Thursday, April 16, 2015

Videocon Telecom plans to acquire over 10Mn subscribers

Videocon Telecom, the versatile, friendly and dynamic telecom brand of the Indian conglomerate Videocon group, has announced its aggressive growth plans to become a preferred National Operator. As part of its network expansion drive, the telco announced 2489 new cell sites and 231 new exclusive stores in existing circles. The telco also plans to acquire over 10Mn subscribers and deliver a consolidated Top line Revenue of 3000 Cr in FY 2015-16 including its GSM business, NLD/ILD and Punjab Wireline business. The Telco is also planning to invest Rs 300-350 Cr in current financial year. The telco aims at taking up the data contribution to 15% of Gross Revenue by end of FY2015-16.

The company has posted an impressive 53% growth in its Top line Revenue in FY 2014-15 over last financial year with a consolidated Top line Gross Revenue of 1974 Cr including its GSM business, NLD/ILD and Punjab Wireline business. Earlier last year, the telco talked about its plans for a Top line Revenue of 2000 Cr in FY2014-15 and has been able to deliver 99% of the same.

Backed by its aggressive customer acquisition strategy, Videocon Telecom achieved approx 19% share of incremental customer market share in its 4 operational circles in FY2014-15. This has helped the telco to achieve an impressive growth of 38% in its Subscriber Base and cross the 10 Mn mark subscriber base as on March 2015.

Owing to telco’s strategy to upgrade its network to 2.75 G EDGE, the telco witnessed a substantial growth in its data revenues, attaining an impressive 147% growth in data revenue that surpasses the industry growth by almost 3 times. Now, Data contributes to over 11.5% of Gross Revenue (GR) and the telco aims at taking up the data contribution to 15% of GR by end of FY2015-16.

Owing to its business focus and operational efficiencies, the telco reported EBITDA positive in its Punjab GSM operations circle in March 2015 that is one of the fastest in the telecom history.

Mr. Arvind Bali, Director and CEO, Videocon Telecom said, “Year 2014-15 has been quite eventful and fulfilling for us. Just to list some of our achievements, we achieved 99% of our targeted Gross Revenue of 2000 Cr and grew our Top line by 53% over previous financial year. Also, we have crossed 1 Cr subscriber mark in our 4 circles, and the biggie being EBITDA positive in Punjab telecom circle.

Being a new entrant, our strategy was to attain incremental Customer and Revenue market leadership in our operational circles, and we have been able to achieve the same with approx 19% incremental customer market share in our 4 circles with a dominant leadership in Punjab and Haryana during last financial year.

We aim to maintain and accelerate this growth rate further. We are targeting over 10 Mn subscriber acquisitions and a Top line Revenue of 3000 Cr in Financial year 2015-16 and EBITDA positive in MP and Haryana telecom circles.Mr. Bali added.

About Videocon Telecom

Videocon Telecom, the next-generation GSM mobile service network was launched by $10 billion Videocon Group.  The company has partnered with global technology leaders to create a robust infrastructure featuring future ready mobile technologies. Powered by the most advanced GSM-EDGE network, Videocon Telecom aims to redefine the Indian mobile telecommunications industry by leveraging a combination of the parent company’s strong brand recall and retail reach with a spirit of innovation and customer centricity. Videocon endeavours to transform the life of every Indian consumer by changing the very paradigm of the way he or she communicates.
Videocon Telecom today symbolizes the market innovations and customer offerings rooted in the demands and needs of the Indian consumer. Videocon Telecom has notched up a subscriber base of over 9.5 million subscribers within 2 years of operations, a testament to the brand’s customer focused strategy. The company has invested significantly in research and development as well as in customer service to offer consumers innovative products and a superlative experience.