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Quad-Play and Service bundling strategy 2007-2012

Product Type: Market Research Report
Published by: Visiongain
Published: November 2007
Product Code: R155-254
Description
  • Are Virgin Media dropping quadplay?
  • How effective is Tiscali’s quad-play strategy?
  • Is neuf cegetel’s revenue increase thanks to Quad-play?
These are just some of the questions this in-depth report will help you answer. Customers and service providers are actively reaping the benefits of bundled services. However, some companies are reporting customer losses across the quad-play structure - why? Though quad play is relatively new and an unproven service, many companies are only just starting to look to explore it. The opportunity of offering a bundled mobile, fixed line, broadband and TV solution was too much for NTL and became central to its purchase of Virgin Mobile. Italian operators are fighting increased competition and offering more competitive packages through bundled services. Which companies can you work with? How can you work with these companies? What kind of return should you expect? Will it reduce churn and increase revenue?

Quad-play operators assume they can build on the success of two-play by deploying triple and quadruple play packages and offering increased services to their existing customer base. But what effect does the movement from two-play to triple and quadruple play have on KPIs? Does the perceived value justify the added costs? This report will tell you. Can TV and media options replace the reducing costs of mobile and fixed line?

How quickly will take-up of these new and emerging services grow given the risks that may have to be faced? Can you afford to take these risks in order to achieve a quad play service? Will you be left behind if you do not?

Bundled services are convenient to subscribers who no longer need to purchase its services from multiple operators. Providers will also be able to enjoy new market opportunities resulting from offering multi play services. This market is set to expand with companies looking to increase its service portfolio as operators increasingly look to provide customers fully converged solutions. Taking the appropriate action at an early stage will ensure you are part of the new and developing markets.

The latest visiongain report, Quad-Play and Service bundling strategy 2007-2012, provides an in depth assessment of the multi-play market. The report provides comprehensive case studies of the major participants and regions around the world, particularly of the European, US and Asia-Pacific markets. What does the future hold for these regions? Which region should you be focusing your attention towards? Where does your company fit in? The report provides valuable information for telcos, cable companies, mobile operators, satellite DTH providers and financial services amongst others, in where they should be focusing their attention.

Reading this report will provide you with the following information:
  • Who are the main players in the bundled service market and what are they doing?
  • What services and price plans are currently available across the world?
  • What new services are expected to be added in the future?
  • What does the future hold for telcos, cable companies and mobile operators?
  • Will the arrival of quad play have any damaging effect on companies offer limited service?
There is no doubt that increasing numbers of companies will seek to enter in to the multi-play market in the near future if they have not already done so. It is therefore imperative that you do not miss the chance to become part of an ever increasing and expanding market, taking advantage of the new opportunities that will become available. Who needs to buy this report
  • Mobile/Cellular operators
  • Telcos
  • Cable companies
  • Fixed line providers
  • Satellite DTH providers
  • Handset and other equipment manufacturers
Forecasts are provided and discussed in terms of geographical and technological markets, and the factors that are driving forward bundling are discussed in this report. The report also provides strategies and recommendations that are applicable to fixed and mobile operators, cable operators, and ISPs.

Please Note: Reports are sold based on the user licenses indicated. The Publisher delivers the report in Flash format via the publisher website, allowing viewing and printing capabilities only. Within one to two business days after placing the order, the Publisher will email the client with information on accessing their purchase. Prior to initiating fulfillment of an order, the client will be required to sign a document detailing the purchase terms for a publication from this publisher.
Table of Contents
Chapter 1: Executive Summary

1.1 Evolution of the telecoms and entertainment markets

1.2 Market opportunities

1.3 Major market Trends

1.3.1 Significant growth in mobile subscribers

1.3.2 Falling operator revenues

1.3.3 Outsourcing grows in popularity

1.4 Future of the Wi-Fi market

1.5 Evolution of household entertainment media

1.5.1 Importance of broadband access

1.5.1.1 IPTV prospects

1.6 Evolution of bundled service packages

1.7 Business models

1.8 Conclusions


Chapter 2: Introduction

2.1 Overview

2.2 Bundle definition

2.2.1 Triple play definition

2.2.2 Quadruple play

2.3 Cable vs telcos approach to bundling

2.4 Typical Price Structures

2.5 Convergence

2.6 IMS

2.7 Report methodology

2.7.1 Organisation of the Report

2.7.2 Aims and Focus of this Report


Chapter 3: Issues to consider

3.1 New Technologies

Chart 3.1: Global hybrid cellular/WLAN handset

3.2 Responses to falling revenues

3.3 Must have and nice to have services

3.4 Value of triple/quadruple play to service providers

3.5 Revenue generating options

3.5.1 Fixed telephony

3.5.2 Broadband

3.5.3 IPTV

3.5.4 Wi-Fi telephony

3.5.5 Consumer VoIP telephony

3.5.6 Mobile services

3.6 Mobile and VoIP


Chapter 4: Global market analysis and forecasts

4.1 Market overview

4.2 IPTV is the key to effective bundling

4.3 IPTV is the way forward, as long as the applications are right

4.4 The mechanism behind IPTV

4.5 Technology providers

Table 4.1 Vendors providing IPTV technologies, 2006

4.6 IPTV market drivers

Chart 4.1: Churn rate of standalone service vs triple play packages

4.6.1 Broadband penetration on the rise

4.6.2 Competition between cable operators and telcos boost to IPTV market

4.6.3 Choice of content is expanding

4.6.4 Fibre to the home boost IPTV distribution

4.6.5 High definition broadcasting is creating a demand for IPTV services

4.6.6 Higher expectations among users make them look around for better services

4.7 IPTV market challenges

4.7.1 Technical challenges

4.7.2 Content challenges

4.7.3 Content security

4.8 Commercial challenges

4.9 IPTV Market Restraints

4.9.1 Regulatory issues

4.9.2 Lack of bandwidth

4.9.3 DSL coverage

4.9.4 Proprietary technologies

4.9.5 Consumers education

4.10 Market Trends

4.10.1 Set-top boxes

4.10.2 Fibre and DSL deployment

4.10.3 IPTV services market forces

4.11 Target market

4.12 Demographic and core data

Table 4.2: Global cable/satellite TV, Internet and broadband households, 2007-2012

Table 4.3: Worldwide mobile subscribers and revenues, 2007-2012

Table 4.4: Mobile subscribers % by region, 2007-2012

Table 4.5: Mobile revenues % by region, 2007-2012

Table 4.6: Countries with 100%+ mobile penetration as of Q4 2007

Table 4.7: Cellular mobile services competition (%), 2007

Table 4.8: Top 10 mobile operators by proportionate subscribers, 2007

Table 4.9: Broadband penetration by economies worldwide, 2007

Table 4.10: Worldwide IPTV subscribers and revenues, 2007-2012

Table 4.11: IPTV subscriber by region, 2007-2012

Table 4.12: IPTV revenues by region, 2007-2012


Chapter 5: North American market analysis and forecasts

5.1 North Americas

5.1.1 Market overview

5.1.2 Demographic and core data

Table 5.1: North American internet, broadband and cable/satellite TV households, 2007-2012

Table 5.2: North American mobile subscriber and revenues, 2007-2012

Table 5.3: North American mobile subscriber and revenues, 2007-2012

5.1.3 Services demand

5.1.4 Fixed-line displacement trends

Table 5.4: North American households subscribing to bundled packages (by service type), 2007-2012

5.1.5 Services revenues provision of bundle services will increase in line with the rise in subscribers

Table 5.5: North American market revenue growth from bundled services, 2007-2012

5.1.6 Challenges

5.1.6.1 Lower margins and revenue from promotional offers aimed at attracting customers

5.1.6.2 Changes associated with OSS/BSS provisioning of a single bill to customers

5.1.6.3 Costs of implementing a bundling strategy

5.1.6.4 Developing and managing new relationships needed to offer a wide range of services

5.1.6.5 Increased competition by new entrants from the IP sector

5.1.7 Market drivers

5.1.7.1 Reduced churn and potential for additional revenue

5.1.7.2 Improved customer experience

5.1.7.3 Promotional discounts and offers on bundles

5.1.7.4 Bundle pricing

5.1.7.5 Single point of contact for all subscribed services

5.1.7.6 Competition between telcos, cable companies, and new entrants

5.1.8 Market restraints

5.1.8.1 Badly deployed OSS/BSS systems

5.1.8.2 Regulatory hurdles that affect deployment of services

5.1.8.3 High marketing costs associated with customer acquisition

5.1.8.4 Competition between telcos, cable companies, and new entrants

5.1.9 Market trends

5.1.9.1 Merger & Acquisition

5.1.9.2 Strategic alliances & partnerships

5.1.9.3 Customer demands

5.1.9.4 Network and service convergence

5.1.9.5 Technology

5.1.9.5.1 ADSL and beyond

5.1.9.5.1.2 VCC is coming

5.1.10 Bundle offering

5.1.10.1 Bundle solutions

5.1.11 Quadruple play readiness

5.1.2.1 US market

5.2.1.1 Telkonet

5.2.1.2 AT&T

5.2.1.3 Qwest

Table: 5.6 Qwest Individual Services and Prices when bought individually

Table: 5.7 Qwest Discount Bundle Packages

5.2.1.4 Cablevision

5.2.1.5 Advance/Newhouse Communications

5.2.1.6 Comcast

5.2.1.7 Cox Communications

5.2.1.8 Time Warner Cable

Table 5.8: Time Warner Bundle Packages

5.2.1.9 Pivot

5.2.1.10 Verizon

Table 5.9: Verizon Bundle Packages

5.2.2 Canadian Market

5.2.2.1 Rogers

5.2.2.2 Videotron

Table 5.10: Videotron Bundle Prices

5.3 North American Overview


Chapter 6: Latin America market analysis and forecasts

6.1 Market Overview

6.2 Demographic and core data

Table 6.1: Latin American internet, broadband and cable/satellite TV households, 2005-2011

Table 6.2: Latin America mobile subscribers and revenues, 2005-2011

Table 6.3: Latin America mobile subscribers and revenues, 2005-2011

6.3 Quadruple Play Readiness

Table 6.4: Bundle service providers in Latin America

6.3.1 Argentina

6.3.2 Brazil

6.3.2.1 Telemar

6.3.2.2 Telefonica

6.3.2.3 Brasil Telecom

6.3.3 Mexico

6.4 Bolivia

6.5 Chile

6.6 Colombia

6.7 Ecuador

6.8 Peru

6.9 Nicaragua


Chapter 7: European market analysis and forecasts

7.1 Market Overview

7.2 European triple play players

Table 7.1 European bundle players, Q2 2006

7.3 Demographic and core data

Table 7.2: European internet, broadband and cable/satellite TV households, 2007-2012

7.4 Services demand

Table 7.3: European households subscribing to bundled services (by service type), 2007-2012

Table 7.4: European mobile subscribers and revenues, 2007-2012

Table 7.5: European IPTV subscribers and revenues, 2007-2012

7.5 European market trends

7.6 Merger & Acquisitions

7.7 Quadruple play readiness

7.8 European Market

7.8.1 Virgin Media

Table 7.6: Virgin Media Bundle Packages

Table 7.7: TV Package Details

Table 7.8: Broadband Package Details

Table 7.9: Telephone Package Details

Table 7.10: Mobile Package Details

Chart 7.1: Virgin Media Subscribers Q3 2006 - Q2 2007

Table 7.11: Virgin Media Revenue

7.8.2 Sky

Table 7.12: Sky Subscribers

Table 7.13: Typical Sky Service Bundles

7.8.3 Sky Mobile

7.8.4 BT

7.8.4.1 BT Total Broadband

7.8.4.2 BT Fusion

7.8.4.3 BT Vision

Table 7.14: BT Vision Package Prices

Table 7.15: BT On-Demand Prices

7.8.4.4 BT Mobile

7.8.4.5 BT Fusion Mobile

Table 7.16: BT Fusion Prices

7.8.5 O2

Table 7.17: O2 Broadband Prices

7.8.6 Carphone Warehouse

7.8.7 Vodafone

7.8.8 Orange UK

Table 7.18: Orange Bundle Packages

7.8.9 Tiscali UK

Table 7.19: Tiscali Bundle Packages

7.8.10 UK Market Overview

Table 7.20: Examples of UK Bundle Packages

7.9 Belgium

7.10 Baltic and Nordic

7.10.1 Telenor

Table 7.21: Countries served by Telenor

7.10.2 Tele2

7.10.3 TeliaSonera

7.11 Switzerland

Table 7.22: Swiss Bundle Packages

7.12 Germany

7.12.1 Deutsche Telecom

7.12.2 Kabel Deutschland

7.13 Italy

7.14 France

7.14.1 Orange

7.14.2 Neuf Cegetel

7.15 UPC

Table 7.23: Countries served by UPC

7.16 European Summary


Chapter 8: Asia-Pacific market

8.1 Market Overview

8.2 Demographic and core data

Table 8.1 Asia-Pacific data (million), 2007-2012

8.3 Services demand

Table 8.2 Asia-Pacific bundles subscription pattern, households (million) 2007-2012

Table 8.3 Asia-Pacific Mobile subscribers, 2007-2012

8.4 IPTV in Asia-Pacific

Table 8.4 Asia-Pacific IPTV subscribers (000) 2007-2012

8.5 Quadruple play readiness

Table 8.6: Asia-Pacific bundle service providers, Q2 2007

8.6 New Zealand

8.7 Japan

8.7.1 NTT DoCoMo

8.7.2 Softbank

8.8 Hong Kong

8.9 South Korea

8.9.1 SK Telecom

8.9.2 KTF

8.10 Australia

8.11 India

8.12 China

8.13 Asia-Pacific Summary


Chapter 9: MEA market analysis and forecasts

9.1 Market Overview

9.2 Demographic and core data

Table 9.1 MEA data (million), 2007-2012

9.3 Services demand

Table 9.2 MEA bundles subscription pattern, households (million) 2007-2012

9.4 Mobile service

Table 9.3 MEA Mobile subscriber, 2007-2012

Table 9.4 MEA IPTV subscribers (000') 2007-2012

9.5 Quadruple play readiness

9.5.1 The MEA region

Table 9.5 MEA bundle providers, 2007

Chapter 10: Recommendations and strategies for success

10.1 Overview

10.2 Strategy for service providers

10.2.1 Customers expectations

10.3 Strategies based on marketing approach

10.3.1 Improved services

10.3.2 Segmentation

10.4 Promoting basic IPTV services

10.5 Fixed-line operator strategies

10.5.1 Strategy based on outsourcing

10.5.2 Flexing financial might

10.5.3 Re-merging

10.6 Strategy for mobile only operators

10.6.1 Partnerships

10.6.2 Strategy based on technology

10.6.2.1 Vendors

10.6.2.2 Import proven technologies

10.7 Strategy for ISPs

10.7.1 More play options

10.8 Strategies based on strategic alliances

10.8.1 Alliances

10.8.2 Adding value

10.9 Strategies based on pricing

10.10 Target Markets

10.11 Global Overview
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