With the launch of our Movements in Telco research using transaction data to look at brand switchers, we decided to take a closer look at how the challenger brands are faring in a competitive category dominated by the big 3 players.
Smaller Telco and Internet Service Providers continue to grow their market share of the Australian market, climbing steadily from 18.4% to 22.4% since 2022.
More than one in four Australians now use services outside of the big three players, increasing their uptake by 21% over the last three years.
Of the challengers, Aussie Broadband, TPG and iiNet stand out, taking a collective 8.1% market share between them during December 2024. Aussie Broadband has continued to perform well, with shareholders responding positively after the recent announcement of Brian Maher’s promotion to CEO. TPG and iiNet, both owned by TPG Telecom, have both remained stable, the former as a low cost alternative and the latter as one of the early challengers in the Australian market.
Overall, the competition outside of the big three are slowly but surely increasing their share and penetration over time. Mobile Virtual Network Operators (MVNOs) and the independent ISPs continue to find inroads and appeal amongst consumers on pricing, simplicity, niche customer needs and perceived quality.
It’s worth a quick note to our data collection methodology: because many brands in this category bundle their services, Fonto can’t always tell whether consumer payments in this category are for mobile phone services or internet service provision. Because of this, we measure all Internet Service Provision and Telco as one category.
For more information on how we identify brand switchers from transaction data, contact us.
