Benjamin Li
Jun 4, 2009

China Mobile at risk of losing users: CTR

BEIJING - China's new 3G services look set to shake up the country's mobile market, with China Mobile at risk of losing users, according to a new study by CTR.

China Mobile at risk of losing users: CTR
China Telecom is also likely to outperform China Unicom in promoting its 3G business, the research firm found.

Presently, China Mobile has a 75 per cent share of the 2G market, with China Telecom on 15 per cent and China Unicom 10 per cent.

However, when asked which 3G services they preferred, only 59 per cent of consumers named China Mobile, suggesting that the company will maintain its dominance but potentially lose some customers. Twenty-one per cent of respondents said they were still uncertain.

The likely beneficiary would be China Telecom. Eleven per cent of China Mobile users surveyed by CTR said they preferred China Telecom’s 3G offer, compared with just four per cent who said they preferred China Unicom.

China Mobile looks likely to retain the bulk of its customers, as 64 per cent of its users said they preferred the operator’s 3G service.

Only 22 per cent of Chinese mobile users say they are loyal to a certain operator, compared to 42 per cent worldwide. Thirty-four per cent of users are ‘seekers’ who look for better choices as they are not completely satisfied with the service from their current operator.

Michael Zhan, research director of CTR, commented: “Users and potential users see that 3G represents fashionable and innovative high technology, and it would enrich their experience through its multimedia functions. But there is still a long way to go. Operators need to do more in educating the mass public about the advantages of shifting from 2G to 3G; they need to make the price more competitive and enhance and widen the technology network coverage ”

The research conducted through telephone interview covered 1,909 random sample of mobile phone users across 10 major cities including Beijing, Shanghai, Guangzhou and Shenzhen.
Source:
Campaign China

Related Articles

Just Published

1 day ago

Creative Minds: Kartik Smetacek loves the simplicity...

Meet the chief creative officer at L&K Saatchi & Saatchi who can rattle off classic Timberland ad lines from memory.

1 day ago

APAC lags as Saatchi & Saatchi leads global new ...

Asia Pacific's new business market remains subdued in 2024, with pitch volumes down by a third, according to R3.

1 day ago

Amazon's ad business soars, reaching US$56 billion ...

Amazon's advertising business outpaced the company's overall growth in 2024, fuelled in part by the company's expansion into streaming advertising.

1 day ago

Meta doubles down on AI tools to boost ad performance

The platform’s new tools aim to offer guidance on AI optimisation, automation, and advertising best practices.