Mobile broadband operators have been warned that they could risk falling into a "commodity trap".

According to Strategy Analytics, this situation comes about when prices for a service fall before the companies offering them are able to recover their investment.

In order to help mobile broadband providers - such as O2, Orange and T-Mobile - avoid falling into this trap, the organisation claimed there are a number of possible scenarios that can be followed.

Director of Strategy Analytics' Tariff Response Service Sue Rudd claimed northern European customers are prepared to pay a premium for services, while those in southern Europe are on the lookout for discounts.

"Customer segmentation and combinations of key features that match different countries' unique purchaser segments are essential in order to avoid the mobile broadband commodity trap," she remarked.

Earlier this week, chief executive of Vodafone Vittorio Colao said mobile broadband operators could be set to introduce a tiered pricing structure in the future.

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