Europe MVNO Market Research Report: Service Type (Discount, Telecom, Media & Entertainment, Business, Retail, Migrant, Cellular M2M, Roaming), Category (Postpaid MVNO, Prepaid MVNO), Business Model (Full MVNO, Service MVNO, Reseller MVNO), Subscriber (Consumer, Enterprise) - Industry Analysis and Growth Forecast to 2030

Market Overview

The European MVNO market generated $27,748.1 million revenue in 2020, and it is expected to grow at a CAGR of 5.8% during 2020–2030. This growth can be attributed to the increase in adoption of segment-targeted pricing and innovative distribution strategies, rapid deployment of cloud-based solutions, rising need for triple-play services in developing countries, and surge in mobile device penetration and demand for low-cost mobile services.

During the COVID-19 pandemic, there was a negative impact on the market for MVNO in Europe, owing to the lockdown implemented in every country of the European region. The industry witnessed a dip in the growth rate from 2019 to 2020, but the market is likely to recover from 2020 to 2021.

Some of the European countries (Germany, Italy, France, and the U.K.) were already witnessing slow economic growth, as this pandemic has weakened their manufacturing capabilities of this market. On the other hand, the government of several countries are focusing on the deployment of 5G network as a result of the remote working policies in place and continual connectivity demands of customers. This may even lead to the growing sales of MVNO services in the region.

Discount Category Held the Largest Market Share, due to Increasing Demand for Low-Cost Services

The discount category held the largest revenue share in 2020 in the European MVNO market, based on service type. This is majorly attributed to the decreasing costs of telecom services, coupled with the increasing competition in the market, which leads to the rising demand for low-cost services.

Full MVNO Category To Witness the Fastest Growth, as Retailers, Financial Institutions, and Postal Service Providers Are Widely Adopted MVNO Solutions

The full MVNO category is expected to witness the fastest growth in the market for MVNO in Europe during the forecast period, based on business model. This will primarily be due to the rising adoption of MVNO solutions by retailers, financial institutions, and postal service providers.

Postpaid Category Dominated the Market, due to the Monthly Billing and Benefits of The Postpaid Plans

The postpaid category dominated the European MVNO market, in 2020, based on category. This will primarily be due to the benefits of the postpaid plans, including consumers do not need to pay anything upfront; they get a monthly bill as per the usage of the services, and provides special bonuses and services.

Enterprise Category To Witness the Faster Growth Rate, Owing to the Rising Investments By Commercial Businesses

The enterprise category is expected to be the faster growing category in the market for MVNO in Europe, during the forecast period, based on subscriber. This is majorly due to the growing investments by commercial businesses of different sizes to improve their services through better connectivity.

Germany To Generate Largest Market Share, due to Presence of a Large Number of Unique Mobile Subscribers

Germany is expected to generate the largest share in the European MVNO market in the coming years, based on country. This can be ascribed to the presence of a large number of unique mobile subscribers, whose numbers were over 162 million in 2020. In addition, the presence of a large number of MVNOs (140 currently) supports the growth of the market in the country.

Self-Service Portals for Improving Customer Experience Is a Key Market Trend

The adoption of self-service portals is being observed in the market for MVNO in Europe. The major reason for this is that they give customers more power and control over their mobile data. An efficient self-service portal provides customers with flexible, convenient, and faster services. Additionally, they help MVNOs in reducing administrative burden, along with saving cost and time. At the same time, customers can track and understand their mobile usage. Hence, self-service portals are trending because they help improve productivity and profitability of the market players.

Segment-Targeted Strategies and Innovative Distribution Strategies Boosting the Market Growth

The rising focus of MVNOs on segment-targeted and innovative distribution strategies is driving the European MVNO market. The MVNOs cater to various customer needs through the optimum utilization of the existing telecom infrastructure of mobile network operators (MNOs). The success of MVNOs depends largely on unique brand positioning and value proposition to attract target customers, such as specific ethnic groups, migrant workers, and tourists. The growth of the market also depends on the limitations of MNOs in service marketing and distribution in a particular geography and niche segments.

Rapid Growth in Demand for Triple-Play Services in Developing Countries Driving the Market

Triple-play services are bundle packs offered by MVNOs, which include broadband internet access, television, and latency-sensitive telephone services. It is likely that in a few years, triple-pay services will be delivered throughout the world via the internet. Major software companies are developing applications for offering such services in developing countries. Thus, this factor is driving the growth of the market for MVNO in Europe

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Market Players Involved in Service Launches to Gain Significant Position

The European MVNO market is fragmented in nature with the presence of several key players. Some of the major players in the market include AT&T Inc., Verizon Communications Inc., T-Mobile US Inc., Lycamobile Group, CITIC Telecom International Holdings Limited, Red Pocket Inc., Truphone Limited, Consumer Cellular Inc., BT Group plc, Giffgaff Limited, Voiceworks BV, and ASDA Stores Limited.

In recent years, the players in the European MVNO industry have been involved in service launches in order to attain a significant position in the market. For instance:

• In April 2021, Verizon Communications Inc. announced that it deployed network repeaters from FRTek and SureCall. The expanded service would offer the 5G ecosystem, including home and business internet, to a larger customer base. By installing the repeaters between the cell site and the area being served, the signal can be amplified and the 5G footprint can be increased. These network repeaters are small, consume much less energy than a small cell, and do not require a fiber connection.
• In April 2021, BT Group plc announced that it would start expanding its 5G network across the U.K. once the lockdown starts to be lifted. The company has established outdoor 5G coverage at some of the U.K.’s most popular tourist landmarks, including historical sites and coastal locations.

Key Players in Europe MVNO Market Include:

• AT&T Inc.
• Verizon Communications Inc.
• T-Mobile US Inc.
• Lycamobile Group
• CITIC Telecom International Holdings Limited
• Red Pocket Inc.
• Truphone Limited
• Consumer Cellular Inc.
• BT Group plc
• Giffgaff Limited
• Voiceworks BV
• ASDA Stores Limited

Market Size Breakdown by Segments

The Europe MVNO market report offers comprehensive market segmentation analysis along with market estimation for the period 2015-2030.

Based on Service Type

• Discount
• Telecom
• Media & Entertainment
• Business
• Retail
• Migrant
• Cellular Machine-to-Machine (M2M)
• Roaming

Based on Category

• Postpaid MVNO
• Prepaid MVNO

Based on Business Model

• Full MVNO
• Service MVNO
• Reseller MVNO

Based on Subscriber

• Consumer
• Enterprise

Geographical Analysis

• Germany
• U.K.
• France
• Italy
• Spain
• Russia
• Czech Republic
• Norway
• Netherlands
• Denmark