Telekom Austria tests targeted MVNO strategy with Fenercell Austria

Telekom Austria's domestic unit A1 added a new mobile virtual network operator (MVNO) to its roster after signing up a subsidiary of Turkish football club Fenerbahce.

Fenercell Austria, which is classified as a branded reseller rather than a full MVNO, has designed a "fan tariff" for the 40,000 Turkish-speaking Fenerbahce fans in Austria, and is thus targeting a very clearly defined customer segment in the Austrian mobile market.

The Austrian operator said that if Fenercell Austria's market entry in Austria proves successful, A1 would look for additional partnerships with MVNOs that are looking to reach very specific consumer groups.

A1 currently has one "full" MVNO and five branded resellers on its network. "If the partner and the model fits for us, we are really happy to serve new MVNOs," said a spokesperson for the operator.

A1 noted that Fenercell Austria's "fan tariff" will enable the target customers to reduce their SIM cards from two to one: they typically use one SIM card for domestic calls and a second to call their home country.

Hakan Demir, general manager of Fenercell, said the partnership with A1 will enable tailor-made telephone services to "build a bridge" between the Austrian Fenerbahce fans and Turkey.

"In order to meet the demand of our Turkish football fans abroad, Fenercell's partnership with A1 and its market entry in Austria marks a first important step towards connections in Europe," Demir added.

A1 will provide all necessary network components as well as relevant billing and invoicing services. Fenercell will be responsible for all marketing and sales activities.

Earlier in March, Tele2 unveiled plans to again offer mobile services in Austria after reaching a deal to establish MVNO on T-Mobile Austria's network.

The company has provided few details thus far, saying only that it would provide nationwide network coverage for the business-to-business segment in the second half of 2015.

Business models for MVNOs range from "Full MVNOs" such as Virgin Mobile, which take on more network management activities, to brand partnerships such as Red Bull Mobile. Some of the newer business models include ad-funded MVNOs and the likes of Giffgaff, which is a community-based MVNO on the O2 UK network (albeit also owned by O2).

For more:
- see this Telekom Austria release

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