Half of telecom customers prefer a package deal from a single provider

In-Stat research shows that just under half of the US residential market has purchased multiple telecommunications services as a package from a single provider, up from just one-third in 2004. However, the potential for growth of bundled services is only tepid at best, with just 14% of non-subscribers expecting to adopt them in 2006.

Providers typically scale discounts so that the more services that are purchased, the greater the savings. This strategy appears to be working, as 50% of respondents indicated that they purchase bundled services for the lower price. Significant revenue opportunities remain to further expand average revenue per user; however, new approaches are necessary to entice non-subscribers. Internet service was more often included in a bundle than local phone service or cable TV among survey respondents. This is interesting for the future of IP-based services such as Voice over IP (VoIP) and IP-based video services.