Croatia Market Research

The Croatia Market research here gives us all the facts and details about the new market data which has been introduced by the telecom regulators and service providers. Due to this, there has been much revision regarding the fi... view more

Croatia Market Research

The Croatia Market research here gives us all the facts and details about the new market data which has been introduced by the telecom regulators and service providers. Due to this, there has been much revision regarding the fixed line sector as the emphasis will be on mobile and broadband services. The additional 6% tax on mobile services has also been added in research. This tax is for the aid of the government. The mobile sector is completely dominated by T-Mobile but there is tough competition from Vipnet which is owned by Telekom-Austria. The former has been facing intense competition from the latter, which has led to its market share slipping from 46.2% to 45.9% in this year itself. Furthermore, there has already been a loss of 80,000 subscribers in this year. Even on the mobile front, only 4,000 subscribers have been added to the mobile database. The total number of subscribers right now in entire Croatia is 6.06mn. But in spite of this, the economy of the country is expected to grow. This comes at the back of the economic slowdown which affected almost all countries of the world. There has been a small growth of 0.5% as compared to last year’s 5.7% decline due to the recession. Although it is not a big growth, it is reason enough for the telecom operators to feel confident.

However, there are a few weaknesses which are causing worry for the market. The apparent lingering weakness in the labor market is one of the main reasons why there won’t be a major change in consumer spending habits. There is also a further hurdle which might pose problems in the short-term outlook. Registration of prepaid sim cards is going to be introduced which would probably reduce the number of people who apply for it. But considering the huge market dependency on prepaid sim cards, this would clear confusion because there are a number of multiple sims and inactive sims floating in the market. This would help in a better and clearer understanding of the market. The research also includes mobile broadband figures so that the broadband market can also be covered in the forecast section. But due to the lower than expected prices released by the government, there has not been much data for estimation. Apart from that, the number of subscribers for mobile broadband is also very low. However, one of the major reasons for the low number of takers for mobile broadband services might also be that the recession hit the country in 2009. As a result, there are generally few takers for any kind of advanced mobile services. Recently reports have also come in that the government needs to scour up funds for the budget due to which it might be looking to offload its 3.5% stake in T-HT.