Simpel becomes biggest Dutch MVNO in Q1

News Wireless Netherlands 10 JUL 2019
Simpel becomes biggest Dutch MVNO in Q1
Simpel became the largest MVNO in the Netherlands in the first quarter of 2019, according to the latest research report from Telecompaper. The low-cost provider showed the strongest organic growth in the virtual operator market, overtaking the previous MVNO market leaders Lebara and Lycamobile.

Telecompaper’s semi-annual Dutch Virtual Operators report shows virtual mobile operators accounted for 8.2 million Sims at the end of Q1 2019, or nearly 40 percent of the total Dutch mobile market. The figures include both MVNOs and virtual second brands owned by the mobile network operators.

Tele2 becomes largest brand

The VOs share increased from 33 percent in Q3 2018 after Tele2 rejoined the virtual market. Tele2 had its own mobile network for three years but became a second brand of T-Mobile after its takeover in January 2019. Tele2 instantly became the largest virtual brand with over 1.3 million Sims, pushing ahead of KPN’s brand Telfort.

Simpel comes third in the overall VO market and became the biggest of the independent MVNOs in Q1. The company grew its customer base by 17 percent in the six months to March for a total of over 0.9 million Sims, supported by its long-running promotion of EUR 1 per month for six months on all plans. In the same period, number-two MVNO Lebara continued to lose customers as it focuses more on the postpaid segment, while Lycamobile saw its growth slow to just 5,000 customers added.

"Even after ending its EUR 1 promotion in March, Simpel looks set to soon cross 1 million subscribers, supported by its extensive marketing spend," said Alejandra van de Roer, Telecompaper mobile market analyst and co-author of the Dutch Virtual Operators report. "Simpel’s success has likely contributed to KPN’s decision to drop its brand Telfort, and now that Telfort is no longer taking on new customers, some of those will likely go to Simpel."

KPN stops Telfort brand after losing customers

KPN announced in January plans to phase out its second brands Telfort, Yes Telecom and XS4All, which will put pressure on the virtual operator market in the quarters to come. Telfort was the biggest virtual mobile brand before Tele2’s re-entry in the market, but the KPN company has been steadily losing customers for some time. In Q1, Telfort had a 15 percent share of virtual mobile customers, compared to 16 percent for Tele2 and over 11 percent for Simpel.

Categories:

Mobile

Companies:

Telfort,  Lebara,  Simpel,  Telecompaper,  Lycamobile,  Tele2 Netherlands

Countries:

Netherlands

Tags:

Sales figures, Market research

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