Mobile data usage and popularity of 4-in-1 packages continue to grow
The Netherlands Authority for Consumers and Markets (ACM) today has presented the Telecom Monitor for the second quarter of 2016. The figures found in the monitor confirm three trends that have been observed for some time now:
- Data consumption over 4G continues to increase;
- All-in-one packages are gaining ground;
- Mobile operators strike gold with their plans that include unlimited voice and text.
Data consumption over 4G continues to increase
In the second quarter of 2016, data consumption over 4G connections rose by 28 percent compared with the previous quarter (from 23.3 billion MB to almost 30 billion MB). To put this figure somewhat into perspective: you will need at least 200 MB for watching an episode of your favorite series, while sending a picture takes up about 2 MB. Mobile operators are introducing increasingly larger plans in the market. Tele2 has rolled out the Netherlands’ fourth mobile network, which competes with the three existing networks of KPN, T-Mobile and Vodafone. This has intensified the competition between all four of them, and has stimulated them to improve their offerings.
ACM has observed that mobile operators are increasingly upgrading their plans with the ability to use the plans outside of the Netherlands without any additional charges. With these upgrades, operators are ahead of new regulations that will come into force in June 2017. The objective of these new regulations is that consumers will be able to use their plans within the entire EU at domestic rates.
Consumers increasingly opt for fixed and mobile in a single package
Four-in-one packages are gaining ground. Such packages combine television services, broadband access, fixed telephony, and mobile telephony. In the second quarter of 2016, the number of households with these all-in-one packages increased by 6 percent compared with the previous quarter. Now, more than 1 in 10 households have such a packages (716,000 connections). This growth is explained by households that used to have separate plans deciding to replace all of them with a single package. In addition to fixed services, they also include their mobile services in the same package from the same provider. This trend is the result of promotional activities of telecom providers, according to ACM. By offering attractive promotional deals or additional television stations, they stimulate their customers to take out more services.
ACM expects the market share of all-in-one packages to continue to increase in 2017. The joint venture of Vodafone/Ziggo will better enable them to offer such packages. Now that T-Mobile will acquire Vodafone’s fixed network, they, too, can start offering fixed-mobile packages. And finally, Tele2 can also start offering these over their own mobile network.
Promotional activities featuring mobile plans with unlimited voice and text are a success
Earlier this year, mobile operators went all out to promote mobile plans with unlimited voice and text. These efforts are reflected in the data. In the second quarter of 2016, the number of sent text messages increased for the first time in 12 months (from 780 million to 824 million messages). The number of mobile minutes also increased significantly in the second quarter of 2016: from 7.2 billion minutes to 7.8 billion. That is an increase of 9 percent.
About the Telecom Monitor
Every quarter, ACM publishes the market figures for the telecommunication sector in its Telecom Monitor. Based on data from the most important market participants in the telecom industry, the Telecom Monitor gives an overview of the trends in mobile services, fixed telephony, broadband, television, business network services, and bundles.