Yet mobile roaming revenues will rise to $90 billion by 2018
Despite EU regulations, operator revenues generated from mobile roaming will reach almost $90 billion by 2018, according to a new report just released by Juniper Research. That figure compares to the $57 billion which Juniper expects to be generated in 2014 and roaming will represent over 8 per cent of the global operator billed revenues by 2018. These revenues will largely be driven by increasing data usage – surprisingly from a reduction in roaming charges. In 2013, data roaming represented an estimated 36 per cent of the global mobile roaming revenues.
The sector which represents a huge challenge to mobile network operators [MNOs] both in terms of customer satisfaction and revenue expansion is the ‘Silent Roamer’.
These are subscribers who exercise caution, or do not use voice and data services at all while roaming, and represent a non-user segment.
“This is costing the industry billions each year in lost revenue opportunity, given the millions of inbound and outbound roamers as well as the expansion of data traffic over flattening voice usage,” observed Nitin Bhas, the report’s author.
However, as the cellular industry moves aggressively towards a 4G/LTE environment, there is an opportunity to encourage ‘non data’ roamers to become data roamers, the report argues.
This can be done via package based roaming services where consumers are able to understand what they are paying for in a transparent and easier way, Juniper says.
Entitled, ‘Mobile Roaming: Regulations, Opportunities & In-flight Strategies 2014-2018‘, its other key findings include:-
- Operator revenues generated from mobile data roaming to reach just over $42 billion by 2018
- New developments in in-flight roaming have seen specialist service providers such as AeroMobile and OnAir partnering with mobile and airline operators
A whitepaper , ‘The Rise of the Roaming Empire II’ is available for free downloading from the Juniper web site here.