According to Vincent Maher, CEO of Broadbrand, in markets like South Africa, where the number of active mobile connections exceeds the total population at 112% penetration, the potential for branded Mobile Virtual Network Operators (MVNOs) is massive.
Already, retail and financial services players are using telco infrastructure not just to sell SIM cards, but to drive customer loyalty, reduce churn, and open new revenue streams, all while staying in full control of the relationship.
There are customer value management platforms that are built specifically for telco environments, and that give brands what traditional marketing platforms are unable to: telco-native tools for segmentation, churn prediction, real-time engagement, and campaign execution without relying on third-party data or external media buys.
Why MVNOs Are A Marketing Play
Think of the MVNO as a first-party marketing engine. It allows brands to:
– Collect telco-grade data on customer location, usage, recharge behaviour, and more.
– Run direct campaigns via SMS, push notifications, or zero-rated offers.
– Drive retention with exclusive bundles or loyalty perks.
– Cross-sell core products using network-led insights (e.g. insurance top-ups, data bundles for content use).
– Experiment with pricing, bundling, and even AI-powered support in a controlled digital environment.
In global markets, we are seeing niche MVNOs succeed by going deep into customer identity, whether targeting youth, gig workers, rural segments, or fan communities. In South Africa, the success of players like DSTV Internet proves the model: you already own the customer. Now own the interaction.
Automation Makes The Difference
The secret to unlocking this value lies in automation. There are platforms that function as an ‘always-on’ engine for customer value management. Brands can identify at-risk users through machine learning, trigger retention flows based on recharge patterns, or launch seasonal campaigns all without needing a large marketing team or external media spend.
More importantly, because it runs within the MVNO environment, data never leaves your ecosystem. It is secure, compliant, and instantly actionable. And in a world of tightening privacy regulation, MVNOs offer a compliant path to owning first-party engagement.
A Wake-Up Call For Marketers
As digital advertising costs rise and privacy regulations tighten, relying on platforms like Google and Meta to reach your own customers is becoming both expensive and ineffective. For brands with existing scale and community, launching an MVNO has become an important part of marketing.
We are seeing increased appetite across sectors: retailers with loyalty apps, banks with transactional data, and media companies with engaged audiences to name just a few. The ones that act now will not just reduce their dependence on paid media but own the pipeline for personalised engagement, recurring revenue, and long-term brand equity.
Africa is a mobile first continent. Many African countries experience mobile internet access rates exceeding 90%, with some reaching as high as 98.7% in South Africa. Therefore the future of marketing is telco-powered. For South African brands ready to take control, the MVNO becomes the platform on which to build this potential and gain better customer insight and relevance which can lead to higher wallet share through personalisation.
BROADBRAND
https://broadbrand.ai
