strategy Analytics Press Releases

Jul 28, 2016

Quad Play Revenues Set to Triple by 2020, Capturing 31 percent of Total Multiplay Revenues

Boston, MA - July 26, 2016 – UK service providers will reap the benefits of consolidation and multiplay strategies in the coming years, with bundled subscriptions growing by 20 percent. From 2015 to 2020, Quad Play revenues will triple, while total multiplay market revenues grow by 34 percent. Double Play subscriptions will peak in 2016 and begin to decline as customers move to Triple and Quad-Play bundles. By 2020, Quad Play will account for more than 21 percent of bundled subscriptions in the UK.

The Strategy Analytics Service Provider Strategies (SPS) service report, “UK Multiplay Market Dynamics: Quad Play Ready to Triple Revenues,” indicates that the converged services market in the United Kingdom is experiencing growth as operators have positioned for bundled service offerings. BT, Sky, TalkTalk, Virgin Media and Vodafone are all competing to gain a foothold in the rapidly expanding opportunity.

Click here for the report: http://bit.ly/28MJVMC

“Multiplay bundled services are rapidly gaining ground in the UK as more players have entered this space through expansion and acquisition,” said Jason Blackwell , Director of the Service Provider Strategies service (SPS) at Strategy Analytics. He added, “BT’s acquisition of EE has positioned the company very well, enabling cross-selling of services and giving BT a strong network with fiber and 4G. Based on its strategies in the Netherlands and New Zealand, Vodafone may need to revisit the opportunities for partnerships in the UK.”

Discussing pricing, Mr. Blackwell added,

“Competition in the UK market is already intense, and we expect to see price discounts in the form of long term introductory offers and through multi-service purchase, as operators try to take customers from competitors. However, the successful operators will avoid a race to the bottom, and hold overall pricing by upselling customers to faster broadband speeds, premium TV channels and larger mobile broadband buckets.”

Josie Sephton, from Strategy Analytics’ Pricing and Benchmarking division, Teligen, added,

“Part of this upsell involves encouraging customers to move from double or triple play to quad and even five play bundles, as providers aim to keep customers close by providing a one-stop shop – and this is something we can expect to see much more of in the future”

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This content extract was originally sourced from an external website (Strategy Analytics Press Releases) and is the copyright of the external website owner. TelecomTV is not responsible for the content of external websites. Legal Notices

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