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Pyramid Research Market Report Abstract

Transforming Triple Play: Key Lessons and Best Practices for Winning RGU Strategies
Pricing: US$2,990 Single user license, PDF




The triple play model has grown in popularity over the past few years, as cable companies and telcos seek to further monetize existing customer relationships and diversify revenue streams. In this report, we analyze the value of the multi-play proposition, with an emphasis on a number of key questions, most notably, is triple play indispensable?

The answer is not as straightforward as it may seem. Through analytical case studies of existing triple play bundles, we examine the key ingredients in creating successful triple play models.We focus on pricing, discounting, content, the strategic approach to triple play, as well as key performance indicators and bottom line impact. We make the following key arguments (supported by data and case studies), among others:

  • In our view, the concept of subscriber will increasingly become insignificant as an indicator of carrier operational performance. What we see is the emergence of the “revenue generating unit” (RGU), a concept that focuses on the number of core applications sold to an individual subscriber.

  • Triple play bundles do not compensate for deficient individual packages. One of the key lessons of our research and case studies is that triple play bundles (even when discounted) cannot hide the deficiencies of individual components in a competitive market.

  • In the triple play stakes, incumbent telcos are mistakenly focused on protecting the (wrong) core. Consequently, cable carriers (and a number of alternative telcos) have taken a strong lead in service bundling. In a context in which VoIP adoption is accelerating, such approaches to triple play are out of step with market dynamics.

  • Quadruple play is a fallacy. The concept of quadruple play assumes that a single carrier would be offering four applications (fixed voice, broadband internet access, Pay TV/Video, and mobile) through a single, bundled subscription. A number of points make it unlikely that this offering will be rapidly picked up over the medium term. First, triple play is complicated enough...

  • We do not believe that discounts are a prerequisite to successful bundled triple play; just as (if not more) powerful are service differentiation and a segmented approach to pricing. 

Target Audience

Fixed Operators: Assess the financial implications and long-term positioning strategies to develop a successful triple play offering. The detailed analysis of IPTV, the final piece in the telco triple play, includes assessments of technology, content and user expectations. The in depth case studies will help you assess competition and indentify telco triple play best practices. Use the included market forecasts to quantify the market opportunity.

Cable Companies: Through case study analysis and market forecasts, identify best practices to drive penetration of triple play subscribers and mitigate competitive risk from fixed telcos. Use the included market forecasts to quantify the market opportunity.

Vendors: Position your solutions to triple play service providers through a clear assessment of the impact of triple play solutions on their operational performance.

Investors: This report will help you assess the short and long-term financial prospects for triple play providers by determining the characteristics of the successful and profitable carrier as well as market conditions.

Mobile Operators: Assess the threat of future multi-play providers like NTL using mobile voice in their bundles. Develop your strategy now to minimize the risk of churn to telcos and cablecos offering mobile voice as a key component of their strategy.

Case Studies Included


  • Verizon

  • Chunghwa Telecom

  • KPN

  • Telstra


  • Free Telecom

  • Fastweb


  • Comcast

  • NTL

  • VTR

  • Telenet

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