Assessing the Impact of SIM-only Service Propositions

Assessing the Impact of SIM-only Service Propositions published by Mobile Market Development Ltd in October, 2009. This report consists of 60 PAGES and the price starts from US $ 3500.

Introduction

Abstract

SIM-only deals are now an established part of the overall mobile market and they may represent good value for money to customers, though they make operator charges more transparent by allowing customers to compare SIM-only contracts with prepay and standard postpay options. The UK has seen the most intensive activity in this area and the strength of competition in this market has resulted in all the main operators offering very good deals with inclusive minutes and other bundled features (e.g. internet browsing) at rates that have attracted many customers. Players in many other markets have been less open to SIM-only propositions and are currently only offering deals with contract commitments that are similar to those with an inclusive handset.

Ultimately, competition, even if it comes from outside the ranks of MNOs (e.g. from MVNOs) will tend to recreate the UK market situation in other markets. The more competitive the nature of the market, the faster the full impact of SIM-only will have to be dealt with. This report details the current state of play with regard to SIM-only offers in markets in Europe and beyond and analyses the impact of those offers on the revenues and KPIs of the operators, concluding with recommendations to MNOs to ensure they achieve maximum benefit from the stimulus that SIM-only can deliver while avoiding the pitfalls implicit in this approach.

Table of Contents

• 1. Overview
• 2. Introduction
  • 2.1. Background to the Report
  • 2.2. Report Content
  • 2.3. Currency and Conversions
• 3. SIM-only Approach & Propositions
  • 3.1. Introduction
  • 3.2. Differentiating SIM-only Propositions
    • 3.2.1. Length of Contract Commitment
    • 3.2.2. Simplicity
    • 3.2.3. Entry Cost
    • 3.2.4. Qualification Requirements
    • 3.2.5. Monthly Commitment Level
    • 3.2.6. Value for Money
    • 3.2.7. Positioning Differentiators
  • 3.3. Differentiation Summary by Country
• 4. The SIM-only Market
  • 4.1. Positioning SIM-only
  • 4.2. Impact of SIM-only Offers
  • 4.3. Implications of SIM-only Growth
• 5. Recommendations

Appendix - SIM-only Plan Structure Descriptions

• Australia - Optus
• Australia - Telstra
• Australia - 3
• Australia - Virgin Mobile
• Australia - Vodafone
• France - Bouygues Telecom
• France - Coriolis
• France - Orange
• France - SFR
• France - Simplicime
• France - Virgin Mobile
• Germany - Congstar
• Germany - O2
• Germany - Simyo
• Germany - T-Mobile
• Germany - Vodafone
• Ireland - Meteor
• Ireland - O2
• Ireland - 3
• Ireland - Vodafone
• Italy - 3
• Italy - TIM
• Italy - Vodafone
• Italy - Wind
• Poland - ERA
• Poland - Orange
• Poland - Play
• Portugal - Optimus
• Portugal - TMN
• Portugal - Vodafone
• Spain - Orange
• Spain - TME
• Spain - Vodafone
• Spain - Yoigo
• UK - O2
• UK - Orange
• 3 - UK
• UK - T-Mobile
• UK - T-Mobile (Continued)
• UK - Virgin Mobile
• UK - Vodafone

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