ENG 0.00% 89.0¢ engin limited

engin is still market leader over skype

  1. 86 Posts.
    Below is according to Market Clarity (Australia's source for telecomminications intelligence).

    The so called Skype user base has been exaggerated. Engin is infact still the market leader with the most paying subscribers in Australia.

    Feb 2007 - Engin has 44% market share (Consumer and SOHO segment) with 52,500 paying subscribers.
    refer http://www.asx.com.au/asxpdf/20070228/pdf/3116wdx08m8xth.pdf

    However, previously as at June 2006. Engin had 39,000 paying subscribers whilst Skype was then claiming 550,000 active users on their network.

    Now in July 2007 - Engin will have around 70,000 paying subscribers, this is in comparison to the current million users claimed from Skype.

    The bottom line here is that Engin is still the real market leader and any Skype figures suggested cannot be used when comparing actual paying subscribers, this is the market.
    How many people that have logged onto the Skype web site does not count in real terms of achieving paying customers, remember the dot.com over inflations.

    As long as Engin can retain market leader position for paying subscribers whilst bundling other value add-ons, then they will do very well.
    VOIP is an inevitable technology and Engin have the right plan expanding to offer consumers approx 50% off current phone, internet & pay tv expenses (not just phone).

    5 mil spent on a 3 phase advertising campaign for the next financial year is the right move for their plan ahead and Seven have provided the capital.
    This will ensure they remain unbeatable in the value offerings to the consumer whilst retaining the all important 'market leader position' in Australia.
    To date they still have managed this without the other offerings, i.e. no line rental on broadband etc.

    The difference between Engin's model and other voip providers i.e. both national & international is that Engin are not just a voip provider having to offer low margins eliminating any profit.
    Rather they are becoming the upcoming digital home provider, leveraging other profitable products with savings gained from technology benefits by combining new services in this space.

    This is a whole different and new model that currently would only work on a national scale, just as the traditonal telco's and media companies work best in thier own countries. The US is probably too big and segregated for this model at the moment but who knows, perhaps telco's and media companies will make the big mergers of the future.

    Check out yourself where Skype gets it figures from: http://www.marketclarity.com.au/
    Refer 'Scoping Australia's VoIP Services Market'
 
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