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Home - Archived Articles - Research firm says operators should increase ARPU through voice
Archived Articles

Research firm says operators should increase ARPU through voice

by Reily Gregson June 6, 2002
written by Reily Gregson June 6, 2002 Share
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DUBLIN, Ireland—U.K.-based Research firm Strategy Analytics has claimed that mobile operators are missing opportunities to rejuvenate their average revenue per user (ARPU) rates by not making the most of opportunities in voice traffic.

“In recent years, mobile operators have become starry eyed at the prospect of data services that would arrest the precipitous slide of their ARPUs. Slowly, however, the realization is beginning to dawn that the answer is right in their own backyard,” said Sara Harris, senior analyst at Strategy Analytics.

“Unlocking the potential traffic explosion from voice in the home, at work and at play through innovative tariffs represents an opportunity which operators can exploit today, while rich media data services will represent a positive medium-term revenue stream.”

David Kerr, vice president of Global Wireless Practice, added: “Operators need to encourage landline substitution to increase voice usage. There is a clear opportunity for operators to encroach upon the traditional territory of the fixed-line carriers. In only two countries does the proportion of voice traffic carried over cellular exceed one-third. Even in countries such as Greece and the Netherlands, which have very heavy voice penetration (70 percent and 68 percent respectively), the vast majority of voice traffic is still carried over fixed lines.”

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