Despite Negative Growth Celcom Remains Optimistic

Revenue performance season hasn’t been very friendly for the telecommunication sector for the first quarter this year in fact the incumbents have been witnessing drops since last year and things continue to be uncertain for the rest of 2017.

Celcom Axiata just reported its Q1 ending March 31 with mixed performance report, while its revenue dipped by 2.2% to RM1.609 billion the management were consoled by the reduced erosion compared to Q4 2016 numbers. CEO Michael Kuehner shared his sentiment viewing the situation as a stabilisation in a competitive and shrinking market. Other listed telco’s have also reported decline in revenue across the board due to intense challenges from new players and higher cost of new network expenditure.

During As for the how the telco had lost 300,000 subscribers in just three months, Deputy CEO Azwan pointed out the contraction in customer base was due the purging of its database and also primarily from its prepaid segment. The decline was also affected by limited brand visibility and distribution challenges, which are being addressed. Celcom currently has 10.5 million user base remaining as the third with Digi and Maxis leading the pack. Positively the take-up on enhanced postpaid offerings such as Celcom First Gold 80 and Celcom First Platinum, helped the company grow its postpaid revenue.

Moving forward

Placing customers in the centre of its ‘Amazing’ experience strategy, Celcom will continue to expand the 4G LTE coverage at the same time investing new technology like LTE Advance and was one of the first operators to live trial 5G delivering over 18GB speeds. It also a roadmap to test 700 Mbps throughput technology by mid-2018 and LTE Advanced Pro (Standard 4.5G with 1 Gbps throughput), by mid- 2019.

With network rationalisation on track, Kuehner and team are looking into plans that give customers the best experience using Celcom. Recently launched packages like Kaw Kaw, Walla for prepaid and Celcom First Gold and Platinum are some of the innovative examples customers an expect from the telco.


This year, Celcom will continue to strengthen its brand presence and build long-term capabilities in the digital space, revolutionise its customer relationship management and concurrently enhance customer focus to deliver its promise of an amazing customer experience underpinned by digitisation.

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