At the end of Q3/2018, T-Mobile Polska operated 10.690 million SIM cards, including over 7.1 million contract customers and over 3.5 million prepaid customers. This represents an increase of 84,000 over the quarter. More importantly, T-Mobile not only gains customers more efficiently but retains them effectively: the contract customer churn rate dropped to 0.8%, the lowest figure since 2012.
‘Our results clearly show that although the Polish market is under great pricing pressure, there is still room for an operator such as T-Mobile – focusing on offering the highest quality of service and competing for customers with the latest technologies and the best customer experience. We are especially pleased with the steadily decreasing churn rate, which at the moment in the contract segment is at its lowest since Q2/2012. We owe this achievement to continued investments into the quality of all our customer touchpoints. In consequence not only the number of our customers is increasing but also an average revenue per user (ARPU), which means that customers are willing to choose more premium plans and take advantage of additional services. These drivers are contributing to improved financial performance’,
said Andreas Maierhofer, CEO of T-Mobile Polska.
Customers appreciate quality and innovative solutions
In Q3/2018, T-Mobile once again recorded a steady increase in customer trust and satisfaction indicators. This was due to a number of changes introduced over the last quarters in the area of customer experience, such as improvements in call center operation decreasing the waiting time to reach our consultants by 4 times. Currently, the operator has launched an advanced mobile application which enables customers to easily manage all of the subscribed services and resolve the most common queries much faster than through the telephone customer care channel. In consequence T-Mobile offers its clients the highest quality in of all of the customer touchpoints like our own and franchised stores, professional call-center and digitally through the mobile app.
Over this period, customer surveys showed a marked increase in the service quality satisfaction, especially in the post-paid segment. This has translated not only into a lower churn rate but also into better mobile number portability figures: in the third quarter T-Mobile has achieved a positive MNP balance.
In the third quarter, T-Mobile launched a family offer, which quickly became a best-seller. The operator’s proposal has gained favor with customers primarily due to its flexibility – among other things, it enables to add more family members any time throughout the entire duration of the contract. Additionally the pre-paid market segment saw the successful launch of the SuperNet Video offer, which gained 80,000 active users in three months.
The SME segment opts for MagentaBIZNES plans
The SME segment has warmly welcomed the MagentaBIZNES plans, which offer the possibility of using a single unlimited Internet deal on all SIM cards within the company, as well as featuring a number of unique additional services, such as remote IT support, Office365 or online accounting, that will be useful to anyone running a business. Within six months of its launch, this offer has gained huge popularity among customers, accounting for 85% of sales in the SOHO VSE segment.
Gradual growth of financial ratios
In the period in question, T-Mobile Polska has recorded growth both in terms of revenue and EBITDA. Its revenue totaled PLN 1.688 billion, i.e. 5.5% more than in the corresponding period of last year. At the same time, the company’s EBITDA increased to PLN 418 million, i.e. by 11.5% (year-on-year) partially driven by different seasonalization of EBITDA this year vs. prior year.
‘Lower churn, growing customer base and stabilizing ARPU affected positively our financial performance. As we had stated on a number of occasions it was our imperative to continue stabilization and even turnaround of revenues and EBITDA, which are no longer influenced by the negative impact of the roam-like-at-home regulation. We are glad to see that our financial figures finally start to reflect the positive actions that we have taken since several quarters’
– said Juraj Andras, CFO of T-Mobile Polska.
Investing in a digital future
The company continues to take steps aimed at moving away from the traditional mobile operator model towards that of a modern, fully convergent company. After concluding the contract with Orange to gain access to the operator’s fiber-optic network, which reaches multi-family buildings,
T-Mobile signed another contract, this time with Nexera, an optic network operator. The new contract perfectly complements the one concluded with Orange, as it enables access to lines which are installed mainly outside large towns or cities and connected to single-family houses. Both of these contracts, combined with the Office of Electronic Communications’ decision which obliges Orange to grant its competitors access to households in the regulated areas mean that T-Mobile’s convergent offer will be available for 4.5 million households by 2020 and the first customers will be able to enjoy its convergent services later this year.
Providing the highest quality network remains T-Mobile’s priority. The company is determined to continue making infrastructural investments and maintain its technological leadership status. In September, the operator maintained its (joint) leader’s position in the speedtest ranking of mobile operators and became the undisputed winner in the ranking of mobile data transmission speed within operators' own networks.