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Tuesday, July 25, 2006

Free mobile as a triple play marketing tool?

I had an interesting discussion with a client yesterday. We were discussing the "Free Broadband" services being launched in the UK by companies like Orange and BSkyB. Basically, they are all different spins on bundling - ie get "free" broadband when you subscribe to an expensive-enough package for voice / mobile / satellite TV.

It got me to wondering why "reverse" free mobile packages aren't offered - perhaps "Free mobile phone + 200 mins / 200 texts per month, when you subscribe to our £30 a month 20Mbit/s ADSL2 service"

Can't be too long before someone tries this angle, probably an fixed/broadcast provider with an MVNO arm, and not much of an existing mobile base to worry about cannibalising. BT, maybe?

3 comments:

Alex said...

I would think that bundling works best if the primary service has enough margin to subsidize "free" bundling of something else which has low costs.

Broadband is a low margin commodity, so suits well for being bundled.

Mobile is good business, especially for the network operator. But maybe bundling could be attractive for some type of service provider.

TV offerings are quite differentiated, especially in markets with TV "addiction".
So probably high margins (just guessing here).

Therefore I believe that bundling TV with "free" broadband, VoIP, and maybe mobile is the most promising combination.

Bruce Renny said...

Hi Dean,
FreeBe TV is free mobile TV.
Right here, right now.
No bundling involved. Free.
Worldwide, mass-market, network-agnostic.
www.freebe.tv
How disruptive is that?!

Anonymous said...

When you hear broadband providers or your colleagues and friends talking about "wireless" they could actually

be talking about two separate things:Wireless

Networking
, having a wire free computer in the house connected to a broadband connection.
Broadband" href="http://www.broadband.co.uk/">Wireless Broadband
, this is a special kind of broadband package

where you can use it at home, but also in certain places when you are away from home. All you need is your phone

number or pastcode to see if either of these broadband connections are available and you can check it at

title="broadband.co.uk" href="http://www.broadband.co.uk/">broadband.co.uk
.