Golan Telecom gains most new subscribers in March

YouPhone takes second place ahead of Hot Mobile.

2 April 13 18:17, Gad Perez

Golan Telecom Ltd. again gained the most new subscribers in March 2013, while mobile virtual network operator (MVNO) YouPhone took second place ahead of Hot Mobile Ltd.Hot Mobile also had a record churn rate of 85%.YouPhone’s aggressive marketing – a NIS 10 monthly plan for three months (after which the rate rises to NIS 79 per month) – added a net 7,190 new subscribers during March. Orange franchisee Partner Communications Ltd. (Nasdaq: PTNR; TASE: PTNR), which provides YouPhone with infrastructures, was also a beneficiary. While Partner’s revenue from YouPhone is not on the scale that Pelephone Communications Ltd. makes from Hot Mobile, or Cellcom Israel Ltd. (NYSE:CEL; TASE:CEL) makes from Golan Telecom, the increase in YouPhone’s subscribers sweetens the pill for Partner.

Data obtained by “Globes” indicate that Partner has greatly reduced its churn rate compared with Cellcom and Pelephone, thanks to its 012 Mobile brand. Among the three veteran carriers, Cellcom had the highest churn rate, recruiting 28,810 new subscribers, but losing 38,154. Among the MVNOs, Rami Levy Cellular Ltd. again had a net loss of subscribers, after net gains for several months, and Home Cellular Ltd. had a negligible net gain of 195 subscribers.

Some carriers have ended their aggressive marketing campaigns, including Hot Mobile’s NIS 49 month plan and Golan Telecom’s plan. This raises the question whether the market struggle is slowly easing or if new campaigns are in the offing.

Published by Globes [online], Israel business news – www.globes-online.com – on April 2, 2013

© Copyright of Globes Publisher Itonut (1983) Ltd. 2013