7/30/2009 11:50:00 AM
O2 adds contracts but loses prepay customers
O2 added 252,000 UK customers in the second quarter of 2009, as strong customer service and the iPhone ensured it continued to grow in a retracting market.
The network, which reported its results for the quarter ended June 30 today (July 30), now has 20.7 million mobile customers – a 7% increase on the same period in 2008. Churn was slightly reduced to 1.2%.
Meanwhile, the operator added 312,673 contract customers – including those who took up services such as mobile broadband – up 73% year on year. Contract customers now account for 44% of O2’s total base.
However, the network suffered in the prepay market, where it lost 60,405 customers in the second quarter. Revenues were up by 5.5% to £2.7m.
O2 UK CEO Ronan Dunne (pictured) said: ‘We fundamentally believe that if you do the right thing by the customer – and the customer is becoming increasingly discerning as belts tighten – and deliver, you can still prosper in this environment.’