Further drop in roaming prices: Swisscom reinforces ......Comparison of Swiss providers' prices for...

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Further drop in roaming prices: Swisscom reinforces position as cheapest provider Background information Christian Petit, Head of Swisscom Residential Customers and Member of the Swisscom Group Executive Board 20 September 2011

Transcript of Further drop in roaming prices: Swisscom reinforces ......Comparison of Swiss providers' prices for...

Page 1: Further drop in roaming prices: Swisscom reinforces ......Comparison of Swiss providers' prices for data roaming in Europe Standard tariffs Options Swisscom CHF 7.00 (5MB/24h) CHF

Further drop in roaming prices: Swisscom reinforces position as cheapest provider

Background informationChristian Petit, Head of Swisscom Residential Customers and Member of the Swisscom Group Executive Board20 September 2011

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1'500.0

1'600.0

1'700.0

1'800.0

2009 2010 2011

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Customers are increasingly using their mobile phones also when abroad

When travelling, customers want to • stay connected with Switzerland• keep track of their costs• enjoy fair conditions

Total number of active roaming customers in peak travel month of July (x 1000)

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What has Swisscom done to date?

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Swisscom is the only Swiss provider to have continually lowered its roaming prices in Europe and worldwide

Voice price reduction in Europe -40%

Price reduction Voice in Europe -35% (Option Euro Passport) and SMS

Simplification and greater transparency with country zonesMore attractive prices with first roaming option (Vodafone World)

Data -30% (standard prices)

2004

2006

2007

2009

2010 Data up to -80% (new price model)

Voice, SMS, Data up to - 80% (World Option flex)

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Price transparency & cost tracking at Swisscom

As soon as they cross the border, customers receive an SMS containing information on tariffs for the country they are visiting

Messages Edit

Roaming tariffs forEU/EEA

NEW. Full control of datacosts when abroad. Free athttp://drt.swisscom.chYour World Option FlextariffsCalls in the EU and to CH: 0.60 per min.Receiving calls: 0.30 per min.SMS: 0.20, MMS 0.40 -

SendRe

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Simple cockpit for greater cost security

• Free access to data roaming cockpit at http://drt.swisscom.ch• The standard limit is CHF 200 for mobile surfing when abroad• individually adjustable• Overview of monthly costs incurred for data roaming• Real-time cost tracking

Costs incurred in July: CHF 90Credit remaining until limit reached: CHF 110

Data roaming settings

Status: 29.07.2011 10:10 (CH time)

Current basic tariff

Data roaming:

Use data packages only:

Text notification, all:

Monthly limit:

Activated

Deactivated

CHF 50

CHF 200

World Option flexCHF 7 (10MB/24h)

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Optimum cost tracking thanks to continual SMS notifications

• SMS notification at CHF 50 intervalsfor mobile surfing abroad

• SMS notification when 70% of personal cost limit has been reached

Close

Message from SWISSCOMYou have just passed the dataroaming expense level of CHF 50 for this month. You can continueusing data roaming services up to the limit of CHF 200…(CHF

Press «View» to read the wholemessage.

View

Phone Mail Calendar Messages

Monday

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No unexpectedly high bills thanks to cost tracking

• SMS notification when data roaming cost limit has been reached• No more data roaming allowed• Personal limit can be adjusted at any time in the data roaming cockpit

Close

Message from SWISSCOMYou have just reached your pre-defined data roaming limit of CHF 200. All data roaming trafficincurring charges is nowblocked…200…(CHF 200)…

Press «View» to read the wholemessage:

View

Phone Mail Calendar Messages

Monday

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Thanks to price transparencyand cost tracking

fewer customer queries concerning roaming bills

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Where does Swisscom stand

today?

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Germany France UK Italy Austria Egypt Brazil China Thailand Turkey USA

Swisscom

Sunrise

Orange

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Swisscom is by far the cheapest roaming provider in Switzerland

Comparison of Swiss providers' prices for outgoing calls to Switzerland from abroad

CHF per min.

Status July 2011

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1.95 €/MB

(T Mobile worldwide)

Also compared to providers outside Switzerland, Swisscom offers very attractive terms

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On the beach in Nice: 8 Europeans – 1 megabyte

Swisscom customers have more money to spend on ice cream: They surf in Europe for the standard tariff at extremely attractive conditions.

* Average standard tariff, residential customers; exchange rate on 08.09.2011 (1€ = 1.20688 CHF / 1£ = € 1.13674)

6.63 €/MB

(T Travel Data)

Sergiofrom Switzerland (Orange)

2.01 €/MB

(Standard tariff)*

Eliane from Switzerland (CH. Swisscom)

3.49 €/MB

(Using Data abroad

– Pay Monthly)

William from the UK (Telefonica/O2)

12.93 €/MB

(Standard tariff)

Tanjafrom Switzerland (Sunrise)

3.50 €/MB

(Tarieven

buitenland)

Gustaaffrom the Netherlands(with KPN)

8.19 €/MB

(Costi standard

Internet e Mail)

Angela from Italy (with Telekom Italia)

2.97 €/MB

(A1 Mobile

worldwide Data)

Wolfgangfrom Austria (Telekom Austria)

Jochen from Germany (Deutsche Telekom)

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What does Swisscom plan to do in future?

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0.00

0.20

0.40

0.60

0.80

1.00

1 July 2011 1 Oct 2011 1 July 2012 1 July 2013 1 July 2014

Standard tariffWorld Option flex

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Swisscom's promise to customers: prices will continue to drop in the future

• Between now and 2014, Swisscom customers will enjoy annual reductions of 5 cents per minute for telephoning within Europe

• This represents a price reduction of around CHF 30 million

2011-2014: -24%

2011-2014: -33%

CHF per min.

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Swisscom is committed to affordable communications for its customers – also when abroad

• From 2012, prepaid customers abroad will also be able to communicate more cheaply by mobile phone

• Swisscom also intends to gradually lower its data roaming pricesover the coming years

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Backup

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Swisscom offers by far the lowest standard tariffs for mobile surfing in Europe

Comparison of Swiss providers' prices for data roaming in Europe

Standard tariffs Options

SwisscomCHF 7.00 (5MB/24h) CHF 7.00 (10MB/24h, World Option flex)

SunriseCHF 15.50 (1MB) CHF 4.40 (1MB, Sunrise Roaming )

OrangeCHF 8.00 (1MB) CHF 4.00 (2MB/day, Travel Data daily )

Status July 2011

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0.10

0.20

0.30

0.40

0.50

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Standard tariff Option tariff

Swisscom

Sunrise

Orange

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The cost of sending SMS messages in Europe is by far the lowest with Swisscom

Comparison of SMS standard tariffs in Europe

CHF/SMS

Status July 2011

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Swisscom offers globally competitive tariffs for telephony

CHF per min.

Comparison of European providers' prices (standard tariffs) for outgoing phone calls from abroad to the country of origin

Status July 2011 Exchange rate on 08.09.2011 (1€ = 1.20688 CHF / 1£ = € 1.13674)Differences in purchasing power not taken into account

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Egypt Australia Brasil China Croatia Russia Thailand Turkey US

Telekom Austria (A1)

Deutsche Telekom (T Mobile)

Telekom Italia (TIM)

KPN Niederlande

O2 (UK)

Swisscom residential customer tariff in the respective country (CHF 3.70 or 2.20 per min.)

CHF per minute

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0.20

0.40

0.60

0.80

1.00

1.20

Egypt Australia Brazil China Croatia Russia Thailand Turkey USA

Telekom Austria (A1)

Deutsche Telekom (T Mobile)

Telekom Italia (TIM)

KPN Niederlande

O2 (UK)

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SMS standard tariffs for non-EU countries – Swisscom is one of the cheapest providers

Status July 2011 Exchange rate on 08.09.2011 (1€ = 1.20688 CHF / 1£ = € 1.13674)Differences in purchasing power not taken into account

Comparison of European providers' prices (standard tariffs) for SMS messaging in non-EU countries

Swisscom residential customer tariff in the respective country (CHF 0.40 per SMS)

CHF per SMS

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5.00

10.00

15.00

20.00

25.00

30.00

35.00

40.00

45.00

50.00

Egypt Australia Brazil China Croatia Russia Thailand Turkey USA

Telekom Austria (A1)

Deutsche Telekom (T Mobile)

Telekom Italia (TIM)

KPN Niederlande

O2 (UK)

Swisscom residential customer tariff in the respective country (CHF 4.12 per MB)

CHF per MB

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Swisscom is the cheapest data roaming provider - by a long shot

Status July 2011 Exchange rate on 08.09.2011 (1€ = 1.20688 CHF / 1£ = € 1.13674)Differences in purchasing power not taken into account

Comparison of European providers' prices (standard tariffs) for data roaming in non-EU countries

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In the latest OECD report on data roaming, Switzerland comes out extremely well: prices are well below the OECD average

Comparison of European providers' prices for 1 MB of data transfer (average standard tariffs per country)

including differences in purchasing power, not including massive price reductions by Swisscom in December 2010

* Targeted average price in the residential segment in OECD countries for the months of April to August 2011. Conversion to USD at exchange rate on 12.09.2011: 1CHF = USD 1.13051

USD per MB

OECDaverage

Swisscom average*