Packages: inflation encourages the French to change telecom operators

Inflation does not spare the telecom sector. Visible from 2022 on the prices of mobile packages, the price increase has won internet subscriptions. According to the latest edition of the Arcep observatory, the telecom regulator, the average bill for high or very high speed broadband (ADSL, optical fiber) has increased by 1.3 euros to reach 34.50 euros excluding tax per month. That is an annual increase of 3.7% after years of stagnation. The price of the traditional telephone service (PSTN) suffers, for its part, an increase in price of 5.6% in one year.

This increase, corroborated by the comparator ZoneADSL, could give the top start to a great game of musical chairs. With its four operators, the French market offers a wide choice of offers, boosted by permanent promotions. And consumers no longer hesitate to change suppliers as soon as the grass seems greener elsewhere, according to a study by Oliver Wyman, conducted with 7,000 customers in Europe, including a thousand in France.

This desire to move is particularly strong in our country. 51% of French subscribers plan to change their mobile phone operator, compared to 44% for the European average and only 39% in Germany. This rate rises to 64% among young adults (under 35 years of age) and drops to 38% among seniors (over 55 years of age).

Subscribers skeptical about the interest of 5G

Unsurprisingly, price is cited as the main trigger, ahead of network performance, the volume of data allocated, the quality of customer service or regional coverage. The telephone operator’s consideration of environmental issues comes only in the last position.

In this context, low-cost subscriptions should make their mark. 30% of French consumers who have subscribed to traditional packages intend to turn to brands such as Red by SFR or Sosh. Since these brands are already well established in France, the erosion remains less marked than in the United Kingdom, Spain and especially in Italy.

The innovation premium does not seem to be paying off. Only 34% of French consumers say they are willing to pay a little more for their subscription to benefit from a 5G connection. Even more annoying, almost half of consumers (48%) say they see no interest in switching to the new wireless communication standard.

The transition to fiber, an accelerating phenomenon

Operators should expect an equally high attrition rate in fixed-line services. 45% of French subscribers plan to change their internet access operator. As for mobile, young adults (60%) are more likely to cancel their subscription

Again, the price is the decisive factor. Extended offers including options such as banking services or systems to secure your home are not considered competitive advantages. Unlike 5G in mobile, optical fiber is perceived as providing real value. In fact, 68% of French people who do not yet have fiber at home plan to migrate and switch to superfast broadband over the next twelve months.

Attention, finally, to the chain reaction. In France, 70% of households have chosen the same operator for their main mobile line and broadband access. This level of mobile-fixed convergence, among the highest in Europe, could lead subscribers to cancel two contracts at once in the event of a better offer from the competition.