GLOBE Telecom was able to overcome global market predictions of a financial slowdown in the telecommunications industry after its overall service revenues rose steadily in the past five years. This was propelled by innovative mobile strategies such as customized mobile plans and promos, wider content offerings and streamlined customer experience.
In 2013, analysts from Ovum, London-based independent consultancy firm specializing in telecommunications, predicted that no other region in the world but Africa will see revenue growth at a compounded annual growth rate (CAGR) above three percent between 2012 and 2018. It added that service revenues of operators globally will contract in 2018 for the first time in the history of mobile.
With strong mobile strategies in place, Globe witnessed a 9.1 percent CAGR for its overall service revenues from 2014 to 2018, outperforming its main competitor and the local telco industry during the same period. Globe Telecom’s CAGR in the past five years was also higher than the 5.6 percent it recorded from 2009 to 2013. CAGR shows the rate of return of an investment over a certain period of time.
“We are proud that our strategy of disrupting the telco business model delivered consistent financial results in the past five years. With our unwavering commitment to bring our customers better quality of experience, we will continue making positive strides in the ICT and digital space. We will step up our efforts on managing costs, growing revenues, and driving efficiencies to fuel further our digitalization efforts for our customers,” said Globe president and chief executive officer Ernest Cu.
The company’s growth in service revenues is key in fueling investments for better innovations in digital solutions, wider access to content, more bundled offers, and better quality of user experience. (PR)