Vodafone MVNA Gamma is experiencing rapid growth, signing up 95 MVNO partners since its launch in July last year and increasing mobile sales by over 30% quarter-on-quarter this year.
The MVNA, which is aimed at the SME market, has almost tripled partner numbers after launching with 36 MVNO partners in July last year. Gamma signed its MVNA deal with Vodafone last year after pulling out of a deal with Three in January 2011. It was estimated to have around 30,000 connections at the time.
Gamma’s head of mobile services Rob Davis told Mobile: ‘We have been really pleased with the rate of takeup. We had aimed for 80 dealers but the interest has far exceeded that level. The business has been growing rapidly at 30% quarter-on-quarter this year and we are expecting growth to continue at that level and beyond next year.’Davis declined to reveal the number of mobile connections Gamma has. However, he said: ‘We have doubled the size of our base year-on-year and the outlook for next year is very good for us.’
Davis said Gamma’s MVNO partners are attracted to the proposition because it gives them flexibility and control. ‘They are MVNOs in their own right. It gives them proper ownership, which is a real asset, and unlike other dealer propositions they have control and flexibility over pricing, which allows them to do clever and innovative things to increase margins.’
Davis said most of Gamma’s 95 MVNO partners are from the more-than-500 Gamma fixed-line channel partners. He acknowledged that many fixed-line resellers find mobile a complex sell, adding that Gamma’s most successful MVNO partners had brought mobile specialists on board.
He said ‘Mobile is not an easy sell. It requires effort and we find our most successful channel partners are those that have invested in the transition, employing their own in-house mobile sales specialists as well as using our mobile specialists, and incentivising their sales teams so that they don’t revert to selling what is easy.’
Editor: Carol Millett