Car rental Duni, Bulgaria

DUNI, PLDT and KOR

DUNI's leading twelve-month trailing twelve-week revenue (from 30 September2019) of kr125m has declined marginally by -17 percent compared to the same period last year. Additionally, this year's average revenue growth rate was lower than the average revenue growth rate over the last five years of +4.4%, meaning that the current rate at which DUNI is increasing its market share is slowing down significantly.

DUNI is still growing its market share. However, the pace at which it is doing so has been decreasing. This is evident in DUNI's overall market share statistics, including a decline of 5.4 percentage points for the year (from 25.2 % to 22.3 %). To the extent that the declining trend continues, it will not be surprising to see DUNI decline further still, and possibly be left in fifth place by the end of the decade, with the likes of NEX and PLDT as its main competitors.

Another point of concern is that DUNI's market share figures indicate that this year, despite its continuing growth, it is likely to lose out in terms of kr between DENT, KOR and PLDT in terms of sales volume. In other words, DUNI will continue to be left behind in terms of market share by the three Japanese giants, which are now well established players in the global telecoms sector.

On the other hand, DUNI faces a greater challenge in overcoming the challenge posed by its two rivals, namely NEX and PLDT. This is especially so if it is unable to successfully compete with its pricing structure, its strong brand and its extensive network of low-cost, quality services. There may also be a potential slowdown in its expansion plans, due to the continuing challenges posed by the Japanese giants.

The biggest problem for DUNI lies in the fact that it needs to compete with KOR. KOR's deep penetration in the Indian market means that it already has access to an audience of customers who can buy all its products and services. If DUNI cannot find a way to get its name recognised in the Indian market, then its chances of increasing its market share will also become slim.

It is clear that if DUNI wants to maintain its overall market share over the next few years, it will need to come up with a plan to gain a more prominent position in the Indian telecom market, and compete with its competitors. It would be in its best interests, therefore, to focus on increasing its brand value by building a more credible reputation in India and developing new areas where there is a dearth of competition, as well as developing new and complementary products.