by TINTSWALO BALOYI
JOHANNESBURG, (CAJ News) – SOUTH Africa’s mobile virtual network operator (MVNO) market is set for explosive growth.
This comes as emerging players in the market move beyond merely competing on price towards using digital-first distribution strategies and personalised customer experiences to stand out in a crowded market.
Entities with clear, lifestyle-driven value propositions will be the leaders in the fast-changing sector.
That is according to Richard Anderson, Chief Operating Officer at C-Connect, one of South Africa’s newest MVNO brands.
“Our brand is funky and vibrant, designed to connect with customers in meaningful ways,” he said.
“By driving digital inclusion and offering an affordable, tailored service, we are not just offering connectivity. We are giving our customers the power to see real rewards from their mobile usage.”
The official believes as MVNO adoption grows, C-Connect is well-positioned to capture a substantial share of the market.”
The launch of C-Connect comes at a time when the global MVNO market is evolving rapidly.
The global MVNO subscriber base has outpaced traditional mobile network operator subscriber growth for the past ten years, according to Africa Analysis director, Andre Wills.
He expects MVNOs in South Africa to enjoy robust growth in the years to come, despite a saturated cellular market.
Africa Analysis forecasts that the South African MVNO subscriber base will increase from 4,3 million in 2023 to 10 million by 2028, reflecting a compound annual growth rate of 18,3 percent.
Wills noted that South African MVNO market has, to date, developed in an environment that has offered little regulatory support to MVNOs.
Some 33 MVNOs have launched in South Africa to date, and 17 remain operational.
Experts say a requirement that mobile network operators host at least three MVNOs as part of their spectrum licence conditions will help to spur growth in the market.
Arthur Goldstuck, CEO of World Wide Worx, said there were nearly 118 million mobile connections active in South Africa, representing 195 percent penetration of the population.
As a prepaid, SIM-only brand, C-Connect leverages the network infrastructure of C-Cell.
– CAJ News