When the low cost damages more than the pandemic: Orange enters less from January to September in 2021

Orange Spain collected more income during the pandemic than in this year, the year of the long-awaited recovery.

The

operator

has entered 3,544 million euros in the first nine months of 2021, 4.9% below the business it was able to generate in the previous year.

The company attributes this setback to "an increasingly difficult business environment with growing

offers

."

Specifically, during the third quarter, from July to September, revenues stood at 1,237 million euros, 4.4% below those same three months in 2020.

Orange, however, is adding customers.

"

", stressed Jean François Fallacher, CEO of Orange Spain since the summer of last year.

The French company already has 20.2 million customers in Spain, of which 16.2 million correspond to mobile and 4 million to fixed broadband.

In the innovative 5G mobile technology, Orange already has 620,000 customers.

Asked by EL MUNDO about low cost solutions in the sector's income statements, Fallacher joked: "I wish I knew." The CEO has stated that there is no choice but to be "cautious" when preparing his commercial proposals.

Orange is also "rethinking the store model", as Diego Martínez, head of the company's commercial area, recalled. Currently,

in Spain and the digital channel is gaining strength. A quarter of the traffic in Orange Spain stores has disappeared (25% in the first nine months of 2021 compared to that period of 2019, pre-covid). On the other hand,

growth

is estimated at 30% this year, and here the telecommunications company compares the data with respect to that period of 2020, when almost all commercial activity was carried out via the internet and its figures were skyrocketing.

At Vodafone Spain, which this week must conclude its negotiations for a new ERE, the company has even proposed the closure of all its own stores.

As Fallacher recalled, the company is immersed in a remodeling that has included going "

".

Amena and República Móvil have stayed on the road, which in June completed its transition to Simyo.

The latter is the commercial brand of the operator dedicated to low cost, while Jazztel focuses on the intermediate customer and Orange on the premium.

One of the star services in the high segment is the Orange TV platform, which has 693,000 clients.

In the first nine months of the previous year, this television gathered 716,000 subscribers;

however, ARPU (revenue per customer) increases.

However, clients with soccer (content that Orange bought from Telefónica, the current holder of the rights), grew in number, even 35%, according to the company's calculations.

As for the sport of the ball, Fallacher has acknowledged that Orange Spain will not attend the auction for the lots of LaLiga commercial rights, which will be distributed before the end of the year.

On previous occasions, Orange has bought back those rights from Telefónica, which won the last auctions.

According to the criteria of The Trust Project

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