Time for multiplay? An analysis of bundling services in the Swedish telecommunications markets

This paper provides an analysis explaining the factors that determine the consumer's decision on bundling service in the Swedish telecommunications market. A multinomial model is employed to examine empirically whether the discount, service provider and socio-economic factors can explain the consumer's decision. The data from a national survey in 2009 commissioned by Post- och Telestyrelsen (PTS), the Swedish telecommunications regulator, are used for the analysis. Based on the findings, the discount, service provider and level of income have a potential impact on the decision to buy bundling services. Every service provider has a different strength in bundling services that depends on its core business. Telia would be better off offering triple-play while others may need to focus on double-play.