According to new research from Informa Telecoms & Media, music subscription services and online storage provide fixed-operators with an opportunity to reduce churn and increase customer loyalty, at a time of intense competition. The decline in broadband prices and increase in bandwidth means that operators need to look beyond the core triple-play offer of telephony, TV and broadband in order to boost revenues and reduce churn in saturated markets. Despite concerns about the health of the music industry in general, music subscription services offer huge potential in terms of reducing churn and increasing stickiness.

Informa Telecoms & Media selected ten service groups, considered to be either the most prevalent services that broadband operators are now offering, or ones in which high levels of interest are being shown. Services were scored against 22 different criteria, based on the benefits that they could bring to an operator and the advantages operators could have in offering the services over other providers*.

"It may be surprising that music subscription services are at the top of the list, given the relative lack of success that such ventures have seen to date. However a new wave of subscription services - such as Virgin Media's proposed subscription service, and Telenor's Wimp - are likely to resemble a much more attractive alternative to piracy for consumers. Third party subscription providers will also turn to operators for partnerships, as Spotify has done with Telia in Sweden. Operators are well-positioned to offer these services," comments Giles Cottle, Senior Analyst at Informa Telecoms & Media and author of the 'Beyond Triple Play: Value added services for broadband operators' report.

"In addition to music subscriptions, online storage represents a major opportunity for operators with many already earning millions of Euros from this service. It could deliver even more value as the next-generation broadband rollouts progress and the service becomes more practical for users," concludes Cottle.

* Source 'Beyond Triple Play: Value added services for broadband operators' report.

For more information, please visit www.informatm.com/vasbroadband.

For more information, please contact:

Denise Duffy

PR Manager, Informa Telecoms & Media

Mob   +44 (0) 7500 330826 

Email: denise.duffy@informa.com

Twitter: @informatm_pr

About Informa Telecoms & Media

Informa Telecoms & Media (www.informatm.com) is the leading provider of business intelligence and strategic services to the global telecoms and media markets.

Providing business critical information

Informa Telecoms & Media (ITM) conducts primary and secondary research on the latest trends impacting the mobile communications, fixed communications and TV sectors, on a global basis. ITM's market intelligence services  -  World Cellular Information Service (WCIS), World Broadband Information Service (WBIS) and the Intelligence Centre - give clients access to market forecasts and key performance indicators (KPIs), as well as detailed analysis and exploration of trends.  These comprehensive and reliable data sources combined with access to a team of dedicated analysts provide clients with essential business tools to assist in their strategic and tactical decision making processes.

Creating communities

In addition to the Training Academy, Informa Telecoms & Media delivers the latest industry news and analysis through its range of newsletters, magazines, reports and online information portal  - telecoms.com.  From large exhibitions to intimate networking lunches, Informa Telecoms & Media organises over 100 annual events bringing together the industry's leading decision makers.

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