Business News of Monday, 6 August 2012
Tigo Ghana has finally reversed eight months of market share and subscriber base decline by recording the first monthly increase since the consistent decline started in October 2011.
The half-year mobile market share and subscriber base report from the National Communication Authority (NCA) ending June 2012, indicate Tigo increased subscribers by 95,847 from 3,457,427 in May 2012, to 3,553,274 in June 2012, which is 2.8% increase.
In August 2011, Tigo recorded its highest subscriber base of 4,156,063 for that year, then declined to 3,998,489 in September 2011, and increased again to 4,052,784 in October 2011, but has been declining since then until June this year.
The turnaround in June 2012 gives Tigo 15.2% market share of the total of 23,370,773 active mobile lines recorded, and still leaves Tigo as the third largest operator by subscribers, in spite of the fact that it offers the lowest on-net standard tariff of 3Gp and one of the lowest off-net tariffs on the market.
Tigo finished the first year of Mobile Number Portability (MNP) as the biggest net gainer, but the NCA has said that is not enough to make any significant changes in the market share structure.
Head of Marketing at Tigo Ghana recently attributed the company’s recent gains to its high quality of service, and consumer-centric offers such as the lowest on-net standard tariff, unlimited internet access packages, Tigo Insurance, Tigo Cash and other products and services designed to give customers value for money.
Meanwhile, new entrant Glo Ghana has also doubled its market share to 4.2% after scooping some 2% market share in its first month of operations in Ghana.
Glo finished May 31, 2012 with 468,508 subscribers, representing 2% of the total number of active mobile connections then, but it has increased the numbers to 990,566, which if 4.2% of the current total number of mobile connections.
While Glo increases its market share, all the other telcos recorded marginal market share declines except Expresso, which actually gained market share.
Expresso recorded a turnaround from a decline in May, finishing at 227,396 in June, which is 0.97% market share, representing a 10 percentage points higher than the 0.87% market share it recorded last month.
MTN had a marginal increase in subscriber base and finished with 10,757,974 representing 46% of the total market size, which is a 1% decline from May, despite the increase in actual number of subscribers.
Vodafone finished the period at 4,819,700 represents 20.6% market share; a 0.2% decline from last month; and Airtel also increased its subscriber base to 3,021,863 representing 12.9% market share, which is a 0.5% decline from last month