LG Uplus joins bigger wireless carriers in battlefield of subscription-based service

[Photo provided by LG Uplus Corp.]

LG Uplus joined its bigger wireless rivals in the new battlefield of subscription-based services.

The company on Thursday launched “Udok” to draw its phone subscribers to wider non-telecom services.

Through the Udok platform, users on LG Uplus wireless policy can connect to 31 services from 24 partner companies – ranging from over-the-top (OTT) services like Netflix, Disney+ and Tving to food and delivery services including Yogiyo, illy and GS25 and leisure and shopping services like Olive Young and Socar.

The new service platform focuses to improve user experiences of its customers. There are no basic, mandatory services offered in a bundle, and thus customers are allowed to select services they want without limit.

For example, those who enjoy watching OTT service contents can subscribe Tving and YouTube Premium, single-living households illy and Washswat, and women with babies Disney+ and Olive Young.

Subscription cancellation is simple. One-stop platform My Gudok allows users convenient sign-up and cancellation processes and easy check in service fees.

“We’ll keep bringing the second and third lifestyle platforms beyond Udok. LG Uplus will not stay as a company selling products and services but will transform into an innovator for new customer experience,” said Chung Suehyun, executive vice president and head of consumer company at LG Uplus.

With LG Uplus’ advance into the business, market competition in the country’s subscription-based service market is expected to be fiercer. According to KT Economics & Management Research Institute, the domestic subscription-based service market is estimated to grow to 100 trillion won ($75.6 billion) in 2025 from 40.1 trillion won in 2020 and 25.9 trillion won in 2016.

SK Telecom Co. launched subscription-based platform “T Universe” with services offered by its partners including online malls and video streaming services for the first time among local mobile carriers in August last year.

Its partners have increased to some-50 from initial 18, and the monthly active users hover above 1.2 million.

KT Corp. offers a subscription platform for OTT services like Netflix, Disney+, YouTube Premium and Tving at a monthly discount of 1,000 won.

With subscription-based service platform, Korea’s top three telecom companies are aiming to build brand loyalty in more customers while making it easier to collect customer data amid strengthened user privacy regulations. Based on cumulative user data, they can seek for more business opportunities and synergy effect with product recommendations and customized advertisings.

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