OECD_Fixed_VoiceOECD Fixed Voice

OECD Fixed Voice

OECD Fixed Voice and Leased Line Price Benchmarking May 2019

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Report Summary:

OECD Fixed Voice and Leased Line Price Benchmarking Q2 2019 update: Telmex, Mexico has the cheapest offering for low residential users, while Spain’s Telefonica is the most expensive.

The Q2 2019 OECD Fixed Voice and Leased Line Benchmarking Service update is now available for download. For a low user (making 20 calls per month, which equates to 62 minutes per month), the Prepaid Multifon 50 tariff from Telmex in Mexico is the cheapest offering across the OECD countries, at USD PPP 6.73. KT, Korea is second cheapest, at USD PPP 7.85 with its Home Infinity 3000 service. Telefonica is Spain is the most expensive, at USD PPP 54.84 with its Planazo a Fijos y a Moviles offering.

For most countries, the bulk of the cost comes from the upfront rental charge, with the variable call costs accounting for only a small proportion of the total (on average, 14%). In eight of the 37 countries, the plans are fully fixed, with no additional call charges payable. Mexico has proportionally the highest call cost, and lowest fixed cost, with fixed costs accounting for just 31% of the overall cost (= USD PPP 2.08) and call costs making up 69% of the cost (= USD PPP 4.65)

The chart below shows the cheapest tariff in each country, based on the OECD 2017 20 calls residential basket for this update.

 Lithuania is now included in the OECD Fixed Voice Price Benchmarking system, as it is now an OECD member.

The May 2019 update for Fixed Voice services incorporates the new OECD 2017 baskets. The main difference between these and the 2010 baskets is the removal of international calls in the 2017 baskets. The 2010 baskets have still been included in the system, however, although for this and future updates, international pricing will no longer be updated.

In addition to the inclusion of the new baskets, it is now possible to view the results in a wider range of currencies.

Please note: For the OECD Leased Line Price Benchmarking Service, there have been no changes to the 2010 basket methodology.

Historical pricing for the OECD countries over several years is also available. Strategy Analytics also produces benchmarking services for mobile voice, and fixed and mobile broadband, as well as bundled telecoms services and Pay TV.

If you have any difficulty using any of the functions within OECD Fixed Voice and Leased Line Price Benchmarking, or would like more information on how to get the most out of the system, please contact either:

Adrian Barrett, Analyst, Teligen: Tel: +44 1908 423 681 Email: abarrett@strategyanalytics.com

Bernadette Finn, Associate Director, Teligen. Tel: +44 1908 423 672. Email: bfinn@strategyanalytics.com

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