Operators’ bet on bundling telecoms services with financial, health and utility services is not paying off
"The low take-up of financial, health and utility services, combined with low margins, makes the business case for bundling telecoms services with non-connectivity services questionable."
Many telecoms operators are adding financial, health and utility services to their portfolios. Their hope is to increase their share of wallet among existing customers by providing a wide set of products and services that meet the needs of most households. However, they have had little success, with both take-up and margins remaining low. This article discusses why operators should diversify their revenue in market segments that have a stronger link with connectivity services.
Author
Stefano Porto Bonacci
Principal AnalystRelated items
Survey report
Adoption of fixed–mobile convergence services: consumer survey
Case studies report
Operator strategies for differentiating residential fibre services: six case studies and analysis
Case studies report
Approaches to fixed–mobile convergence for SMEs: ten telecoms operator case studies