Vodafone, as we told you at the beginning of June, is a fallen giant that had everything to succeed in Spain and become a leading operator. Luckily, before it was too late, the company has new owners and at the helm a person who led Jazztel to success. Below, we will analyze the latest portability figures for the month of June in which we see the first green shoots in Vodafone thanks to Lowi.
The red operator is going through a turbulent period in Spain. The arrival of Zegona as the new owner is a breath of fresh air. The main problem is that they still have many things to do and many changes to implement. Without going any further, they have a ERE in sight that will affect 40% of the workforce and that will mean a tough clash with the unions in their negotiations. Luckily, it is always better to face complicated situations with some green shoots, just like what happened last June.
Lowi beats Digi on its own turf
As we have said, everything is much easier if we start to see the first green shoots and the company headed by José Miguel García is seeing them. It must be made clear that they have not come out of the red in terms of portability, there is still a lot of work to do. But they have come out of a critical situation by reducing the monthly loss of lines by half.
Vodafone was losing around 45,000 mobile lines every month, a figure that is not sustainable over time and that is a true reflection of the situation. However, a June that was much better than the previous ones has led the operator to lose “only” 27,000 mobile lines. It is clear that they are still in the red, but they have reduced their losses by almost half.
The great advocate of this improvement is called Lowi. Vodafone’s second brand is going from strength to strength and the launch of the fit fibre has been a success. These rates were launched with the aim of competing with Digi and its low cost, and it seems that they have succeeded. Lowi’s net increases have grown a lot in June and have been key to reducing losses.
On the other side of the coin we have Digi. The Romanian operator remains unstoppable, but is already noticing the effect of its rivals’ moves. It had been gaining around 65,000 mobile lines every month and in June it has reduced that number to 50,000 lines. The losses have continued, but it has registered fewer net increases to the benefit of Lowi and other operators.
In short, at Vodafone we see the first green shoots beginning to appear, although portability figures are still negative. The good performance of Lowi is the main positive news within the red operator that is growing at the expense of Digi. The management of José Miguel García is already serving to straighten out Vodafone’s progress. It is true that it will take time, but the portability figures seem to indicate that the operator is beginning to take off.
