Virgin ‘quad play’ customers make up 10% of base

Virgin ‘quad play’ customers make up 10% of base

Virgin Media’s ‘quad play’ strategy has seen it report record mobile contract sales for Q3 2009.

Quad play consumers accounted for 10% of all Virgin Media customers during the quarter. Virgin Mobile added 88,000 contract customers during the three months ended 30 September – up 50% on the previous year to 873,000.

Meanwhile, Virgin Media’s focus on ‘high value’ increased its triple play customers – those taking fixed line, broadband and TV – to 59% of its total customer base. Quad play consumers, who took mobile, fixed, TV and broadband, made up 10% of its total customer base.

Earlier this year, Virgin Media unveiled plans to push its mobile offering alongside its other three services in a bid to attract more high-end customers to quad play contracts.

In August, the traditionally low-end mobile MVNO, which now stocks high-end phones, revealed plans to link its services so that on-demand content can be viewed on a mobile on the move, through TV and broadband called ‘third screen’.

Net customer subscribers during the third quarter of 2009 totalled 200,000, Virgin Media reported. The company added that demand for faster broadband and on-demand TV had increased average customer spend by 5%, with ARPU rising to £44.24 per month.

The growth in Virgin Media customers and their spend saw total Q3 revenue up 1.3% at £953m, and operating cashflow was up 7% at £348m.

The company increased its number of stores by 20 to 59 by the end of the period, and reiterated that it was on track to triple its number of outlets.

Strategy Analytics analyst Phil Kendall said: ‘It is encouraging that many of the bundles are becoming quad play, but the downside is they have to be more price competitive.’

Written by Mobile Today
Mobile Today


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