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Press Release
Helio had 70,000 subscribers with US$100 average revenue per user. This wireless Internet service accounted for nearly 25 percent of the total ARPU.
The company’s growth rate was more than 100 percent of what had been achieved during the previous quarter.
Helio plans to increase the number of subscribers to 250,000 by the end of 2007. This will be accomplished through new mobile product line-up enhancements and expansion of the distribution channels.
A recent Helio sales performance report confirms that SK Telecom has overcome many obstacles to penetrate the mobile communication market in the US. This is a key element for Helio in its acquisition of a firm basis for the growth of its business.
SK Telecom announced on Feb.7 that Helio had 70,000 subscribers with US$100 average revenue per user (ARPU) in an eight month period (from the beginning of service in May of 2006 to the end of 2006). In particular, the wireless Internet service accounted for nearly 25 percent of the total ARPU. (The average ARPU of the US mobile service market is about $50, with only 10 percent from wireless Internet usage). This is an indicator of success for the Helio marketing strategy, which is to concentrate more on the wireless Internet market that yields a high ARPU.
SK Telecom’s ’Helio’ enjoyed enormous success in the fourth quarter of 2006. With 70,000 subscribers, the company’s growth rate was more than 100 percent faster than what had been achieved during the previous quarter. This acceleration in growth is due to various efforts, including the introduction of ’Drift’, ’Helio’s newest device which was developed by Samsung. It features GPS-enabled services like Google Maps for mobile and ’Buddy Beacon’ (friend search). The rapid growth was also aided by greater customer satisfaction with the widening of services.
By continuing to build on the momentum established from the end of last year, ’Helio’ plans to increase its number of subscribers to 250,000 by the end of 2007. This will be accomplished through new mobile product line-up enhancements, expansion of distribution channels, and aggressive marketing. “Helio derives innovative service and marketing activities from the experience and technology of SK Telecom. Helio’s high ARPU is considered a new case study for successful marketing when compared to the conventional marketing strategy of US MVNO which mainly targets low-income families,” said Shin Bae Kim, president of SK Telecom. He then added, “I hope that the Helio service becomes an opportunity to reveal advancements in technology, as well as the exporting of cutting edge IT from Korea to the US market.”
Helio’s successful service packages such as ’Mobile MySpace’ (mobile Cyworld) and ’Buddy Beacon’ have already been recognzed for their robust technology and attractiveness as service products. Google Maps and content such as ’gift giving & wish list’ services were first delivered to the US market by ’Helio’, and they have created a huge sensation among the younger age groups.
’Helio’ chose a strategy to broaden brand recognition and acquire reliability rather than depending on aggressive marketing. Helio’s marketing activities include: events at major cities in the US to provide hands-on experiences to potential customers, as well as online marketing and advertisement campaigns geared to the tastes of target customer groups.
For the first time for an MVNO operator, ’Helio’ gained about 2,700 distribution networks throughout the U.S. in 2006. It also opened four Helio Stores in four cities last year (Santa Monica , San Diego , Palo Alto , and Denver). In a fresh approach to the US wireless industry, Helio Stores offer an entirely new retail experience in that they are built to revolve around Helio members and prospective members. This gives those that are passionate about style, and about staying in touch with friends, a place to experience Helio while they shop, browse or just hang out.
The fifth Helio Store is expected to open in New York in early 2007. Additional Helio Stores are planned for 2007 and throughout the coming years, as well. Each store will carry a portfolio of ’Helio’ devices such as the ’Hero’, ’Kickflip’, and ’Drift’.
In other areas, ’Helio’ plans to offer a total of nine varied flexible service plans for its customers. Among them, there will be All-in-Memberships, a multimedia plan with unlimited wireless Internet usage, and an ’A-La-Carte Membership’.
Sky Daton, president of Helio stated, “Helio’s marketing performances, such as the increased number of subscribers and an ARPU that far exceeds the average figures of competitors, is very satisfying. In addition, consumer satisfaction regarding our wireless Internet content is quite high. We will continue to deploy aggressive marketing strategies designed to strengthen our quality subscriber base, and secure about 100,000 subscribers by the second quarter of this year, thereby ensuring sustainable growth.”
SK Telecom announced on Feb.7 that Helio had 70,000 subscribers with US$100 average revenue per user (ARPU) in an eight month period (from the beginning of service in May of 2006 to the end of 2006). In particular, the wireless Internet service accounted for nearly 25 percent of the total ARPU. (The average ARPU of the US mobile service market is about $50, with only 10 percent from wireless Internet usage). This is an indicator of success for the Helio marketing strategy, which is to concentrate more on the wireless Internet market that yields a high ARPU.
SK Telecom’s ’Helio’ enjoyed enormous success in the fourth quarter of 2006. With 70,000 subscribers, the company’s growth rate was more than 100 percent faster than what had been achieved during the previous quarter. This acceleration in growth is due to various efforts, including the introduction of ’Drift’, ’Helio’s newest device which was developed by Samsung. It features GPS-enabled services like Google Maps for mobile and ’Buddy Beacon’ (friend search). The rapid growth was also aided by greater customer satisfaction with the widening of services.
By continuing to build on the momentum established from the end of last year, ’Helio’ plans to increase its number of subscribers to 250,000 by the end of 2007. This will be accomplished through new mobile product line-up enhancements, expansion of distribution channels, and aggressive marketing. “Helio derives innovative service and marketing activities from the experience and technology of SK Telecom. Helio’s high ARPU is considered a new case study for successful marketing when compared to the conventional marketing strategy of US MVNO which mainly targets low-income families,” said Shin Bae Kim, president of SK Telecom. He then added, “I hope that the Helio service becomes an opportunity to reveal advancements in technology, as well as the exporting of cutting edge IT from Korea to the US market.”
Helio’s successful service packages such as ’Mobile MySpace’ (mobile Cyworld) and ’Buddy Beacon’ have already been recognzed for their robust technology and attractiveness as service products. Google Maps and content such as ’gift giving & wish list’ services were first delivered to the US market by ’Helio’, and they have created a huge sensation among the younger age groups.
’Helio’ chose a strategy to broaden brand recognition and acquire reliability rather than depending on aggressive marketing. Helio’s marketing activities include: events at major cities in the US to provide hands-on experiences to potential customers, as well as online marketing and advertisement campaigns geared to the tastes of target customer groups.
For the first time for an MVNO operator, ’Helio’ gained about 2,700 distribution networks throughout the U.S. in 2006. It also opened four Helio Stores in four cities last year (Santa Monica , San Diego , Palo Alto , and Denver). In a fresh approach to the US wireless industry, Helio Stores offer an entirely new retail experience in that they are built to revolve around Helio members and prospective members. This gives those that are passionate about style, and about staying in touch with friends, a place to experience Helio while they shop, browse or just hang out.
The fifth Helio Store is expected to open in New York in early 2007. Additional Helio Stores are planned for 2007 and throughout the coming years, as well. Each store will carry a portfolio of ’Helio’ devices such as the ’Hero’, ’Kickflip’, and ’Drift’.
In other areas, ’Helio’ plans to offer a total of nine varied flexible service plans for its customers. Among them, there will be All-in-Memberships, a multimedia plan with unlimited wireless Internet usage, and an ’A-La-Carte Membership’.
Sky Daton, president of Helio stated, “Helio’s marketing performances, such as the increased number of subscribers and an ARPU that far exceeds the average figures of competitors, is very satisfying. In addition, consumer satisfaction regarding our wireless Internet content is quite high. We will continue to deploy aggressive marketing strategies designed to strengthen our quality subscriber base, and secure about 100,000 subscribers by the second quarter of this year, thereby ensuring sustainable growth.”