NEtwork Media Management and Optimization Lab. Analysis of price plan changes Taehyun Kim

NEtwork Media Management and Optimization Lab. KT strategy Contents Price plan changes SKT strategy Problem

NEtwork Media Management and Optimization Lab. Price plan changes Membership price changes Voice plan changes Data plan changes

NEtwork Media Management and Optimization Lab. Membership price changes SKT 55,000  40,000 won (27% off) 30,000  24,000 won ( ) No change KT LGT

NEtwork Media Management and Optimization Lab. Voice plan changes The way of SKT's price : 10sec to 1sec (KT, LGT NO change)  1 person can save 2,665won per month, Family(2.9people) can save 7,730 won per month. KT : Fixed Mobile Convergence (FMC) Phone ( )   34,8% off for Voice, 88% off for Data

NEtwork Media Management and Optimization Lab. Data plan changes KT : 2.01  0.25won per packet (88% off) / Smart phone ( ) ‘Smart sponsor’ : Phone aid  price discount Must use ‘ 음성다량요금제 ’ or ‘ 스마트폰 요금제 ’. 2,500 ∼ 20,000won discount per month depends on plans, 6,000 ∼ 11,000won additional discount benefit depends on period. ‘Smart sponsor’ : No promise policy during 3 years discount period. Teens price plan ‘Al cap150’ Message : 15 al  10 al / page. ‘Al cap junior’ : Basic price 10% off for elementary school students. Price plan for smart phone : ‘Show smart 100/500/1000‘ Fixed price : 5,000 ∼ 1,5000 won, Free wireless data 500MB ∼ 1000MB

NEtwork Media Management and Optimization Lab. New price plans of SKT Customized : Specific user benefits enhanced Integrated : Voice/Message/Data / WCDMA(3G)/Wibro

NEtwork Media Management and Optimization Lab. New plan 1 (SKT) Program for superior Users  Used more than 2 years, promise to use 12month or 24month, and use more than 29,000won/month. Then users can save 3,000 won ~ 22,000 won per month.

NEtwork Media Management and Optimization Lab. New plan 2 (SKT) PPS (Pre paid Service) plan : 62 won to 48 won per 10 sec (23% off) ‘PPS light’  : Basic : 166won/day, Voice : 39won/10sec, SMS : 22won/page ‘PPS plus’  : Basic : 266won/day, Voice : 34won/10sec, SMS 22won/page ‘PPS friends’  : Basic : 300won/day, Voice collected 3 numbers 25won/10sec, Others 50won/10sec, SMS : 22won/page

NEtwork Media Management and Optimization Lab. New plan 3 (SKT) ‘Number 1’ Users who use mobile phone a lot such as self- employed, freelace. price : 110,000won / month Free Voice : 11,000Min (Out of net 1,000Min) Voice price : 14won / 10sec

NEtwork Media Management and Optimization Lab. New plan 4 (SKT) ‘Ting PLUS’ Plan : For young people (Teens) price : 15,000~30,000 Won Free use : 20,000~75,000won (Voice/Video/Message/Wireless internet) (15,000  20,000 / 20,000  30,000 / 25,000  50,000 / 30,000  75,000)

NEtwork Media Management and Optimization Lab. New plan 5 (SKT) ‘Safe data 100/150/190 control’ Fixed price : 10,000 won  100MB (Before, 28MB) 15,000 won  500MB (Before, 42MB) 19,000won  2GB (Before 23,500won  1GB) Both smart phone and regular phone can regist. ‘Maximum protection’ If user need to use more : 0.2won per 0.5KB

NEtwork Media Management and Optimization Lab.

New plan 6 (SKT) Voice·Message·Data Integrated ‘All-In-One’ price35,000 ~ 95,000won Free voice150~1,000Min Free Message150~500 Free data100MB~2GB

NEtwork Media Management and Optimization Lab.

New plan 7 (SKT) Integrated price plan : WCDMA(3G) & Wibro ‘T-Login regular/premium control’

NEtwork Media Management and Optimization Lab.

KT Strategy FMC (Fixed Mobile Convergence) 3W (Wifi + Wibro + WCDMA)

NEtwork Media Management and Optimization Lab. KT Strategy i-Phone : 150,000 in 3 weeks. (1 st in korea) ARPU by iPhone users : 44,366won ARPU by KT users : 30,749won  iPhone users use wireless data much more. And they expect to use internet by wi-fi ( 한국 투자증권 )

NEtwork Media Management and Optimization Lab. Wireless data in USA Smart Phone market is growing explosively. Verizon wireless’ wireless data income : $4.1 billion (42.8%↑) AT&T’s wireless data income : $3.6 billion (33.6%↑)  Smart phone & FMC

NEtwork Media Management and Optimization Lab. Global top 10

NEtwork Media Management and Optimization Lab. Total changes 1.7 trillion won ↓ (2010), 2.1 trillion won↓ (2011) (Korea Communications Commission) 1 person can save 2,665won per month, Family(2.9people) can save 7,730won per month.

NEtwork Media Management and Optimization Lab. Problem It doesn’t contain message price plan Users might not be recognized these policies

NEtwork Media Management and Optimization Lab.