MVNOs World will shine a spotlight on the difference between success and failure

Here’s a stat to make you sit up and think: Prescient Strategic Insight’s latest research indicates that the MVNO market will reach a staggering $155 billion valuation, up from roughly $92 billion valuation today.

These figures should grab the attention of everyone attending MVNOs World. They not only reflect the pace of change we’ve seen in the last twelve months but remind us just how dynamic and fast-growing the industry is.

A surge like this doesn’t happen by accident. In mature markets, consolidation among mobile network operators (MNOs) is creating space for MVNOs to step in as a competitive counterbalance. As we’ve seen in multiple continents, regulators often encourage, if not enforce MVNO participation to promote consumer choice and maintain healthy competition.

Meanwhile, in less developed markets, regulators are increasingly saying ‘yes’ to MVNOs in a bid to challenge the more dominant operators and stimulate innovation.

It’s no surprise that the broader MVNx ecosystem, including firms like Graystone Strategy, is experiencing a boom in activity. We’re engaged in numerous assignments with brands from around the world who need help to take a new idea to market or take a success story into a new region.

But while the opportunity is significant, launching an MVNO is far from a guaranteed success story. It remains a complex and risky venture that demands careful planning, strong differentiation, and long-term commitment. The conference agenda is packed with case studies that reflect this.

I don’t think it matters if you’ve been in the industry 25 years, or 25 weeks, you’ll know that the telecoms industry has long been criticised for poor customer experience, lack of transparency, and slow innovation.

However, among the speakers will be MVNOs that harnessed entrepreneurial spirit to challenge that status quo. There are MVNOs transforming markets and customer perception by saying ‘we can do it better’. They are rethinking the model from the ground up.

A standout example is Honest Mobile, which is a true disruptor in the UK market. The idea is simple - solve patchy network coverage by selling customers a single SIM that gives them access to four networks.

It instantly struck a chord with customers frustrated by unreliable signal, and since an appearance on Dragons' Den (the UK equivalent of Shark Tank) the brand’s visibility and growth have rocketed.

But it’s not only entrepreneurs who are leading the charge. Established brands are pursuing MVNO strategies to unlock further customer lifetime value. Retailers, for example, can leverage their existing customer base to offer competitively priced mobile services.

This not only generates a new revenue stream but also strengthens customer loyalty, especially when integrated with rewards programmes. Recent moves in Europe by Lidl and 1Global highlight how supermarkets are embracing this strategy to drive both telecom and core retail growth. I personally think the retail MVNO market could surge in the next 18-24 months as a result of this news.

In financial services, MVNOs are being used to deepen customer relationships. Digital banks like Revolut and Monzo intend to use telecom offerings to complement their premium services. In Revolut’s case, the strategy has evolved further, with broader eSIM offerings that tap into the trust customers have and leverage it’s easy digital-first service model.

Then there are the companies we don’t hear about day-to-day but are using the connectivity layer to enhance the user experience for industrial and consumer products. This is particularly true in sectors like IoT and wearables. By owning the connectivity, they can optimise performance, reliability, and user experience to deliver a seamless connected experience without users having to consider networks, plans or SIMs.

One of the most exciting areas we’ll learn more about at conference is the travel eSIM market. It’s something of a gold rush now, with companies from across industries including travel, transport, retail and fintech, launching tailored connectivity solutions for international travellers.

The appeal is obvious. Travellers want simple, affordable connectivity without the pain of roaming charges. Travel eSIMs deliver exactly that and for MVNOs they represent a quick way to get into a market and establish a brand before evolving the product set.

I think we can expect to see increased consumer adoption as more people look to save money on roaming.

eSIM for travel is something traditional MNOs have struggled with, unsure of how their own proposition could complement or hinder their core roaming products. But we are starting to see a shift, with some making the move to launch their own eSIM products and adjust propositions to meet roaming revenue targets. It could all lead to consolidation in the long term, especially if regulators tighten oversight. However, for now, competitive offers are worth their while.

Despite all these positive indicators, and promises of growth, the MVNO market isn’t for the feint hearted and it’s certainly not something you can treat as a side project. Success requires strategic clarity, dedicated resources, and more often than not, expert guidance.

If you were to ask me what the biggest mistakes fledging MVNOs make, it would be to jump straight into technology discussions without first defining a value proposition. You must always ask yourself ‘Why would customers choose our service? What problem are we solving? How are we different?’

In fact, at Graystone Strategy we say there are five essential stages to launching an MVNO and every one of them starts with the customer need and experience. You must understand the opportunity and be sure it really does exist so you can build a compelling and valid business case. With that in hand you can then consider operator engagement and identify a way to deliver it technically and operationally. But more crucially, when you have built it, you must be able to sustain your brand and keep it relevant.

Sadly, I’ve seen many organisations get this wrong and struggle to get the backing of a host because they don’t have the right strategic foundations in place. So, for those seriously considering the MVNO route, education is key.

Don’t leave it to chance.

The MVNO market is full of promise, but whether you’re an entrepreneur looking to disrupt or an established brand seeking growth, success depends on more than just spotting an opportunity. It requires discipline, differentiation, and a deep understanding of your customer.

Industry events like MVNOs World provide valuable opportunities to learn from seasoned experts with decades of global experience. Even better, the free MVNO Masterclasses that Graystone Strategy will be running on day 1 of the conference, give the practical insights into what works, what doesn’t, and how to build a sustainable, successful strategy.

Don’t leave the future of your MVNO to chance, explore the masterclass topics and secure your free place at one or all of them.