Vivo cleaned prepaid base and gets negative net adds in October
Vivo adopted new rules to shut off prepaid cellulars. The operator started to turn off prepaid accesses that:
Based in this new policy the company cleaned its clients base what drove to net adds of -852 thousand prepaid mobile subscribers in October.
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The process initiated in September, when Vivo registered net adds of -0.5 thousand prepaid accesses. In October, the carrier showed negative postpaid net adds in 55 of the 67 area codes in which Brazil is divided into.
Claro and Oi led prepaid net adds in the last two months, but TIM remains as leader in the accumulated net adds for the year, despite of the negative net adds gotten in October.
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By this result, TIM consolidates itself as the leader in prepaid market share. The difference between Tim and Vivo now reaches 1.0 million prepaid subscription (October).
However, prepaid market share must to be analyzed carefully since the criteria for shutting off clients aren't the same. Inside a mature market like the Brazilian, the unification of the criteria would be important so we could have a real view of the market.
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Vivo made up for part of the negative net adds registered in prepaid by getting the leadership in postpaid net adds.
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Vivo leads postpaid net adds accumulated in the year, holding 2.2 million subscribers in the year, followed by Oi (1.9 million) and TIM (1.1 million). Claro accumulated only 86 thousand postpaid accesses in the first ten months of the year.
In October, Claro (which counted 472 thousand net adds) was placed as leader in net adds, followed by Oi (458 thousand), TIM (52 thousand) and Vivo (- 525 thousand). TIM and Vivo continues to lead net adds in the year.
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Brazil ended Oct/12 with 259.3 million mobile accesses and density of 131.70 cell./100 inhab. Net adds of 436.3 thousand subscriptions in the month are among the lowest ones registered in the last 10 years. Postpaid is showing good performance. The fall in net adds happens inside the prepaid segment in which operators (not only Vivo) are cleaning the clients base.
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Net adds accumulated in the last 12 months totalized 27.7 million mobile accesses in September, indicating that 2012 is likely to present net adds inferior to 25 million subscribers.
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