Broadband’s evolving brand landscape

Optus aims to replicate Amaysim's mobile success in the fixed market to reverse three years of subscriber declines.

Heath Gibson · Executive Manager – Industry Intelligence and Insights at NBN Australia21 June 2024Period: Q1 20244 min read

25%↑

Amaysim mobile subscriber growth since Feb 2021 acquisition

1.5M→

Total Amaysim mobile subscriber base for potential NBN bundling

Locked

Companies covered:

Abstract

This report analyses the strategic re-entry of Amaysim into the Australian fixed broadband market. Following a period of subscriber stagnation where Optus broadband numbers fell over three and a half years, the group is adopting a multi-brand strategy similar to Telstra and TPG. By leveraging Amaysim’s 1.5 million mobile subscribers and high brand affinity, Optus seeks to target specific consumer segments and drive growth in a fragmenting retail landscape underpinned by NBN resellers and white-label providers.

Key Takeaways

Amaysim is re-entering the fixed broadband market with NBN services to leverage its 1.5 million mobile subscriber base.
Optus broadband subscribers have stagnated for 3.5 years, with the March 2024 count sitting at 1,310k compared to 1,331k in September 2020.
Amaysim has achieved 25% mobile subscriber growth since its acquisition by Optus in 2021, providing a blueprint for broadband expansion.

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Frequently Asked Questions

The shift addresses a 3.5-year period of subscriber stagnation, with Optus broadband numbers declining from 1,331k in September 2020 to 1,310k in March 2024. By adopting a multi-brand strategy, the group aims to replicate the success of competitors like Telstra and TPG in a fragmenting retail market.

Amaysim has achieved 25% mobile subscriber growth since its acquisition in 2021, demonstrating high brand affinity and operational momentum. The brand provides an immediate cross-sell opportunity to its existing base of 1.5 million mobile subscribers.

Cannibalization risk is low because Optus currently holds less than 15% of the total broadband market. Amaysim is positioned as a growth engine to capture new segments rather than a threat to the existing premium subscriber base.

The rise of white-label platform services allows niche players and established brands to launch NBN services with minimal infrastructure investment. This trend is driving the proliferation of targeted offerings for specific segments, such as gamers and budget-conscious households.

Broadband’s evolving brand landscape

Abstract

Key Takeaways

Frequently Asked Questions

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