The idea
Real growth = (1 + nominal growth) / (1 + inflation) - 1, with rates expressed as decimals over the same period. In an illustrative case, 15% ARPU growth and 24% inflation give about -7.3% real growth. CPI is a general purchasing-power benchmark, not a complete measure of operator costs or segment-specific affordability.
Use it thoughtfully
- Put real ARPU beside nominal ARPU in reports.
- Set targets in real terms or state the inflation assumed.
- Recheck price positions after each inflation release.
An example
ILLUSTRATIVE EXAMPLE: A Myanmar report shows ARPU up 15% in kyat. Adjusted for 24% inflation, each customer pays 7.3% less in real terms.
A question to try
Did your revenue per customer grow last year in real terms?
A useful framework is a starting point, not a guarantee. Effects vary with the audience, product and situation. Use truthful evidence, respect customer choice, and test the result.