Untitled Document Early morning

Untitled Document

Write a comment to K-Advisers blog entry


Is the package. Mobile operators are offering them. Cable-tv operators are offering them, calling me almost daily. Why?

It is again question of the competition and the capability to work with the challenge. In Finland it was very obvious what happened. During early 2000 mobile operators were fighting of the market share and they didn't find out the Pandora's Box. Regulation of the mobile business worked well in Finland up to mid 2000 (around). Around that time mobile operators were able to convince the regulator that they need the packages to be able to roll-out the 3G. And the regulator bought the idea.

Package means that you have a device and you are connected to the operator for a X period. Why? Operators problem is that the ARPU (Average Revenue Per User) was around 40€/month in early 2000. Those days are gone. Today it is something else but the operators have difficulties to cope with it. Their last life-line is the package.

Smaller operators in Finland have been agile. Elisa is the biggest one today and Sonera is loosing its position, maybe because of the fact that the HQ is in Sweden and the focus is in the other markets. But they all are offering packages.

But the package offering is still something which contains no value to the consumer, only for the offerer. If your marketing manager proposes packages, lay him/her off. In B2C business you have to deliver. B2B markets there are other aspects. Mathematics is different when you are talking about P&L and Balance sheet.
Your name:
Your email:
Sum 4 + 5 =
Blog comment:

logo   ©K Advisers Oy 2022     tel:+358-44 064 4448     email: info(a)k-advisers.com     Last updated 27.6.2022