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Broadband: it’s how economical, stupid |
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Tuesday, 08 December 2009 |
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Pyramid says cost more important than having fixed or mobile access…
More consumers in
Europe
are basing their broadband service subscriptions on price rather than on whether the service is delivered via fixed or mobile networks. This is a trend that will have a major impact on how network operators position and market their services, according to a new report from Pyramid Research.
‘Fixed Broadband Competition Impacts Mobile Broadband Uptake in European Markets’, analyses the adoption of broadband services across Eastern, Central, and
Western Europe. The 15-page report compares the uptake of fixed and mobile broadband services in 17 countries in the region and highlights those markets where adoption is much higher or lower than might be expected.
According to Pyramid, in
Europe
the level of competition in each market and pricing have emerged as the determining factors affecting subscriber broadband purchase decisions.
"The dynamics in the fixed broadband market are shaping those in the mobile broadband segment, and as mobile technologies improve and mature, they will have a stronger impact on the fixed segment," notes Jan ten Sythoff, manager of mobile content at Pyramid Research and author of the report. "There is a stronger correlation between GDP per capita and broadband adoption when cellular and fixed networks are measured together than if fixed and mobile broadband technologies are examined separately, which strongly suggests that subscribers tend to choose between the two when making purchase decisions. Mobile operators now need to ensure that their broadband packages are positioned competitively with other mobile and fixed broadband offers, while fixed operators also need to focus on both sectors, with pricing and bundling as key differentiators."
The Pyramid report also presents four case studies of national broadband markets: The Czech Republic,
Hungary,
Romania
and
Slovakia
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John Williamson |
