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Report: Quad-play unproven strategy

Triple-play bundles work, but the quadplay is as yet unproven as a strategy by which operators can improve revenues and reduce churn, according to a new report by global telecom advisory firm Analysys.
Analysys found that triple-play packages have helped U.S. cable operators to double average revenue per user and cut their churn rate in half, but in France, competing “unbundlers” with fast broadband service, free landline international calls and IPTV services have been successful. The company concluded that not all markets are ready for a quad-play strategy, yet the emergence of quadruple-play packages are “inevitable despite the lack of certainty about their success.”
“There is plenty of evidence that TV-based triple-play bundles work,” said Margaret Hopkins, author of the report. “But quadruple-play packages suffer from the mismatch between the elements’ target markets: TV services are targeted towards families, but mobile phone services are aimed towards individuals. Incumbent players have used quadruple-play services as a defense against competitors’ TV-based triple-play bundles, but without noticeable success.”

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