Global telecom spending is on the rise, expected to reach USD 1.5 trillion by 2025, with the United States alone accounting for USD 342 billion (Statista). Despite this upward trend, telecom operators face a growing concern. Telecom Average revenue per user (ARPU) is declining at a steady pace. According to PwC’s Global Telecom Outlook, ARPU across mobile, fixed broadband, and voice services is projected to fall by approximately 2% annually through 2028. This paradox—rising total revenue yet falling per-user profitability—presents a major challenge for the industry.
While data usage is growing, and the number of connected devices continues to climb, traditional revenue streams are being squeezed. Saturated markets, aggressive price competition, and the rapid expansion of over-the-top (OTT) services have significantly disrupted legacy voice and SMS income. At the same time, economic pressures such as inflation and reduced consumer spending are adding to the complexity.
Even though Statista estimates a modest 6.25% increase in global telecom ARPU by 2028, this growth won’t be evenly distributed or guaranteed. To maintain profitability, telecom operators must look beyond traditional pricing models and embrace innovative digital strategies focused on personalization, automation, and service diversification.
Platforms like moLotus, a mobile video advertising and interaction platform, are helping telcos uplift ARPU by up to 4%. By delivering direct-to-mobile, hyper-personalized video messages without the need for apps or data plans, moLotus enables operators to run customer acquisition, loyalty, upselling, cross-selling, and retention campaigns at scale and low cost. In parallel, Google Ads and Meta Ads (Facebook, Instagram) allow operators to monetize big data through search-based and social media ads. WhatsApp Business is enhancing real-time engagement and customer service, while TikTok is proving effective for reaching younger audiences with creative mobile campaigns.
These tools represent a new path forward. This article outlines five actionable techniques that can help telecom leaders increase ARPU, deepen customer relationships, and stay competitive in an evolving digital environment.
1. Turning Subscriber Data into Personalized and Customized Experiences
Telecom sector is defined by price competition and subscriber base. The personalized communication has emerged as a proven trigger for ARPU growth. As customers increasingly expect offers and services tailored to their needs, telecom operators have an opportunity to convert rich subscriber data—such as location, usage behavior, and demographics—into hyper-personalized, revenue-generating experiences.
Mobile advertising platforms like moLotus have become instrumental in enabling this shift. moLotus reaches massive telco subscriber databases via personalized 40-second mobile videos directly to users’ inboxes, without requiring apps or data plans. Campaigns can be crafted for individual users according to their name, address, etc., based on behavior or preferences, such as offering a data top-up to heavy users or selling handsets to high-value postpaid customers. This personal touch has been shown to improve loyalty, reduce churn, and boost ARPU.
Other digital platforms are also helping telcos personalize customer engagement at scale. WhatsApp Business, for example, enables real-time two-way communication between telcos and users. Operators use it to send personalized billing reminders, plan recommendations, and loyalty program updates, all via a channel customers already trust and use frequently. These contextual, conversational interactions drive conversions and increase user engagement.
TikTok, while often associated with younger audiences, is being used innovatively by some telecom brands to build brand affinity and promote upsell offers through entertaining, short-form content. Campaigns featuring localized influencer promotions, seasonal product bundles, or prepaid recharge incentives can effectively reach younger demographics, converting impressions into transactions.
According to a Deloitte study, brands that invest in personalization can generate up to 40% more revenue from their customers. These platforms—moLotus, WhatsApp, and TikTok—equip telcos with the tools to meet rising customer expectations while turning every engagement into an opportunity for monetization.
In a market where differentiation is limited by price and product parity, data-driven personalization offers telcos a meaningful way to increase per-user value. The right platform strategy allows operators not just to engage but to convert attention into revenue, transforming one-size-fits-all marketing into individualized, ARPU-enhancing experiences.
2. Reshaping Customer Journeys with Automation and Transformation
As telecom customers grow more digitally savvy, expectations around speed, simplicity, and personalization continue to rise. For operators, meeting these demands isn’t just about convenience—it’s a clear path to higher revenue per user. By automating the entire customer lifecycle, telcos can streamline service delivery, reduce operational costs, and create more valuable customer interactions.
Smart automation tools are transforming routine processes such as onboarding, renewals, reminders, upselling, and service requests. Instead of relying on manual interventions or call centers, subscribers now expect digital self-service portals, proactive reminders, and quick support—all of which reduce churn and increase the chances of additional purchases.
Advertising tools like moLotus play a key role in pushing this shift. moLotus empowers telecom operators to automate campaigns that onboard new customers, educate them about available plans, promote upgrades, and reward loyalty. A new customer, for instance, can receive an onboarding video along with a limited-time offer tailored to their usage profile. moLotus has transformed telco customer interactions, offering multiple customer response mechanisms—such as USSD, SMS, call, mgram, and web URLs—that make customer interactions easy and low-cost.
Beyond moLotus, telcos also use tools like HubSpot and Marketo for automating backend marketing workflows, CRM triggers, and retention campaigns. These platforms support customer journey mapping and lead nurturing, especially in postpaid or B2B segments. However, moLotus stands out for its mobile-native, telco-integrated automation that reaches subscribers at scale across all device types.
This level of automation not only increases efficiency, but it also enhances personalization. Process automation elevates the user experience, encouraging customers to stay longer and spend more.
In an industry where agility and margin growth are top priorities, telcos that integrate intelligent automation into their customer engagement strategies are better positioned to capture value. Streamlined, digital-first customer journeys are no longer a nice-to-have—they’re essential to increasing ARPU in a competitive, high-churn market.
3. Driving Consumer Revenue with Smarter Upselling and Cross-Selling
For telcos, increasing revenue from existing subscribers is proving more efficient than acquiring new ones. For operators focused on improving ARPU, well-executed upselling and cross-selling strategies provide a practical and scalable approach to generating incremental revenue without incurring significant cost increases.
Upselling involves identifying customers who can benefit from higher-value plans—such as those consistently reaching data limits or requiring faster speeds—and offering timely upgrades. Cross-selling, meanwhile, enables operators to introduce value-added services like OTT subscriptions, cloud storage, or insurance bundles alongside existing plans, enriching the customer relationship and unlocking new revenue streams.
Success in these areas depends on combining customer intelligence with agile campaign execution. Platforms like moLotus empower telcos to deliver unique upselling and cross-selling campaigns tailored for each customer segment. Using insights from subscriber behavior and usage patterns, moLotus enables the delivery of relevant upgrade or add-on recommendations. The platform makes it easy for customers to act instantly on an upsell or cross-sell offer, adding to customer lifetime value, uplifting ARPU.
Meta Ads and Google Ads add further depth by enabling telcos to upsell and cross-sell by retargeting users across platforms. For instance, an operator can display a device upgrade offer on Facebook to users who recently explored handsets online, or use Google’s AI-powered tools to present complementary offers based on browsing behavior or search queries.
By using these platforms strategically, telecom operators can deepen engagement, reduce churn, and increase ARPU through relevant, personalized offerings. Smarter upselling and cross-selling not only maximize customer lifetime value but also reinforce customer loyalty in an increasingly competitive market.
4. Diversifying Offerings to Strengthen Revenue Growth
As traditional telecom services face slowing growth, expanding into adjacent revenue streams has become essential for operators looking to boost ARPU. In 2025, diversification isn’t just a forward-thinking strategy—it’s a necessity to stay competitive and meet evolving customer expectations.
Telecom operators are increasingly moving beyond basic connectivity by introducing mobile advertising, digital content, and industry-specific solutions. By targeting industry verticals such as retail, healthcare, and e-commerce with tailored mobile campaigns or bundled services, telcos are unlocking new revenue channels while deepening customer relationships. These expanded offerings help mitigate the impact of price pressures and OTT disruption by creating more value per customer.
Globally scalable Platforms like moLotus are enabling telcos to execute this diversification effectively. With the ability to deliver mobile video campaigns directly to users, moLotus empowers operators to launch high-impact promotions, new service alerts, and rewards programs at scale. Its unique features allow telcos to boost ad campaigns, making it an ideal go-to-market tool, rolling out new services in both mature and emerging markets.
Complementing this approach, platforms like Meta Ads and Google Ads help telcos expand their digital footprint with tools for audience targeting, geo-personalized promotions, and cross-industry campaign management. WhatsApp Business adds a real-time engagement layer, allowing operators to initiate service upgrades, promotions, or support interactions through a direct, conversational channel.
By investing in these platforms and broadening their marketing mix, telecom operators can reduce dependency on core voice and data services, enhance customer engagement, and capture a greater share of the wallet. Diversification, driven by technology and backed by customer insight, is proving to be a reliable path to higher ARPU and long-term revenue resilience.
5. Driving Revenue Uplift Through Strategic Partnerships
With revenue from traditional telecom services under pressure, strategic partnerships have become a vital lever for telecom operators aiming to maximize ARPU. By aligning with ad tech innovators and digital marketing platforms, telcos can unlock new consumer value, diversify offerings, and scale monetization opportunities.
Collaborations with technology platforms are enabling operators to adopt advanced tools that support marketing, automated engagement, and data-driven monetization. A notable example is Telkomsel’s partnership with moLotus, which allows the operator to deliver large-scale, mobile video ad campaigns to over 170 million Indonesian subscribers, driving higher engagement and incremental revenue. Similarly, telcos like Vodafone, Airtel, Indosat Ooredoo Hutchison, and CelcomDigi are building alliances with ad tech firms to strengthen their customer strategies and generate high-margin returns.
Platforms such as Google Ads and Meta Ads equip telecoms with precision targeting and access to extensive digital ecosystems. These tools enable telcos to offer branded campaigns, resell ad inventory, or run direct promotions for third-party advertisers, turning their subscriber base into a powerful monetization asset. In parallel, WhatsApp Business has emerged as a critical channel for real-time communication and customer support, enhancing the overall user experience.
In addition to ad tech, bundling services through partnerships with streaming, gaming, and content platforms is helping telcos increase customer stickiness. These integrated packages add perceived value, encouraging users to upgrade their plans and spend more, resulting in measurable ARPU gains.
Ultimately, telecom operators that invest in meaningful, tech-driven collaborations are better positioned to adapt, innovate, and grow. Strategic partnerships not only expand their digital capabilities but also create sustained competitive advantage in an increasingly customer-centric marketplace.
Conclusion
With ARPU under pressure, telecom operators must move beyond traditional models and embrace smarter, customer-focused strategies. By adopting tools like moLotus, WhatsApp Business, etc., telcos can drive engagement, automate customer journeys, and unlock new revenue streams.
For telcos worldwide, this is the time to act. Investing in agile adtech and customer-centric innovation is the key to sustainably increasing ARPU and staying competitive in a rapidly evolving market.