The new Work and Play package from Vodafone offers a second residential broadband line to both new and existing customers, with prices starting from £23/month for a 35Mbps Superfast Fibre connection and rising to £33/pm for their 63Mbps package.
With the rising trend of home working amid the Covid-19 crisis, such a package will enable residential customers to dedicate one broadband line to their home office and another one for their entertainment needs.
The second line strategy by Vodafone follows a similar move by BT in June 2020. BT’s ‘Dedicated Connection’ service is similarly aimed at those working from home – with this service sold on the basis of securing a more reliable Internet for the entire household.
Vodafone is the third-largest player in the UK mobile market with a 20.3% subscriber share in 2019. Although expanding, its stake in the fixed services segment is by comparison still limited, with the telco controlling only 2.5% of the total fixed broadband subscriptions in 2019.
Vodafone could leverage the Work and Play package to further spur household customers acquisition. Demand for Vodafone’s fixed broadband services has indeed been increasing, with the telco reporting 74,000 net customer additions in Q2 2020.
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The second line service could further support this trend alongside boosting residential ARPUs. Furthermore, the service could also be offered as part of converged packages, in a multi service more-for-more approach.