Airtel, idea, vodafone in tug of war with jio for customers with big bucks

Airtel, Idea, Vodafone in tug-of-war with Jio for customers with big bucks

LATEST BUSINESS NEWS - Reliance Jio arrived in India as a disruptive player, bringing free voice calls, data, scrapping roaming charges, etc. Along with flaunting its cheap offers, Jio has been sinisterly targeting users of its rival operators. This, in turn, has compelled other telecom firms to focus on highpaying customers.

Telecom operators' effort to battle with Jio Recently, responding to Jio's launch of Prime subscription, under which the firm aims to retain its 100 million user base after its free services end on 31 March, Bharti Airtel introduced a Rs 145 and Rs 349 plan. The cheaper plan offers 14 GB data per month with a 500MB cap per day and unlimited calls to Airtel numbers. The Rs 349 plan has unlimited calls to all networks. Vodafone India is now offering 15 GB of data for the first three months at the same price and 6 GB thereafter, according to Livemint.

Reportedly, a person aware of Airtel’s plans said these plans are meant for customers who reach out to them proactively to move out of the network.

However aggressive the pricing war may be, it is the necessity of the hour, essentially as the telecom industry has lost about 20% of revenue due to Reliance Jio’s free services.

During Bharti Airtel’s earnings call with investors for the quarter ended 31 December, chief executive officer Gopal Vittal said the challenge for the firm, which has stratified average revenue per user (Arup) table across the market with different customers at different levels of Arup, is that there could be some users who will move to a cheaper plan.

Airtel, Vodafone, Idea Vs Reliance Jio Airtel - After Jio abolished roaming charges for both voice and data services, Airtel followed suit. As of now, it provides 30GB of 4G data at Rs 1,495 for a period of three months. If you do not have an Airtel connection and wish to shift to its 4G service, by paying Rs 9,000 for 12 months. Additionally, there is an option of 3GB data at a price of Rs 345. The pack offers free calls to any network in the country and 4GB data (1GB regular pack benefit and 3GB free data). For postpaid users, you can get free 3 GB data per month with all MyPlan Infinity Plans. The Rs 549 Infinity plan will be offering unlimited calling and also 6GB data per month including the 3GB free data plan.

Vodafone had already slashed rates since Reliance Jio's entry. According to a Mobile Analyst, Vodafone India has launched new tariff plan of Rs 346 to counter Reliance Jio that will offer 1 GB 3G/4G data daily with unlimited free calls. (Read More) ALSO READ: Telecom industry lost 20% revenue due to Reliance Jio giveaways: Ind-Ra

Article Source – Business Standard