As at December 31, 2006, Vodacom Group recorded 28.2 million customers across its networks operating in South Africa, Tanzania, the Democratic Republic of the Congo, Lesotho and Mozambique, reflecting a 9.5% increase in the three months since September 30, 2006. The growth in the customer base is a result of high gross customer connections of 4.5 million for the three months since September 30, 2006. The Group's non-South African operations comprised 6.4 million customers, or 22.7% of the total customer base.
South Africa
South Africa includes the operations of Vodacom South Africa and the Smartphone SP (Pty) Limited Group.
South Africa increased its customer base by 7.8% since September 30, 2006 to 21.8 million customers of which 2.9 million are contract customers and 18.8 million are prepaid customers, reflecting increases of 6.7% and 8.0% since September 30, 2006, respectively.
To date customers joining the Vodacom network together with customers leaving the Vodacom network due to number portability have totalled about 20,000. This is less than the number of new connections which Vodacom usually activates in any one day. As far as contract customers are concerned, Vodacom has gained twice as many as it has lost through number portability, and as far as prepaid customers are concerned it has lost more than it has gained.
Vodacom South Africa has retained is leadership in a highly competitive South African mobile communications market with an estimated market share of 58% on December 31, 2006. The SIM card penetration of the cellular industry in South Africa is now an estimated 80% of the population.
South Africa customers, year-to-date ARPU, churn, 3 month inactive customers and estimated market share as at December 31, 2006 compared to September 30, 2006 are as follows:
South Africa |
Septmber 30,2006 |
December 31, 2006
%Change | |
|---|---|---|---|
Customers (thousands) |
20.201 | 21.785 | 7.8 |
| Contracts | 2,675 | 2,854 | 6.7 |
| Prepaid | 17,440 | 18,840 | 8.0 |
| Community services | 86 | 91 | 5.8 |
| ARPU (ZAR) | 124 | 127 | 2.4 |
| Contract | 528 | 524 | (0.8) |
| Prepaid | 61 | 64 | 4.9 |
| Community services | 1,017 | 960 | (5.6) |
| Churn (%) | 43,0 | 37.9 | (5.1 pts) |
| Contract | 11,0 | 10.3 | (0.7 pts) |
| Prepaid | 47,7 | 42.1 | (5.6 pts) |
| 3 Month inactive customer (%) | 10.2 | 9.7 | (0.5 pts) |
| Estimated market share (%) | 59 | 56 | (1.0 pts) |
Non South Africa
Vodacom's non-South African operations increased their total customer base by 15.7% since September 30, 2006 to 6.4 million customers. Satisfactory customer growth was achieved in all Vodacom's non-South African operations.
Vodacom's non-South African operations' customers, year-to-date ARPU, churn and estimated market share as at December 31, 2006 compared to September 30, 2006 are as follows:
South Africa |
Septmber 30,2006 |
December 31, 2006
%Change | |
|---|---|---|---|
| Vodacom Tanzania | |||
Customers (thousands) |
2,593 | 2,973 | 14.7 |
| Contracts | 12 | 13 | 8.3 |
| Prepaid | 2,573 | 2,951 | 14.7 |
| Public Phone | 8 | 9 | 12.5 |
| ARPU (ZAR) | 53 | 53 | - |
| Churn(%) | 35.2 | 35.5 | 0.3 pts |
| Estimated market share | 55 | 55 | - |
| Vodacom Congo | |||
Customers (thousands) |
2,027 | 2,332 | 15.0 |
| Contracts | 16 | 16 | - |
| Prepaid | 1,988 | 2,290 | 15.2 |
| Public Phone | 23 | 26 | 13.0 |
| ARPU (ZAR) | 83 | 81 | (2.4) |
| Churn(%) | 30.0 | 30.4 | 0.4 pts |
| Estimated market share (%) | 49 | 49 | - |
| Vodacom Lesetho | |||
Customers (thousands) |
238 | 261 | 9.7 |
| Contracts | 3 | 3 | - |
| Prepaid | 231 | 254 | 10.0 |
| Public Phone | 4 | 4 | - |
| ARPU (ZAR) | 76 | 77 | 1.3 |
| Churns(%) | 20.5 | 19.7 | (0.8 pts) |
| Estimated market share (%) | 80 | 80 | - |
| Vodacom Mozambique | |||
Customers (thousands) |
694 | 856 | 23.3 |
| Contracts | 11 | 13 | 18.2 |
| Prepaid | 682 | 842 | 23.5 |
| Public phones | 1 | 1 | - |
| ARPU (ZAR) | 27 | 29 | 7.4 |
| Churns(%) | 41.8 | 45.8 | 4.0 pts |
| Estimated market share (%) | 33 | 35 | 2.0 |