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View Full Version : European ops must toughen up for future market



3GScottishUser
4th April 2005, 07:59 PM
From Telecoms.com (04/04/2005):

European ops must toughen up for future market

Although the European mobile market is predicted to get tougher, operators will continue to raise revenues end generate cash, according to new research from Arthur D. Little Management consulting and analysts BNP Paribas today. The research firm predicts mobile revenues will increase 7% in the five largest European countries in 2005, but then will slow by 4.6% over the 2005-2007 period.

However, EBITDA should continue to rise by 8% per year in the 2005-2007 period, with EBITDA margin remaining stable. The company believes voice will continue to boost sector growth despite pushes for cuts in tariffs from consumer groups and regulators. Meanwhile, equipping the mass market with 3G handsets will take time; the report predicts 20% of subscribers will have 3G handsets by the end of 2006.

The researcher recommends operators should refine their marketing segmentation and launch offers targeted at sectors with under exploited mobile penetration, such as the under 15's and over 65's. The report also asks operators to cut costs in areas such as network optimization and outsourcing, customer services, IT and administration.

http://www.telecoms.com/marlin/30000000461/ARTICLEVIEW/mp_articleid/20017300271/mp_pubcode/MTEL