CUSTOMER BEHAVIOUR

4G LTE
VIETNAM
Tam Le, Chairman, IDG Vietnam & ASEAN
July 27, 2017
1
Customer Behaviour
4G LTE Vietnam 2017

• RESEARCH OBJECTIVES & METHODOLOGY

• BEHAVIOUR & EXPERIENCES
• CUSTOMER SATISFACTION MEASUREMENT
• ANALYSIS AND SUGGESTIONS

2
 Consists of 8
questions, April 1st – July 1 st
including 2
groups of 24
questions and
2017
answers.

13,828 3 periods
Successful Responses
From 40,000 Samples.

3
 Interview results
41%
2%
20%
29%
4%
Location Job 7%
3% 1%
47% 4% 8%
4%
1%
4% 25%
Ha Noi Ho Chi Minh City Can Tho Student House Helper Self Employment
Hai Phong Dong Nai Da Nang Teacher Doctor Engineer
Binh Duong Vung Tau Manual Labour Accountant Other

4
 Interview results

14% 38%
27%
17%
Income Age
1% 3%
7% 5%
51%
26%
11%

< 3 mil VND 3 - 5 mil VND 5 - 10 mil VND

15 to 20 21 to 30 31 to 40 41 to 50 51 to 60 > 60
10 - 20 mil VND > 20 mil VND

5
Who use 4G and numbers ?
•88% Hanoi & HCM City
•74% Students, Self Emp’t & Manual Labor
•51% Income 5-10mil VND/monthly
•38% Age from 21-30

6
 Interview results
52%

13,828
Responses

4G User

27%
21%

VIETTEL MOBIFONE VINAPHONE

7
 2015 got trial license Trial licensing from Got trial license
Trail licensing in 4G, efforts to install October 2015, official
and implement 4G
in 2015 from MIC
2015 & debut in licensing and
PhuQuoc/Kien stations to changing 4G SIM but not ready for
Giang, developing nationwide, official from July 2016. providing 4G
well market in Hanoi launch in April. Strongly growth in services yet.
from November last Numbers of new 4 HCM City by end of
year, slow SIM and upgrading 2016. More than 1
developing 4G cards up to 4million million 4G SIM
Stations but & about 2mil users activated and spent $
providing high purchased 4G for 4G effectively
quality @ prime packages
areas. Less than
million 4G activated

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 Price premium is
increasing linked
to higher speeds &
lots more benefits
79k$ month 70k$ month 70k$ month & much more as
2G, 30’ voice free 2G 2.4G
UNLIMITED
10k$ day 10k$ day 10k$ day VIDEOS ON
YOUTUBE
2G 300Mb 1.5G FACEBOOK FREE
WITHOUT
Regular: Regular: Regular: BANDWITH…
75$/50Kb 60$/1 Mb 75$/50Kb

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 LEVEL OF NEEDS FROM CUSTOMERS ON
4G DATA SPEED 13 828 users commented that 4G
services meet their needs as follows:

50%
37%
Most largest 3 groups
feedback on 4G service
responded Very high & High
from their requirement/needs:

Student: 52% 6.1%

5.7%
Self employment: 46% 0.8%
Manual labour: 35%
Very High High Normal low Very Low

1
CUSTOMERS COMMENT ON 4G INTERNET QUALITY

13,828 users comment on 4G quality is as follows:

47%
41%
Quality ratio on 4G
services at High & Very high
from 3 groups:

Income 3-5 mil: 55%

Self employment: 51.9% 6.1%
4.8%
Hanoi Area 50.2% 1%

Very high High Normal Low Quality Poor Quality

Quality

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Customer
Behaviour &
Experiences
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CUSTOMER BENEFITS AND USAGE ON 4G SERVICES (TABLE 1)

44.8%
42.3%

39.8%
35.3%
31.8%

31.4%
28.7%
25.8%
25.3%

18.6%
15.9%
15.5%

12.1%

9.1%
7.5%
5.9%
5.8%

1.9%

1.6%
0.8%

1. MOBILE SOCIAL 2. ONLINE TV, MOVIES 3. LISTEN TO MUSIC 4. ONLINE MOBILE GAMES
NETWORK (FACEBOOK,
TWITTER…)

Very often usually sometimes Rarely do not use

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CUSTOMER BENEFITS AND USAGE ON 4G SERVICES (TABLE 2)

31.2%

29.3%

28.9%
27.7%
23.5%
23.1%

22.3%
22.2%

23.3%
23.0%

22.6%
22.3%

20.3%

20.2%

19.2%
16.6%

6.4%
6.0%

6.0%

6.0%
5. ONLINE PAYMENT 6. E-COMMERCE 7. MOBILE ADVERTISING 8. VIDEO CONFERENCE

Very Often Often Sometimes Rarely Not at all

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CUSTOMER BENEFITS AND USAGE ON 4G SERVICES (TABLE 3)

48.7%
41.0%
34.2%
33.6%
32.6%

31.6%

30.7%
23.3%

23.9%
15.8%

14.9%
14.1%
13.2%
12.1%

9.3%

7.1%
5.9%

4.5%
2.3%

1.2%
9. READ EBOOK 10. VIDEO AND AUDIO CALL 11. WIFI HOTSPOT 12. OTHER APPLICATIONS
(SKYPE, VIBER, ZALO…)

Very Often Usually Sometimes Rarely Do Not Use

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WHAT BENEFITS & TOOLS USING 4G FOR ?
68%
64%
60%
56% 54%
45%
41%

29% 28% 30% 29% 30%

Mobile social networks (Facebook, Twitter…) Online TV, movies

Listen to music Online mobile games
Online payment Mobile commerce
Mobile advertising Video conference
Read ebook Video and Audio call (Skype, Viber…)
Wifi hotspot Other applications

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Customer
Satisfaction &
Feedbacks
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SATISFACTION MEASUREMENT OF SERVICE CRITERIA 4G (GROUP 1)

52.2%

44.4%

43.0%
41.6%
38.9%
37.0%

34.4%
30.6%
12.9%

12.1%
11.4%

10.1%

9.1%
8.5%
6.2%
3.4%

0.8%

1.5%
1.0%

1.0%
1. SIGNAL STRENGTH 2. SIGNAL COVERAGE 3. SIGNAL STABILITY 4. STABLE CONNECTION
DURING PEAK HOURS
(HOLIDAYS, WEEKEND)

Very satisfied Satisfied Normal unsatisfied Very unsatisfied

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 Self Employment

56%
(Deliver, Uber,
Grab…) are satisfied
Stability, with the stability of

Stability … 4G.

and Operators need to improve their quality of signal

stability to draw 37% of customers “confuse" into
“fully trusted/Confident" of services

More
Stability 7%
of this sector are
unsatisfied about the
stability of 4G.

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SATISFACTION MEASUREMENT OF SERVICE CRITERIA 4G (GROUP 2)

47.8%
47.6%

41.6%
41.5%

41.2%
40.1%

37.8%
38.1%
10.6%

10.0%

9.9%
9.5%

6.2%

6.1%
4.5%

3.8%
1.3%

1.2%

0.6%
0.5%
5. DOWNLOAD 6. UPLOAD 7. 4G FOR ONLINE TV, 8. 4G FOR USE SOCIAL
MOVIES NETWORKING & TESTING
(FACEBOOK, INSTAGRAM,
TWITTER, ...)
Very Satisfied Satisfied Normal Unsatisfied Very Unsatisfied

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 58%
of the mobile
Gamers/
Entertainment are
What do the satisfied and above
with the 4G speed.
mobile
Gamers / 33% said “no comments”.

Entertainment
say about the
9%
of this sector are

4G speed? unsatisfied about the

4G speed.

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SATISFACTION MEASUREMENT OF SERVICE CRITERIA 4G (GROUP 3)

41.7%

40.0%

40.2%
40.1%
39.3%
39.3%

37.8%
34.4%

14.1%
13.4%

10.0%

9.4%
8.9%

8.5%
6.7%

5.6%
3.8%

2.6%

2.3%
1.8%
9. PRICE/COST EASY TO CHANGE & 11. MARKETING & 12. CALL CENTRE AND
UPGRADE SIM PROMOTION SERVICE SHOPS

Very Satisfied Satisfied Normal Unsatisfied Very unsatisfied

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 17%
End users
Dissatisfied on
End Users package and price
most complain for 4G

and negative
feedbacks on
Price/Cost 4G?
81%
End Users expected
more promotion and
marketing campaign
for 4G

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Customer Conclusion

29% 56%
CUSTOMERS USE 4G FOR CUSTOMERS USE 4G
WORK (payment, FOR ENTERTAINMENT
commerce, advertising, (social network, movies,
conference) TV, music, gaming)
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 What are key drivers for
Operators LTE take off

Key factors to accelerate

revenue and quality
Operators have to improve the quality of the Mobile
Broadband experience and drive revenue from voice
to data usage and leverage rural areas where fix line
not available.
Customer perspective: Give more high speed internet
for trial and experiences and increasing number of
regular customers or post paid ones. Successful
operators smartly approach high and medium income
segment

Operators need to improve 4G service network Combine with 4G Smartphone devices to launch or
coverage, expanding the reach of the new service to coordinate to Education sector and self develop more
the potential customers as lower income, ages, apps for users and entertainment sector
hospitality, transportations, airports, station.

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Thank You

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