Published: January 14, 2026
2025 Telco Wrap-Up & 2026 Outlook
2025 kept the Telco industry on its toes, bringing a new wave of both challenges and opportunities. Digital traffic continued to rise, but the "easy wins" of past hardware-led growth began to fade. Instead, Telcos found themselves under mounting pressure from all sides: shareholders demanded greater returns, market saturation and evolving regulations compressed margins, and consumers increasingly prioritised value.
By diving deep into our customer data and holiday sales patterns, we take a look at how 2025 ended, and what’s in store for 2026.
Black Friday 2025 – A Microcosm of the new reality?
Black Friday 2025 reflected the year’s larger shifts - clear evidence that Telco customers are researching more deeply and holding out for the best possible value.
1. High intent but less urgency
November saw a 10% increase in traffic across our customer engines compared to 2024, yet the conversion "surge" was notably flatter. Historically, Black Friday weekend delivers massive spikes. In 2024 for instance, we saw a 25% increase in conversion rates. In 2025, that spike was a modest 8%.
Buyers are doing their homework, taking time, and making every pound count. Of users first active in November 2025, a remarkable 113% more chose to purchase during Boxing Day sales over Black Friday weekend.
2. The decline of premium handsets
Our insights revealed a 38% increase in searches for the latest iPhone over the Black Friday period. However, most consumers waited for late November deals. This reflects a broader shift in consumer behaviour, moving away from a handset-first mindset to one focused on value and flexibility.
The phone itself is no longer the primary consideration. In fact, our data indicates a 4% rise in searches for SIM-only deals compared to 2024. A trend we anticipate will only grow stronger.
3. Data over devices
Despite financial pressures prompting shoppers to compromise on premium handsets, data allowances have remained a non-negotiable priority. While the average handset value was flat compared to 2024, contract values rose by 6%, indicating that consumers are unwilling to reduce their data plans despite rising costs. We expect this trend to continue throughout 2026.
4. The rise of the value provider
This season showed how price-conscious consumers are gravitating away from premium providers. Our data showed that value-focused providers saw an impressive 21% bump in traffic over winter (December–January) and 18% more in the Boxing Day sales. In contrast, premium brands faced a 25% drop in Black Friday traffic year-over-year. The message is clear: value is winning, and provider loyalty is fluid.
This trend aligns with broader data on UK MVNOs. In 2024, digital-only channels accounted for 42% of the UK MVNO market's revenue, rising at a 15.36% (CAGR).
2026 Strategic Outlook
Looking forward, Telco’s need to remain focused on customer-centricity, meaningful technology, and true value delivery. 2026 is the year of the ‘value-driven’ consumer.
Beyond the “AI Bubble”: Proving real ROI
The AI conversation is maturing. While there’s plenty of hype, the winners in 2026 will be those moving past experimentation to deliver real business value. The "AI Bubble" only threatens those AI projects that focus on efficiency gains and deliver unclear or delayed ROI.
In 2026, Telcos need to move beyond simple support bots to AI Sales Agents capable of "Agentic Commerce." These agents can proactively find, negotiate, and personalise offers in real-time - driving more sales, higher revenue, and provable ROI.
According to research from Deloitte, 2026 will be the breakout year for these systems because they address the "messy middle" of the sales funnel - the point where prospects often drop off due to choice paralysis.
The rise of rewards
The marketing "arms race" around network speeds and coverage is losing steam. Reward schemes are stepping in as the new battleground. Consumers now want tangible value - streaming subscriptions, concert ticket access, or weekly coffee perks - over incremental improvements in reliability.
MVNOs are leading this charge, embedding lifestyle rewards that keep customers loyal and engaged. For Telco leaders, the strategy is clear: integrate rewards smartly within the sales funnel and use data intelligence to offer the right perk at the right moment. Rewarding loyalty before contract end-dates, identifying at-risk customers, and making benefits meaningful will be key to standing out.
The “Fintech-Telco” blur
The traditional boundaries between your bank account and your mobile plan are dissolving. According to Juniper Research, the MVNO market is not just growing; it is being fundamentally reshaped by Telecommunications-as-a-Service (TaaS). The barriers to entry have dropped so significantly that non-telco giants such as Nubank, Revolut, and Klarna have emerged as serious competitors in the industry.
Neobanks and MVNOs are capturing younger, digital-native audiences with effortless onboarding, transparent pricing, and embedded rewards ecosystems. For traditional Telcos, this is a call to action: embrace agility and integration across your customer journey and reimagine what the user experience looks like.
To compete with the "fintech-level" experience, MNOs must move away from rigid, legacy sales journeys. The online prospect experience needs to be rebuilt around the same principles of speed and integration that define the TaaS model.
Hyper-personalisation as the new sales engine
Personalisation is nothing new, but in 2026 the leaders will take it to a whole new level. In a market where 82% of customers state that personalisation directly influences their brand choice, generic offers are no longer just ineffective - they are a liability.
Forget static segments. True hyper-personalisation is about real-time, one-to-one orchestration. By weaving together behavioural, contextual, and location data, winning Telcos will anticipate needs and make offers feel like genuine guidance, not just clever marketing.
Research from BCG and McKinsey shows that those who get personalisation right grow revenue 10% faster than laggards. The greatest loyalty will go to brands that truly “get” their customers, tailoring plans and perks to each individual’s real life.
Conclusion
If 2025 taught us anything, it’s that the "wait and see" approach is no longer an option. The data from Black Friday wasn’t just a seasonal blip; it was a clear signal that the ground has shifted. Consumers are smarter, more diligent, and they are decoupling their loyalty from hardware. But far from being a warning sign, this shift represents an incredible opening for Telcos ready to evolve.
With the right technology in place,Telcos can successfully leverage the value of rewards, and deliver true hyper-personalisation - creating a competitive advantage that builds genuine, value-driven relationships.
