The PURSUIT OF DOLLARHAS begun IN the MOSCOW MARKET of BROADBAND ACCESS To the INTERNET FOR HOUSE USERS. ALL LARGE PLAYERS HAVE hinted THAT WISH to DIG the SPEAR of PRICE WAR And to ADJUST the TARIFFS TO the ESCAPED DOLLAR. The PETERSBURG LEADERS of the MARKET WHILE KEEP ENDURANCE.
the TARIFF CAPITAL
It seems that financial crisis has reached the branch enterprises. Large capital players of the market of broadband access to the Internet are full of determination to start revision of the tariffs towards increase. The price - the maker has acted one of the largest providers of the country - Open Society “ Comstar - Incorporated telesystems “ in February informed the subscribers about future increase of tariffs since March, first of this year. The operator has decided to raise the prices for a long ruler of the plans for private users more than for 10 %. In the company the initiative have explained growth of working costs on rendering of a telecommunication service. In particular, dollar exchange rate growth has led to increase in expenses on vzaimoraschety with the foreign companies which are carried out in foreign currency.
competitors of the operator, as well as predicted “ “ (the newspaper “ - SPb “ N 27/ P (4082) from 16. 02. 2009), with the big enthusiasm have apprehended a step of the leader towards increase in the prices at services SHPDI and have hastened to declare to the market the readiness to support “ Comstar - OTS “. Open Society “ Vympelcom “ has increased the prices for services of access to a network for corporate clients by 40 %. Other large capital Internet - the provider - Net by Net - has declared that too considers possibility of rise in prices both for private persons, and for corporate users. In the company do not exclude that the rise in prices will make 25 - 30 %, according to dollar exchange rate growth. In “ Ayr - a Telecom “ assume selectively, depending on region, to raise tariffs on 5 - 10 %. Other provider, “ Akado - a TV set “ gathers “ to please “ the new prices of the corporate users.
it is curious that so amicable desire of operators to increase the price occurs on noncontrollable and vysokokonkurentnom the market. However, interrogated “ - a Telecom “ experts just also name this phenomenon a consequence of a hypercompetition which was observed in the Moscow market for the last few years. Operators in a pursuit of a market share fearlessly reduced the prices for the services, to the detriment of profitability of the business. The happened financial crisis and dollar exchange rate growth in relation to rouble, is considered by analysts, and have compelled the Moscow providers, contrary to competition laws, to increase the prices for the services. Thus it is not excluded that increase “ Comstar - OTS “ the prices since March, first only trial step, market check on its elasticity. In the company already hint that the happened increase only partially compensates losses of the company from a course change of dollar and tariffs for the electric power.
the TARIFF PETERSBURG
Unlike Moscow, the local market has still kept inertia of the pre-crisis development. The Petersburg providers not that that are not going to rise in the price for the services, but even continue to carry out the marketing actions directed on attraction of new users. So, a network “ Figure “ carries out from the beginning of February the action “ four months at the price of one “ “ VestKoll “ gives a bonus in one thousand roubles at connection in Kalininsky area, Open Society “ the Broadcasting company of Sankt - the Petersburg cable television “ (TKT) has started since February, first the new tariff in which frameworks connection for speed of 2 Mbit/ second for 250 roubles a month is given to the user. The leader of the local market of broadband access of Open Society “ severo - Western a TV set “ (SZT) too has not stood aside and since February, first has lowered twice connection cost to a network for corporate clients.
thus, apparently, operators do not plan to change the strategy. Anyway, SZT, the price acting in the local market - the maker on a number of telecommunication services, is adjusted rather aggressively. In the company say what to enter any animators on the tariffs it is not planned neither in short-term, nor in long-term prospect. “ our main task is a deduction of current level of profitableness from one subscriber. In those regions where tariffs ekonomklassa are mainly used, we will increase speed of access without price change. Besides, the company has a possibility effectively to package services “ - speak in SZT. Do not plan to raise tariffs and in the Petersburg network “ Vympelcom “ (a trade mark “ a Biline “) . “ It is assured that in the Petersburg market the competition for subscribers will proceed, anyway, we are aimed at it. In new economic conditions we have an advantage before competitors. Being the integrated telecommunication operator, we will deduce special offers for our clients who will be simultaneously users of mobile communication and SHPDI “ - Yury Smagarinsky, the director for marketing of Severo - the Western region " speaks; Vympelcom “. Confidently feels and TKT. “ Our network is constructed for a long time, the basic investments are already made, direct dependence between a dollar exchange rate and expenses is not present - moreover, from - for expense crisis are reduced. Really, the equipment is bought for dollars, however it is only insignificant part of the cost price of service. The basic articles of the cost price are expressed in roubles, and still there is a reserve for their decrease. Besides, to us as to the universal operator it is easier: The basic expenses, such as rent of the areas for placing of the equipment and the electric power, at us actually share on three services: the Internet, a telephony and television. ARPU also falls in rouble expression slightly - no more than on 10 - 15 % a year; we practically do not reduce the price, so profitableness does not fall. The Current situation is critical for small the Internet - providers, we feel confidently “ - general director TKT Ruslan Yevseyev speaks.
however, operators admit, as to users it is not necessary to expect the further falling of the prices for services SHPDI. “ Tariffs for broadband access to the Internet for physical persons in Petersburg hardly will undergo serious changes, as last year. First of all it is connected by that the prices have come nearer to profitability border. Rather probably to expect change of activity of players of the market: operators will enter various additional services and services “ - the director of the Petersburg branch of Joint-Stock Company " speaks; VestKoll LTD. “ Victoria Tikhonov. As she said, 2008 was peak in market SHPDI development, and within this year the competition in the market has seriously become aggravated - at some dormitory areas in one house is present to five providers simultaneously. That the prices will not undergo essential changes in 2009, consider and in Joint-Stock Company “ Eltel “. “ We do not plan increase of tariffs for private users of services SHPDI. It can occur only in case of considerable growth of the cost price of services. But also reduction of prices too is hardly possible, I can tell that in Petersburg tariffs for services SHPDI, as a matter of fact, have already reached the bottom. I think that the further reduction of prices is presumed to themselves only by those operators who prepare the business for sale and are going to increase sharply before it volume of user`s base in a damage marzhinalnosti. The marketing initiatives connected with increase of speed of access to a network, in my opinion, of have got rid, 10 Mbit/ sek is a limiting value for operators. As to “ Eltela “ in new economic conditions we plan to involve subscribers at the expense of increase in additional media services “ - the general director " speaks; Eltela “ Dmitry Bolotinsky.
the TARIFF LETHAL
If leaders of the market will not tremble and will avoid temptation to raise tariffs for the services, it will be heaviest to endure crisis to the small companies which in aggregate occupy essential enough share of the market. We will remind that in Petersburg works more than 100 various operators, rendering services of the house Internet.
in 2005 when in a city boom SHPDI has begun, providers thought mainly of that, as though to grasp a share of the market more largely. At first it was reached at the expense of volumes of building of networks, and speed of expansion of cover zones had crucial importance. Investments into development of networks at this stage were minimum: networks were under construction on the cheap equipment consumer (instead of camera) a class, and cables were laid in the handicraft image.
however there has come the moment when cover zones of operators began to be crossed - on the one hand, everywhere has appeared ADSL “ Avant-guard “ from SZT, with another - “ Your Internet “ from TKT, with the third - numerous house networks. It has created the sharpest price competition. Access to the Internet consistently became cheaper during 2006 - 2007, for this period average cost of monthly access to the Internet, by agency Telecom Daily estimations, has decreased on the average in 3,5 - 4 times. To keep the incomes, operators have passed from a price competition to competition on speed: within all 2008 went “ War of speeds “. Keeping the size of a monthly monthly fee at a former minimum level, providers increased a lath of the maximum speed on limitless tariff plans: if in the end of 2007 the maximum offered speed at the majority of players made, as a rule, 2 Mbit/ second, today it both 10, and 15 Mbit/ second in house networks.
However, speed of access so attractive at first sight time appears only marketing dodge: it is a question not about the guaranteed speed, and only of that above which it will not rise at the expense of artificial restrictions. Meanwhile, it does not rise above the same 3 - 4 Mbit/ second at the expense of restrictions natural: quality of building of house networks was very low, and external the Internet - channels, increasing speed in tariff plans, nobody expanded.
as a result providers, and first of all small house networks, have appeared “ between the devil and the deep sea “ : On the one hand, competitive race has forced them to offer the maximum speed at floor prices, on the other hand, for performance of the obligations modernisation of networks that is now rather expensive from - for dollar exchange rate growth in relation to rouble is required. It is a little variants of development of this situation: small operators are compelled or to raise the prices and to lose subscribers, or to reduce the declared speed that too will lead to outflow of users. However, always there is a possibility of sale of user`s base to larger player.
“ now, at growth of dollar and cost of all equipment in this currency, dempingujut only those companies to which need to fill capacities of already constructed network and the standing idle equipment, owing to small density of subscribers. But taking into account a tendency of the market to migration of subscribers among different providers is very much a risky step. Or the second variant of reduction of prices: These are the large companies which have possibilities for long-term plans and maneuvers. “ Nienschanz - Houm “ plans “ to wait “ crisis - without loss of own command for the further development and keeping network building, but without active expansion. Besides, on our expectations, the market can change in the nearest half a year - year, as “ to survive “ all operators can not. Many small networks already now try to sell themselves, and many - actually at the price of the equipment “ - Dmitry Novikov, the general director " speaks; Nienschanz - Houm “. However, analysts consider, will sell business even at the price of the equipment in present conditions not simply. “ from - for saturation of the market, the strongest competition and devaluation of rouble expenses of house networks began to grow faster incomes. While profitability decrease in this segment is not critical, however already now variety of house networks have essentially toughened control over expenses. It indirectly testifies that their safety factor is insignificant. Other problem - flight from the market of investors. Even on the fallen in price house networks not so simply to find buyers “ - the general director of analytical agency " marks; Rustelekom “ Yury Brjukvin.