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EE Results - lost 700,000 customers, but profits up (merged)
japaul
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EE Results for quarter ending June 2013 (2013 Q2). Comparatives are with the previous quarter (2013 Q1) and the same quarter a year ago (2012 Q2).
Mobile service revenue: £1421m (2013 Q1: £1422m, 2012 Q2: £1486m)
Mobile Customers - Total: 25.288m (2013 Q1: 25.742m, 2012 Q2: 26.328m)
Mobile Customers - Postpaid: 13.976m (2013 Q1: 13.759m, 2012 Q2: 13.143m)
Mobile Customers - Prepaid: 11.312m (2013 Q1: 11.983m, 2012 Q2: 13.185m)
4G Customers - 687,000 (2013 Q1: 318,000)
Smartphone penetration (postpaid only): 83% (2013 Q1: 82%, 2012 Q2: 73%)
https://explore.ee.co.uk/our-company/newsroom/ee-interim-results-for-6-months-ended-30-june-2013
Mobile service revenue: £1421m (2013 Q1: £1422m, 2012 Q2: £1486m)
Mobile Customers - Total: 25.288m (2013 Q1: 25.742m, 2012 Q2: 26.328m)
Mobile Customers - Postpaid: 13.976m (2013 Q1: 13.759m, 2012 Q2: 13.143m)
Mobile Customers - Prepaid: 11.312m (2013 Q1: 11.983m, 2012 Q2: 13.185m)
4G Customers - 687,000 (2013 Q1: 318,000)
Smartphone penetration (postpaid only): 83% (2013 Q1: 82%, 2012 Q2: 73%)
https://explore.ee.co.uk/our-company/newsroom/ee-interim-results-for-6-months-ended-30-june-2013
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it shows I suppose that 4G isn't becoming the USP they had hoped. Its the disadvantage of being the largest Network in terms of customers, your ability to reduce churn is impeded.
4G isn't EE's main problem. It has been to do with combining Orange and T-Mobile transition hasn't gone to well. Specially in some areas with masts getting turned off and only recently getting upgraded and turned back on. Also the name change has confused a lot of people I know that sounds stupid but it's completely true. They and Three now boost best 3G coverage but getting to this point hasn't been easy and a lot of people have been having trouble on Orange and T-Mobile lack of speeds not getting data connections etc. That is the main reason they are losing customers. Completely agree that 4G hasn't actually gained them a lot of customers sure they were hoping for more by now. Imagine they have will about a million by end of the year.
Expect we will hear about this by end of august.
Agree with the above. Whilst ALL of their marketing has been about EE 4G (when did you last see an advert for Orange or T-Mobile other than the network branding at the end of Apple adverts?), Orange and T-Mobile still exist. They haven't been very good at communicating that EE refers to their 4G service and is also an umbrella term for their brands as a whole.
There have also been some real issues with the 3G service during the mast integration/switch-off/upgrade programme. I've been really frustrated with this and so have many others, based on quite a few threads that have been created on the same issue. But your average customer doesn't read forums like this. They just see a degradation in their service, poor signal where they used to get decent signal, inability to access data despite having a good data signal, problems with signal switching, the phone not picking up a signal again after losing it etc.
I'm actually surprised that they haven't haemorrhaged more customers, to be honest.
They are heavily pushing upgrades to EE4G for existing customers.
Not quite an announcement of what's coming up but they did provide a list of new 4G towns just switched on (10) and new double speed cities (3) that have recently gone live.
https://explore.ee.co.uk/our-company/newsroom/ee-4g-goes-live-in-10-more-towns-across-the-uk-with-double-speed-launching-in
Think it's pretty obvious what is going to happen Orange and T-Mobile won't exist much longer. Most people think they are on EE as that is what the phone says all the retail shops are EE now. I know one place where there is 5 EE shops in about 5 walking minutes of each other. Think they will just have different tiers Orange/T-Mobile will be 3G plans and then there will be 4G plans but they will all be EE.
Yeah my friend has 4 months left on her contract with orange and has been called 6 times in last couple of months offering an upgrade to EE4G. She has said each time she isn't interested but they keep calling.
Thanks for that I appreciate it makes sense that the contract smart phone penetration is higher pretty much every phone that has been made in last 2-3 years has been one.
Pretty much what i had expected seeing the network upgrade disruption, lack of competitive PAYG tariffs and limited/no unlimited data options especially on Orange. Orange is by far the least competitive network. Have they even been advertising the 3G side of the network. I've not seen a T-Mobile or Orange advert in many months!
I doubt EE will to fussed about losing some heavy data users to Three. However they might be over losing some to O2/Virgin PAYG with the recent cutting of tariffs they have had.
New areas announced soon i'm told.
4G coverage around 60% and 95 towns/cities currently covered.
Customer Support is non existent unless you go higher up the support ladder.
700,000 customers churned from the network, also the customer count now includes not just mobile phone connections, but 1.5 million machines with connections to EE's mobile networks such as utility smart meters, black boxes installed in cars by insurers, and even clothing to monitor individuals with dementia.
Finance director Neal Milsom dismissed suggestions that the arrival of competing 4G services this autumn will lead to a price war and lower costs for consumers.
They saw cost savings from the closure of shops, and have had their best financial quarter since EE was formed.
The group is now signing more than 120,000 contracts a month for 4G connections , compared with an average of 60,000 a month earlier in the year. The growth has come despite a higher price tag – EE's 4G service costs between £5 and £10 more a month than a typical 3G contract.
http://www.guardian.co.uk/business/2013/jul/24/everything-everywhere-4g-new-customers
The big reduction in overall customer numbers seems to be because Olaf has no time for PAYG dissing it at every opportunity.
He and Elop should team up.