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Inconsistent Prepaid Reporting Distorts Key Mobile Market Signals

Published by: Yankee Group

Published: Sep. 1, 2009 - 13 Pages


Table of Contents


I. Why Large Numbers of Inactive Prepaid Lines Distort Penetration

II. What Drives Inactive Lines

III. What This Means

IV. Recommendations

V. Further Reading

Abstract

Key market signals that govern competitive behavior are distorted by the fact that operators determine inactive mobile lines using various definitions and methods. A Yankee Group model gauging the effects of such variations shows that small changes make big differences. It is in operators’ best interest to adopt a standard definition and be more transparent in their reporting.

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