{"id":66268,"date":"2014-08-20T10:50:01","date_gmt":"2014-08-20T08:50:01","guid":{"rendered":"http:\/\/businesstech.co.za\/news\/?p=66268"},"modified":"2014-08-20T10:50:01","modified_gmt":"2014-08-20T08:50:01","slug":"mtn-losing-massive-market-share-to-cell-c-and-telkom","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/telecommunications\/66268\/mtn-losing-massive-market-share-to-cell-c-and-telkom\/","title":{"rendered":"MTN losing ‘massive’ market share to Cell C and Telkom"},"content":{"rendered":"

MTN continued to lose market share to the country’s two smaller operators in Cell C and Telkom, according to JSE-listed Blue Label Telecoms.<\/a><\/p>\n

On Wednesday (20 August 2014) the firm provided a breakdown of its prepaid\u00a0airtime distribution for the country\u2019s major operators, revealing further losses by Africa’s biggest mobile operator.<\/p>\n

MTN has seen its market share wilt a further 3% over the past six months, from 32% in 2013, to 29% for the period ended May 2014.<\/p>\n

Joint CEO at Blue Label, Brett Levy pointed to a “massive” drop in MTN, “that\u2019s not coming off a small number, it’s coming off a large number”.<\/p>\n

Vodacom remained stable at 50%, while Cell C was up to 19%, from 17% before, and from 8% a year ago.<\/p>\n

Telkom has grown by 100%, to 2%, off a low base. “Whatever Telkom is doing, its better than what they did 12 months ago,” Brett Levy said.<\/p>\n

“Cell C are fighting on the street, they are becoming a consumer champion. The next 12 months will be very interesting, a lot of work for MTN to do,” he said.<\/p>\n

\"South<\/a>

South African Blue Label Telecom mobile market share<\/p><\/div>\n

Earlier in August, MTN said that market share declined by 2.7 percentage points to 31.9% in SA as competition intensified in the pre-paid segment.<\/p>\n

During the first quarter of 2014, the operation\u2019s subscriber base contracted by 825,000
\nsubscribers and during the second quarter added 394,000 to reach 25.3 million subscribers at period-end.<\/p>\n

Cell C meanwhile, recently reported that it has grown its subscriber base by an additional 1.5 million in the past three months to 18.1 million at 30 June 2014.<\/p>\n

And in a presentation at an Investor Day in Pretoria, on 4 August, Telkom chief operating officer, Brian Armstrong, said that goals for the group included being the \u201cnumber 3 player in mobile\u201d.<\/p>\n

\"BMI<\/a>

BMI Mobile market share by Subscriber numbers<\/p><\/div>\n

On Wednesday, Blue Label Telecoms reported an 8% rise in its dividend per share to 27 cents for the period ended May 2014, on the back of a rise in profits.<\/p>\n

Revenue improved to R19.4 billion, from R18.98 billion before, while group operating profit was up to R723 million, from R646 million in 2013.<\/p>\n

Headline earnings per share was up 6% to 67,98 cents, while the group saw a 10% increase in earnings before interest, taxes, depreciation, and amortisation (ebitda) to R788 million.<\/p>\n

\"Revenue<\/a>

Revenue Growth by Network<\/p><\/div>\n

More on Blue Label Telecoms<\/h3>\n

Cell C reveals new subscriber numbers<\/strong><\/a><\/p>\n

Telkom sets sights on Cell C<\/strong><\/a><\/p>\n

Competition hits MTN SA revenue<\/strong><\/a><\/p>\n

Cell C winning market share from MTN<\/strong><\/a><\/p>\n

Blue Label lifts dividend by 8%<\/strong><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

MTN is losing market share to Cell C, according to Blue Label Telecoms<\/p>\n","protected":false},"author":10,"featured_media":57621,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[21],"tags":[1653,42,26,28,65,27],"class_list":["post-66268","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-telecommunications","tag-blue-label-telecom","tag-cell-c","tag-headline","tag-mtn","tag-telkom","tag-vodacom"],"_links":{"self":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/66268","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/users\/10"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/comments?post=66268"}],"version-history":[{"count":11,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/66268\/revisions"}],"predecessor-version":[{"id":66292,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/66268\/revisions\/66292"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media\/57621"}],"wp:attachment":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media?parent=66268"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/categories?post=66268"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/tags?post=66268"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}