Vodafone Vs Idea Vs Airtel Vs Jio pre-paid plans cost up to 40% more


Reliance Jio, Vodafone Idea Limited and Bharti Airtel --- will improve the overall financial health of the telecom sector, and will help these telcos increase their respective average revenue per users (ARPUs).
Analysts, however, said that the tariff will have an impact on the overall data consumption, which has been driven by cheapest data prices in the world.

Reliance Jio, the last one to announce a revised rates on Sunday, said it would raise tariffs by up to 40 per cent. "Jio will be introducing new 'all-in-one' plans with unlimited voice and data.The new plans will be effective from December 6," Jio said.

About a billion mobile phone subscribers in India will pay up to 40% or so more to make calls and use data from this month, with private operators Reliance Jio , Bharti Airtel and Vodafone Idea increasing prices for the first time since 2016 to shore up finances.

Both Airtel and VIL increased rates only for prepaid subscribers, who account for over 90% of their user base, starting December 3. Price increases by Jio, which caters to 355 million customers, will be effective from December 6.

Axis Capital, in a note, said that Reliance Jio's tariff announcement on Sunday is likely to set the stage for improvement in the financial health of telcos with incumbents also taking price without risk of subscriber loss. It added that the price will help increase ARPU of all three telcos -Airtel, Vodafone Idea and Reliance Jio -- that may get amplified by operating leverage.

ICICI Securities, on the other hand, expects private telcos' blended ARPU to increase by 21%. "Our working shows Bharti’s blended ARPU increasing by 21% to Rs156 from Rs128 and VIL’s too by 21% to Rs 131 from Rs107."

Credit Suisse, in its note, said that that tariff are in line with its expectations. "We now expect more tariff increases over the next 12-18 months," it said, adding that it expects a 55% ARPU increase by FY22 end compared from September 2019.

"We expect Bharti Airtel’s and Vodafone Idea’s 4QFY20 EBITDA to increase by 15% and 54% QoQ while for FY21 we are building in 29% and 49% YoY growth in EBITDA respectively due to the price hikes," Credit Suisse said.

Jeferries, in its note, said that ARPU impact will be lower due to no increase in postpaid tariff rates, and also due to high elasticity in voice which will limit increase, along with data elasticity.

"ARPU increase will be between 11-19% across various scenarios. Even in the best case where all ARPU for all data subs increase by 40%, overall APRU increase will be 18/23% for VodaIdea/Bharti," it added.

With hike geared towards data subsribers, Jeferries further added that ARPU impact will depend on level of data elasticity.

Emkay Global, in its note, said that Airtel and Vodafone Idea will see their ARPUs increasing by 28% and 31%, respectively for the ongoing financial year, and 7% and 10% for the next fiscal year.

For Jio, Emkay Global said the increase will stand at 22% and 8% over the same time frame.

"The new 'all-in-one' plans will be up to 40 per cent higher, staying true to its promise of being 'customer-first', Jio customers will get up to 300 per cent more benefits," it said.

Airtel's new rates Will change After December 3, the Rs 129 pack for 28 days with unlimited calling, 300 SMS, and 2GB data would cost Rs 148, it said.

A major Airtel's Rs 998 plan with 336-day validity, unlimited calling, 3,600 SMSs and 12GB data. It would be replaced by a Rs 1,498 plan, marking 50 per cent rise, with 24GB data and 365-day validity.

All users of Rs 1,699 plan would have to pay Rs 2,398, which is an increase of 41 per cent. It would continue to offer unlimited calling, 100 SMS and 1.5GB data per day.

Airtel New Recharge Plan

Vodafone Vs Idea Vs Bharti Airtel Vs Jio pre-paid tariff plans will now cost up to 40% more



The revised Vodafone Idea tariffs too would come into December 3. It has launched 'First Recharge Packs' where the four first recharge packs will cost Rs 97 with Rs 45 talk time, 100MB data and voice calls charged at 1 paisa per second along with 28 days validity. Other plans include Rs 197, Rs 297 and Rs 647. They offer up to 1.5GB data a day and unlimited 'on-net' calling for 84 days.

Vodafone Idea announced the 'on-net' voice calls would be billed at 6 paise per minute. The 'on-net' voice calls after the provided FUP limit will be charged 6 paise per minute, similer to Reliance Jio. It is also providing bundled 'on-net' minutes, whereas Jio will be charging customers for IUC 'top-up' voucher

Vodafone Idea had earlier said it would increase tariff in December. The announcement has come in the backdrop of its highest quarterly loss of Rs 50,922 crore.

Vodafone New Recharge Plan Detail
https://www.smartphone4u.in

Idea New Recharge Plan Detail

https://www.smartphone4u.in


It's now expected that the state-run BSNL could also hike tariffs. The government and the Telecom Regulatory Authority of India (TRAI) have made it clear that there will be no floor rate for voice or data and the telcos would have to thrash out pricing among themselves to cover up losses.



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