Telefônica Brasil S.A. (VIV): Marketing Mix Analysis [Dec-2025 Updated]

You're trying to get a clear picture of Telefônica Brasil S.A.'s late 2025 playbook, so let's skip the jargon and look straight at the four pillars driving their value. Honestly, the numbers tell a compelling story: they're locking in customers with convergence bundles that pull a R$230 ARPU from Vivo Total subscribers, all while their fiber footprint is passing 30.5 million homes and their 5G network is recognized as the fastest. I've distilled their entire market approach-from the nearly 50 million mobile accesses to their disciplined pricing-into this quick 4P breakdown, and you'll want to see how these pieces fit together for the near term.

Telefônica Brasil S.A. (VIV) - Marketing Mix: Product

You're looking at the core offerings Telefônica Brasil S.A. is pushing to the market as of late 2025. The product strategy is clearly centered on high-value connectivity and expanding the digital ecosystem around that core. It's about bundling services to lock in customers and drive up the spend per user, which is a smart play in a competitive environment.

The foundation remains the mobile base, but the focus has decisively shifted to the premium segment. The postpaid mobile segment is the engine here, showing strong growth and higher monetization. You see this in the numbers:

• Postpaid segment accesses reached approximately 50 million in the third quarter of 2025, representing 68% of the total mobile customer base.
• This postpaid base saw a year-over-year access growth of 7.3% in Q3 2025.
• Mobile ARPU (Average Revenue Per User) hit a record high of BRL 31.5 in Q3 2025, up 3.9% year-over-year, supported by upselling and data demand.
• The total mobile customer base stood at 102.9 million accesses as of Q3 2025.
• The 5G adoption story is also strong, with over 21 million customers benefiting from the network as of Q3 2025.

Connectivity is being solidified through fiber infrastructure, which is the backbone for their convergence strategy. The build-out continues to be aggressive, even as the company explores strategic acquisitions in the space.

The Vivo Total convergence bundles are where the real value capture is happening. This is defintely the key to boosting customer lifetime value and retention. The numbers show customers who bundle are stickier and spend more:

• The Vivo Total subscriber base saw an impressive year-over-year increase of 52.7% in Q3 2025.
• This convergent base now represents nearly 62% of all fiber accesses.
• For these subscribers, the cross-ARPU (Average Revenue Per User across services) reached 230 reais per month.
• On average, these convergent plans include 1.7 mobile postpaid lines per fiber connection.
• In-store sales show the push: 85% of FTTH sales bundled with mobile services.

Beyond connectivity, Telefônica Brasil S.A. is aggressively growing its digital services portfolio, both for businesses and consumers. The B2B digital segment is outpacing the core connectivity growth significantly.

For the Digital B2B services (Cloud, IoT, cybersecurity, etc.), the momentum is clear. Over the last twelve months ending Q3 2025, B2B revenues reached BRL 13.2 billion, up 15% year-over-year. The digital component is the star:

• Digital B2B revenue grew by a massive 34.2% in Q3 2025.
• This high-growth area now accounts for 8.6% of total revenues as of Q3 2025.
• A landmark event was signing the world's largest IoT deal with SavesPi in Q3 2025.

In the B2C new businesses-Fintech, Health, and electronics-the strategy is about incremental monetization on top of the connectivity base. Over the last twelve months ending Q3 2025, this segment grew by 15.3% and now contributes 3.1% of total revenues. You can see the traction in specific areas:

• Demand for music and video OTT subscriptions showed a remarkable year-over-year increase of 34.5% in Q2 2025.
• The VivoPay service is actively expanding its offerings into insurance and credit.
• The company also operates the e-Health platform, Vida V.

Finance: draft 13-week cash view by Friday.

Telefônica Brasil S.A. (VIV) - Marketing Mix: Place

Place, or distribution, for Telefônica Brasil S.A. involves deploying a massive, multi-layered network infrastructure to ensure service availability across the country, supported by a strong digital interface for sales and service.

The company's physical network backbone is characterized by aggressive fiber rollout and leading 5G deployment. As of the third quarter of 2025, Telefônica Brasil reported its fiber footprint covers 30.5 million homes nationwide, with 7.6 million homes and businesses connected to the technology, marking a 12.7% year-over-year increase in connections.

The mobile network distribution strength is evident in its 5G leadership. As of May 2025, Vivo's 5G Standalone network covered 63.2% of the population, spanning 17,184 cell sites across 562 municipalities. This network was recognized in January 2025 for delivering the fastest average 5G download speeds in Brazil, clocking in at 365.1Mbps.

The distribution strategy heavily leans on digital channels for customer acquisition and service. While the outline suggests a figure, the most recent reported real-life data indicates that new corporate digital businesses and services accounted for 11.7% of total revenue over the last 12 months ending in Q3 2025. Furthermore, the commercial strategy prioritizes the Vivo Total convergent offering, which was responsible for 85.1% of new fiber additions in stores in the last three months of Q3 2025.

The strategic partnership with FiBrasil is central to accelerating fiber expansion beyond the company's direct build. Telefônica Brasil agreed to acquire a 50% stake in FiBrasil from CDPQ for R$850 million, increasing its ownership to 75.01%, giving it greater control over this wholesale infrastructure. By the end of 2024, FiBrasil's network passed 4.6 million homes across 151 cities.

Here's a quick look at the scale of network deployment as of mid-to-late 2025:

Regarding physical touchpoints, the distribution network relies on a widespread physical retail presence and authorized dealers to drive sales, particularly for convergent bundles like Vivo Total. The success of this physical channel is reflected in the fact that 85.1% of new fiber additions in the last quarter came through stores. The company continues to manage its physical footprint to support the migration of customers from legacy copper networks to fiber, which is a key part of its post-concession strategy.

You can see how the convergent strategy links physical and digital sales channels:

• Vivo Total subscribers accounted for 85.1% of new fiber additions in stores in Q3 2025.
• Postpaid mobile customers, who are the primary target for fiber bundling, reached 69.8 million accesses in Q3 2025.
• The company's overall mobile customer base stood at 102.9 million accesses.
• The convergent base already nears 62% of all fiber access.

Finance: draft 13-week cash view by Friday.

Telefônica Brasil S.A. (VIV) - Marketing Mix: Promotion

Telefônica Brasil S.A. is actively promoting its evolution beyond a traditional carrier to become Brazilians' Favorite Digital Life Hub. This strategic positioning is supported by the growth in its digital ecosystem offerings.

The promotion heavily features the value and stickiness of the Vivo Total convergent offer. This flagship plan saw a surge of over 63.5% in Q2 2025 year-over-year, and another impressive 52.7% increase in Q3 2025 year-over-year, reinforcing the market shift to bundled solutions. The convergent base now nears 62% of all fiber access. This stickiness is quantified by churn, where Vivo Total churn is 50% lower than the already low fiber churn rate. Furthermore, cross-sell ARPU (average revenue per user) reaches R$230 per month for these subscribers, with an average gross ARPU of R$230 for convergent customers.

Leveraging external validation is a key promotional tactic, particularly around 5G leadership. In September 2025, Vivo's 5G network was recognized by OpenSignal as the fastest in the world for the second consecutive year. In the OpenSignal 5G Global Awards 2025, covering data from January 1st to June 28th, 2025, Vivo was the sole winner in large land-area markets for 5G Download Speed, delivering average speeds of 362.1Mbps. This success is built on a growing user base, with 21.4 million customers benefiting from 5G by Q3 2025, and 24% of mobile customers using 5G in Q2 2025. As of October 2025, 5G is active in 1,195 municipalities across Brazil.

Targeted upselling of digital services is evident in the rising ARPU figures. Mobile ARPU increased by 3.9% year-over-year to a record high of R$31.5 in Q3 2025, supported by upselling and growing data demand. This is complemented by the growth in the digital service revenue streams, where B2B digital services grew an impressive 34.2% over the past 12 months, contributing 8.6% of total revenues in Q3 2025. In the B2C segment, new businesses grew 15.3% over the last 12 months.

Financial strength, a silent promoter of confidence, is signaled through shareholder returns. Telefônica Brasil S.A. reported paying more than R$5.2 billion to shareholders so far in 2025 (as of Q2 2025). For context, in Q1 2025, R$2.6 billion had already been paid out by April, with a commitment to distribute another R$2 billion. The company confirmed a cash dividend of 0.30 euros per share for 2025, payable in two tranches.

Here is a summary of key promotional performance indicators from recent reports:

The company's promotional narrative is also supported by operational achievements:

• FTTH accesses reached 7.6 million, a 12.7% year-over-year increase in Q3 2025.
• Postpaid net additions reached 1,008 thousand in Q3 alone.
• Total revenue in Q3 2025 reached R$14.95 billion, up 6.5% year-over-year.
• EBITDA grew 9.0% year-over-year, with a margin of 43.4% in Q3 2025.
• The company plans to sell R$4.5 billion in copper and real estate assets.

Telefônica Brasil S.A. (VIV) - Marketing Mix: Price

Telefônica Brasil S.A. (VIV) employs a monetization strategy that includes disciplined price adjustments across both front-book and base customer segments. For instance, a price increase was executed for 40% of the hybrid customer base in August 2024, followed by another adjustment for 25% of that same segment in August 2025. Mobile ARPU (Average Revenue Per User) reached a record R$31.5 in the third quarter of 2025, marking a 3.9% increase year-over-year, or around 4% when compared year-over-year across the period. For fixed broadband (FTTH), price adjustments included a 4.5% increase for 14% of customers in January 2025 and a 9.7% increase for 22% of the base in June 2025.

This pricing power is supported by a high-value postpaid base, which comprised 67% of the total mobile customer base as of the second quarter of 2025. Postpaid service revenue showed an 8.0% growth in the third quarter of 2025, totaling R$8.4 billion, with postpaid accesses increasing 7.3% year-over-year to nearly 50 million customers.

The bundling strategy is a key driver for higher customer expenditure, particularly with the Vivo Total convergent offering. This strategy drives a high gross ARPU of R$230 per month for Vivo Total subscribers. The Vivo Total subscriber base saw an impressive 52.7% increase year-over-year in the third quarter of 2025, with the convergent base now nearing 62% of all fiber accesses. Furthermore, 85.1% of new fiber additions in stores bundled with mobile services in the third quarter.

The company justifies premium pricing through the strong performance of its high-margin B2B digital services. Revenue from Corporate Data, ICT, and Digital Services grew 22.8% year-over-year, reaching R$1.4 billion in the third quarter of 2025. Within this, Digital B2B stood out, growing 34.2% over the past 12 months, accounting for 8.6% of total revenues in the third quarter.

Telefônica Brasil S.A. (VIV) maintains a focus on a value-driven strategy to reduce customer turn in both fiber and mobile services. Postpaid churn, excluding machine-to-machine and dongles, was reported at 0.98% in the third quarter of 2025, which was the fifth consecutive quarter of reduction. For convergent customers, churn is as low as 0.7%.

Key Pricing and ARPU Metrics (Q3 2025 Data):

The success of the convergence strategy is evident in the following operational statistics:

• Vivo Total adoption up 52.7% year-over-year.
• Convergent base nears 62% of all fiber accesses.
• 85.1% of new fiber additions in stores bundled with mobile.
• Postpaid accesses reached nearly 50 million.
• Digital B2B now accounts for 8.6% of total revenues.