K4 investing 1 billion to become the number 1 MVNO in Thailand

Written by
Allan T. Rasmussen
Published on
May 7, 2024
K4 investing 1 billion to become the number 1 MVNO in Thailand

Madam Tae (“มาดามเต๋”) from the MVNO K4 SIM is investing THB 1 billion, targeting about 2 million of the mobile connections in Thailand.

K4 Communication Company Limited, is a Thai company distributing products related to telecommunication - such as mobile phones and smartwatches, while its mobile virtual network operator (MVNO), operating under the brand “K4 SIM”, is taking care of connecting people and the devices, according to its slogan "K4 new way for all Gen”.”


Ruengrudee Laksanahut "Madam Tae", Chair of the Executive Board at K4 Communication, and her team has over the past months, traveled around the various regions in Thailand to promote the MVNO, as well as announcing the investment of THB 1 billion (US 27.1M) in marketing, targeting a market share of minimum 2% - or about 2 million of the total mobile connections in Thailand.

At the company’s one year anniversary celebrations, Madam Tae underlined the commitment to make K4 SIM the number one MVNO in Thailand and said, ”This year, we set the company's sales target at THB 3 billion (USD 81.3M), which is considered to be a huge jump in sales. We also focus on developing a fully digital sales and service model that benefits both dealers and service users. We have distributors spread throughout every province to sell our products and provide comprehensive services to customers.”

The MVNO provides mobile phone services via the 2100 MHz and 2300 MHz frequencies, at the state telecom operator National Telecommunications Pcl. (NT), the only network operator providing access to MVNOs in Thailand.

At the anniversary event, which include performances from a range of famous artists, K4 was also giving away prizes, as a thank you to its distributors, including devices, e-bikes, gold, a Suzuki car and a BMW 530E M SPORT.

https://www.youtube.com/watch?v=TDIcf5oW6Yc

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In a formal letter submitted to the NBTC, the Consumer Council emphasized the necessity for a comprehensive stakeholder consultation before proceeding with the auction, which encompasses the 850 MHz, 1500 MHz, 1800 MHz, 2100 MHz, 2300 MHz, and 26 GHz frequency bands.

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Thailand’s Consumer Council (TCC) has issued a strong appeal to the National Broadcasting and Telecommunications Commission (NBTC), urging the postponement of the upcoming mobile spectrum auction.

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66.17M 99.41M 150% 72%
Population Mobile Connections Mobile Penetration Prepaid Market Share
As of 2021 EoY 2021 EoY 2021 EoY 2021
66.17M 99.41M 150% 72%
Population Mobile Connections Mobile Penetration Prepaid Market Share
As of 2021 EoY 2021 EoY 2021 EoY 2021

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66.17M 99.41M
Population Mobile Connections
As of 2021 EoY 2021

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19.67M
5G Package Subscriptions

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Market Year Acquirer Target Subs Deal Per/Sub
Denmark 2003 TDC Telmore 460K €53.7M €117
Germany 2003 Carphone Warehouse Hutchison 540K €52M €96
Norway 2004 TeliaSonera Chess/Sense 405K €185M €457
Sweden 2004 TeliaSonera Sense 1.8M €189M €104
Denmark 2004 Sonofon CBB 437K €17.5M €40
UK 2006 NTL Virgin UK 3.3M €1.06bn €318
Germany 2007 Vodafone AG Allmobility 404K €25M €62
Switzerland 2008 Sunrise Tele2 525K €33M €63
France 2009 Virgin Tele2 400K €56M €140

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MVNO/Service price VOICE (THB/minute)* DATA (THB/MB) SMS (THB/SMS) MMS (THB/MMS)
Penguin SIM (Prepaid) 0.9 0.45 2 No service
I-Kool 3G (Prepaid) 0.8 0.24 1.75 No service
Feels (Prepaid) 0.77 0.21 1.8 No service
Redone (Postpaid*) 0.62 0.05 No SMS promotion in main package No service
MVNOs blended 0.77 0.24 1.85 No service
MNOs (AIS, TRUE, NT) blended** 0.6 0.16 0.89 2.33

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MNO MVNO
APPROACH
Mass Marketing Analytics Marketing
TARGET SEGMENT
Any customer
is a good customer
Each customer cluster has
a different addressable value
APPEAL
Standard
“One-size-fits-all”
Cater to needs that are specific to
each customer, or each segment
VALUE PROPOSITION
Broad value proposition
“Build it and they will come”
Value proposition tailored
to each target customer’s needs
COMMUNICATION STYLE
Broadcasting
to the market
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and respond to their ideas

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