Banglalink's first-half revenue lowest in 4.5yrs
Banglalink logged in Tk 2,170 crore in revenue in the first half of 2018 -- the lowest in four and a half years -- as the operator's efforts to win back market share are turning out to be fruitless.
In the last six months, the operator invested Tk 3,380 crore to acquire more spectrum and expand the availability of 4G service across the country, according to Veon, its parent company.
Banglalink entered the market in 2005 as the fourth player and within a few years' time jumped to the second position on the back of a marketing blitz. Now, it is languishing in the third spot with some distance between the first and second positions.
Banglalink's struggle coincidentally comes at a time when the industry observed the landmark merger of Robi and Airtel, the third and fourth largest operators at that time.
Besides, the telecom regulator also shut down the country's oldest operator, Citycell. At the end of June, its total number of customers stood at 3.20 crore, according to the report, which was published on Thursday.
However, according to the Bangladesh Telecommunication Regulatory Commi-ssion, at the end of June Banglalink's customer base stood at 3.33 crore, accounting for a 22.04 percent share of the market.
One and a half years ago, its market share was 24.75 percent. Its average revenue per customer a month now stands at Tk 109, down from Tk 133 in December 2016, according to Veon.
“There is no doubt that prices are being lowered in the industry to try to gain customers in the short term but we are focused on providing the best connectivity and that is paying off,” said Taimur Rahman, chief corporate and regulatory affairs officer of Banglalink.
Though their overall revenue is not growing against the heavy investment but they are getting moderate growth in the data segment in recent times, according to the report.
In the first half, Banglalink saw 13.33 percent year-on-year growth in revenue in the data segment, according to the report.
Given the strong demand for data, customers will soon recognise that Banglalink is the best choice, Rahman added.
