Are sub brands the way to go as operators grapple with changes to consumer behaviour?
A few weeks ago, Vodafone became the latest and last brand to launch a sub brand in Ireland. I’ve since received a few calls about the launch from people trying to read the market, and essentially work out why Vodafone would bother now. The answer is reasonably clear cut in my mind - quite simply, mature mobile markets are a problem for operators, especially when the economy has been battered and this strategy helps to overcome the associated problems. There is always going to be a limit to the number of customers you can attract from segments outside of the core customer profile if you haven’t got the right brand appeal. And right now, though consumers value telecoms and app, they are still keen to save money making for tougher competitive dynamics than normal. (more…)
