Quick Take: MTV Trax EE SIM Bundle
There are two gaping holes in the digital music landscape: 1) a wide range of products for mass market consumers, 2) telco music bundles for pre-pay mobile customers. MusicQubed has just taken a stab at addressing both with a MTV Trax pre-pay SIM bundle with UK mobile carrier EE. For £15 a month users get 7GB of data, texts and minutes and full access to the MTV Trax curated playlist service.
As we revealed in our Telco Music report the number of telco music bundles has more than doubled, up from 43 live partnerships in 2013 to 105 in 2015. But they are virtually all post-pay and are predominately targeted at high spending users, which typically means they are older and also most often male. Thus telco music strategy has been great at unlocking older males, less good at everyone else. Meanwhile pre-pay customers (who tend to be younger and more into music) get treated like second class citizens, seeing all the premium content bundles offered to post-pay subscribers but nothing for them.
This is the market that the MTV Trax EE SIM bundle is targeted at, giving pre-pay mobile subscribers the sort of premium music experience normally reserved for post-pay customers. Selling to music subscriptions to mass market customers is no easy task because free is the biggest competition. But selling 7GB of data for £15 a month with music as a deal sweetener is a much easier sell. Telcos will be watching the deal closely because it could it provide the blueprint for a whole new category of telco music bundles.