Mo­bile sec­tor rev­enues de­cline 3,7pc

Chronicle (Zimbabwe) - - Business -

MO­BILE sec­tor rev­enues de­clined 3,7 per­cent to $161,5 mil­lion in the sec­ond quar­ter fu­elled by the continued slide in voice traf­fic.

Ac­cord­ing to a sec­tor per­for­mance report for the quar­ter to June from the Postal and Telecom­mu­ni­ca­tions Reg­u­la­tory Au­thor­ity of Zim­babwe, two of the mo­bile net­works reg­is­tered de­clines in the rev­enues mar­ket share while only NetOne reg­is­tered an in­crease of 4,7 per­cent.

As a result, NetOne made up 18,7 per­cent of the rev­enue mar­ket share at $29,87 mil­lion from 17 per­cent of Q1’s $167,7 mil­lion. Econet dropped its share to 70,7 per­cent (or $114,18 mil­lion) from 72 per­cent while Tele­cel dropped to 10,8 per­cent from 11 per­cent in Q1.

Ac­cord­ing to the report, NetOne gained mar­ket share on mo­bile sub­scrip­tions with the sec­tor reg­is­ter­ing a mar­ginal in­crease in ac­tive sub­scribers.

The to­tal num­ber of mo­bile sub­scrip­tions in the coun­try in­creased by 6,2 per­cent to reach 20 257 180 from 18 992 082 recorded in the pre­vi­ous quar­ter.

The num­ber of ac­tive lines in the quar­ter un­der re­view was 13 010 873. This rep­re­sents a 0,9 per­cent in­crease from 12 900 173 recorded in the pre­vi­ous quar­ter.

The mo­bile pen­e­tra­tion rate also in­creased from 96,5 per­cent to 97 per­cent.

Econet to­tal sub­scribers grew 7,42 per­cent to 10,02 mil­lion but ac­tive sub­scribers were flat at 6,71 mil­lion. Tele­cel ac­tive sub­scribers dropped 2,3 per­cent to 1,78 mil­lion while NetOne was the only op­er­a­tor to reg­is­ter an in­crease in ac­tive users of 3,5 per­cent to 4,51 mil­lion.

NetOne was the only op­er­a­tor to gain mar­ket share. Its mar­ket share in­creased to 34,7 per­cent from 33,8 per­cent ow­ing to the in­crease in ac­tive sub­scribers.

Econet’s mar­ket share de­clined by 0,5 per­cent to reach 51,6 per­cent from 52,1 per­cent recorded in the pre­vi­ous quar­ter.

Tele­cel also ex­pe­ri­enced a de­cline in mar­ket share by 0,4 per­cent to reach 13,7 per­cent from 14,1 per­cent recorded in the pre­vi­ous quar­ter as a result of the de­cline in ac­tive sub­scribers.

Na­tional traf­fic de­clined by 3,6 per­cent de­spite the nu­mer­ous mo­bile voice pro­mo­tions that were in the mar­ket in the sec­ond quar­ter of 2016.

This is partly at­trib­uted to the de­clin­ing con­sumer de­mand as the econ­omy ex­pe­ri­ences the liq­uid­ity crunch.

The sub­sti­tu­tion of mo­bile voice ser­vice with Over-the-Top ser­vices also greatly con­trib­uted to the over­all de­cline in voice traf­fic.

In terms of mo­bile voice traf­fic mar­ket share Econet gained to 67,9 per­cent from 61,9 per­cent. NetOne lost to 19,4 per­cent from 24,8 per­cent so too did Tele­cel at 12,7 per­cent from 13,3 per­cent. — Wires.

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