Page 102 - Performance Leadership

Chapter 6 One Version of the Truth • 91

F igur e 6.1
Visualization of ARPU Definitions at E-plus

AIPU Business Reporting Analytical
• Subscription fee ARPU ARPU ARPU
• Bundle fee
• Options fee
• Minutes
• Roaming
• Value-added services
• Data services
• Incoming revenue

• Roaming visitors
• Corrections on previous month
• Continued corrections

services,” such as paid 0900 numbers, and data services. The income
from prepaid phones mainly comes from the actual minutes spent from
the prepaid credit.
There is another revenue stream, coming from other telecom oper-
ators. Every time an E-plus customer is called by a non-E-plus cus-
tomer, a part of the revenue generated for the other telecom operator
goes to E-plus (“interconnection revenue”). This amount can be as
high as 20 to 30 percent of all revenue per user. As it is not shown on
the invoice to the customer, it is not part of AIPU. The combination
of AIPU and incoming revenue is called business ARPU.
Subscribers of foreign telecom operators generate traffic within the
E-plus network while using the E-plus network in Germany. The result-
ing revenue stream is “in-roaming revenue.” These revenues are equally
split over the E-plus users and contribute to their ARPU. As of this
moment, the ARPU ratio is not “clean” anymore as the ARPU contains
elements from different users. Furthermore, every month there are cor-
rections. Not every telecom operator that E-plus works with is able to
send a daily update of call detail records of the roaming or intercon-
nection revenues for E-plus users. Every month these revenues are esti-
mated and later corrected with the actual numbers. As these estimations
are aggregated and not calculated on the subscriber level, the ARPU
number reported at monthly closing is not precise. The business ARPU