Aussie Broadband introduces digital challenger brand, Buddy

Aussie Broadband has introduced a digital challenger brand called Buddy, enabling customers to manage their connection completely via an app, website and live chat.

The brand officially launched on Monday with the telco stating Buddy is meant to disrupt the NBN market in Australia, “targeting 4 million households out of the estimated total addressable NBN market of approximately 8.3 million [pdf].”

An Aussie Broadband spokesperson told Digital Nation that“a key point of difference with Buddy is the digital self-service model, as opposed to the premium support and service provided by Aussie Broadband."

“We are targeting consumers who we know are digitally savvy, and simply want a good value, easy to connect, and reliable internet service,” the spokesperson said.

The Aussie Broadband spokesperson added that while they can’t go into all the specifics, “Buddy Telco will use elements of AI incorporated into live chat functionality”.

“There are also aspects of machine learning built into the network management, analytics and other backend functions that monitor the user experience,” the spokesperson added.

At this stage, the company is “all focused” on ensuring the Buddy Telco launch “is as successful as possible.”

The new brand has set a goal of 100,000 customers within three years while not distracting from its main brand market. 

The new service operates on a self-service basis only and is underpinned by the Aussie Broadband network with connection to all 121 NBN POIs and the Aussie Fibre support.

The company also stated given the self-service model, backed by automation and AI, pricing will be highly competitive”.

Aussie Broadband is expected to invest around $10 million in marketing and brand-related costs across FY25 and “provide positive EBITDA contribution from FY27 onwards”.

Phillip Britt, Aussie Broadband's group managing director said that the "strategic investment in Buddy allows the group to compete in both the premium and value-led broadband sectors, further diversifying the markets we operate in."

“We look forward to continuing to change the game through Buddy’s success,” he concluded.

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