Australian MVNOs have reached a market share of 13% nationwide, as competitive MNO offerings now appeal to value conscious customers

New network technologies and the commoditised mobile industry are increasing the competitive intensity

Differentiation and cross selling will become increasingly important for MVNOs to build and retain market share

The Australian mobile market has long been dominated by just three Mobile Network Operators (MNOs) – Telstra, Optus and Vodafone Australia (VHA). The entry of Virgin Mobile in 2000 as Australia’s first Mobile Virtual Network Operator (MVNO) increased the competitive intensity in what was otherwise a consolidated mobile market. However, the growth path for Australian MVNOs has been long and hard. After almost 20 years, MVNOs account for 13% of subscribers (handset only) in the Australian mobile market, though over 20% in major metro areas.

Contents

Key takeaways

Introduction

Current market landscape

MVNO forecasts – are they growing?

• MVNO competition is strong in metro areas and likely to get stronger
• Amaysim is leading but new players are emerging
• MNO share of the MVNO market

Opportunities and Threats for MVNOs

• Bundled offers & cross selling
• Pre-Owned Devices
• Media Streaming
• MVNO access to 5G
• 5G and network slicing

Conclusion

List of charts/tables

Figure 1. Cross section of MVNOs in the Australian mobile market

Figure 2. MVNO subscriber market shares (handset only)

Figure 3. MVNO market share in Sydney, Melbourne and Brisbane (%)

Figure 4. Gaining operator splits for respondents planning to change mobile providers (%)

Figure 5. Subscriber market shares by MVNO

Figure 6. Wholesale mobile subscriber market shares

Figure 7. Kogan cross selling services

Figure 8. How often do you replace your smartphone?

Figure 9. OVO focus on non-Tier 1 sports fans

Figure 10. OVO Mobile media offerings

Figure 11. Respondent willingness to move to 5G