Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Mobile competition – better analysis shows problems remain

Media Release

21 May 2014

Mobile competition – better analysis shows problems remain

Today’s Commerce Commission announcement that mobile competition is not delivering for business and on account customers dispels the myth that New Zealand’s mobile market is competitive – and now it’s time to find out why.

2degrees Chief Executive Stewart Sherriff says the Annual Telecommunications Monitoring Report reveals there are three distinct mobile markets – prepay, on account and business – painting a distinctly different view of competition than previous reports.

“New Zealand’s highest spending mobile users deserved this. The Commission has acknowledged its past approach of looking at an operator’s share of total connections can be ‘misleading’. It’s now time for an in-depth look into switching barriers so we can see why customers who want to move, don’t,” says Mr Sherriff.

The Monitoring Report shows that competition in prepay has been vigorous, but on account or business customers have not switched providers.

Mr Sherriff says today’s findings show there is still work to be done to ensure long-term competition benefits all mobile users.

“2degrees has been actively competing for on account and business customers for more than two years, rolling out a national network and opening 49 retail stores. Despite this, we continue to hear from mobile users who are frustrated that they cannot take up a deal from 2degrees, even in situations where we can save them 20% or more on their monthly bill.”

Mr Sherriff says the reasons vary, but a common area of complaint is the finer detail of contract terms, which customers are confronted with when they call their provider to say they are leaving for 2degrees. In some cases even finding out those details can be a challenge.

“We look forward to the Commission taking the next step to look into these issues so the incredible value 2degrees has brought to prepay customers is extended to all mobile markets.”

“In the meantime, today’s report will be an important input for policymakers as they prepare for the upcoming Telecommunications Act Review,” he says.

ENDS


© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Trade Plans: Prime Minister's Speech To International Business Forum

"The work to improve public services, build infrastructure, and solve social problems is possible only because we have enjoyed sustained, solid economic growth. A big reason for that is the Government’s consistent agenda of economic reform, and our determination to open up more opportunities for trade with the world." More>>

ALSO:

Media: TVNZ Flags Job Cuts To Arrest Profit Decline

Chief executive Kevin Kenrick said the changes were aimed at creating "a sustainable future video content business for TVNZ in an ever-changing media market." More>>

ALSO:

Reserve Bank: Wheeler Keeps OCR At 1.75%

Reserve Bank governor Graeme Wheeler kept the official cash rate unchanged at 1.75 percent, as expected, and reiterated his view that the benchmark rate doesn't need shifting for the foreseeable future. More>>

ALSO:

Retail: Pumpkin Patch Brand, IP Sold To Catch Group

The receivers of failed children's clothing retailer Pumpkin Patch have confirmed that the company's brand and intellectual property have been sold to Australian online retailer Catch Group. More>>

ALSO:

Oil: 2017 Block Offer Petroleum Tender Launched

New Zealand is well-placed to take advantage of the economic benefits of oil and gas exploration, Energy and Resources Minister Judith Collins announced today at the launch of the 2017 Block Offer petroleum tender. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news