News Store
Important notice to all NewStore users. The NewsStore service is now free! Please click here for more information. Help

The Sydney Morning Herald

Client surge lifts Vodafone's Christmas

Author: Colin Kruger
Date: 29/01/2003
Words: 287
          Publication: Sydney Morning Herald
Section: Business
Page: 23
Vodafone received a big boost in subscriber numbers over Christmas, with an additional 188,000 connections lifting its customer base to more than 2.45 million customers for the December quarter.

The increase is almost double the 99,000 subscribers it signed up in the September quarter, and well ahead of the 46,000 net connections for the March and June quarters combined.

Revenue growth won't be matching the increase in subscribers, though, with the vast majority of new subscribers opting for prepaid accounts, which have an average revenue per user (ARPU) of $312 compared with $869 for people who are on contracts.

The proportion made up by prepaid users has climbed from 37 per cent of Vodafone's customer base in the March quarter last year to 47 per cent with these latest figures.

This has seen reported ARPU decrease to $648 across its customer base for the 12 months to the end of December 31, compared with $680 for the 12 months to June 30.

Vodafone Australia's managing director Grahame Maher said the telecom's strong growth of its ``no plans" or no-contract offers to customers had resulted in an initial decline in blended ARPU.

However, he said the business was seeing healthy growth in profitable customers due to the phasing-out of handset subsidies.

With mobile penetration now above 65 per cent in Australia, the vast majority of new customers will be prepaid users, according to Telstra.

The Singapore Telecom-owned Optus, and Telstra, which account for 80 per cent of the mobile market between them, will announce their December quarter mobile figures next month.

 
Back  Back to Search Results
 

Advertise with Us | Fairfax Digital Privacy Policy | Conditions of Use | Member Agreement
© 2009 Fairfax Digital Australia & New Zealand Ltd.