5G reshaping video streaming and AR usage in South Africa: Ericsson report

The advent of 5G is significantly impacting video streaming and augmented reality (AR) usage in South Africa. The enhanced capabilities of video and AR applications are driving the surge in user engagement, according to Ericsson's new ConsumerLab report titled "5G Value: Turning performance into loyalty", which reveals some unique insights and consumer trends about 5G in the country.

The research reflects the views of 1,220 consumers surveyed in South Africa, including over 370 active 5G customers. It also represents the views of 4 million 5G users and 26 million consumers in the country. 

"South Africa is among the countries experiencing 5G growth, providing remarkable prospects for communication service providers to leverage and monetize. As highlighted in the report, there is a growing user satisfaction with network performance and an impressive impact of the 5G network on video streaming and augmented reality usage. What is particularly intriguing is how 5G network performance shapes consumer loyalty, making superior service a key factor for customer retention," said Hossam Kandeel, Vice President, Head of Global Customer Unit MTN and Customer Unit MTN Africa at Ericsson Market Area Middle East and Africa.

Other key findings from the Ericsson report include:

5G progress is elevating consumer satisfaction

5G is elevating overall user satisfaction by a remarkable 32 percent compared to 4G. 5G satisfaction is also increasing 3 percent YoY, with 48 percent of 5G users being very satisfied with their 5G experience, the report says.

5G performance influences consumer loyalty

Network performance at key locations is heavily influencing consumer loyalty in 5G. In South Africa, 17 percent of 5G users have switched service providers since the launch of 5G and 50 percent of them did so primarily due to the 5G network's performance. The main performance-related reasons for switching included network speed and stability of mobile data connectivity.

5G consumers are willing to pay premiums for differentiated connectivity

5G consumers in South Africa are willing to pay premiums for an enhanced connectivity experience. Smartphone users are willing to pay an average premium of 17 percent for app bundles in 5G, a 16 percent premium for the quality of service-led offerings.