Dismal OTT services offered by Telcos in Pakistan

Telco Offerings in Pakistan A case for missing OTT

An off-‐the net survey

Sophia Hasnain Trends and Transforma8ons Consultant www.linkedin.com/in/sophiahasnain [email protected] April 2014

Some Numbers* Cu

stom

er

Spen

ding – Service

vs Handsets in

Millions of U

SD

0 20 40 60 80 100 120 140 160 180 200

Mob

ilized vs.

Total Pop

ula8

on

in M

illions

* All numbers from PTA Annual Report 2012-‐13

0 1000 2000 3000 4000 5000

New Handsets Imported

Spent on Voice and SMS

©Sophia Hasnain 2014

Usage Snapshot

ARPU remains low at PKR 211

315.7 billion SMSs were exchanged

Outgoing traffic of 294.2 billion minutes was generated.

Average user genera8ng

214 SMS/month.

Average cellular mobile subscriber in Pakistan, is making voice

calls of 203 minutes per month


A snap shot of big three’s offerings


Money wasted on sponsorships


Voice Oriented Service

•  Almost all VAS is either voice or SMS based

•  Data bundles are offered without any data service

•  Pakistani Cellular (or Telco) is extremely voice-‐oriented

•  Cellular ac8ng as an access provider as opposed to service provider

The operators are increasingly becoming Access Providers as opposed to Service Providers


Predic8ng Life aber 3G

•  A frenzy of download price wars will start

Bollywood

Games

Telco Again as Access Provider


Access Revenues are Decreasing

In Pakistan in one year from 2012 to 2013 ARPU declined 3%, came down from PKR 217 to PKR 211


Forcing Telcos to turn to OTT

•  Payments •  Media

–  Entertainment –  Storage

•  Automa8on –  Home – Work –  Car

•  M2M •  And so on…

Increasing the revenues through innova8on ©Sophia Hasnain 2014

Whereas in Pakistan

•  Telcos are not driving the change in the mobile space

•  Telcos are busy in price wars of voice and SMS

•  Telcos are sponsoring as opposed to inves8ng

•  Bad customer experiences are created due to lack of support from the Telcos

•  IT companies are gejng into the niche services – leaving Telcos as Access Providers

•  Telcos are seen as cash cows – not as valuable partners


Lead the real 3G revolu8on

Mobile

Dismal OTT services offered by Telcos in Pakistan