Vodafone Idea (Vi), one of India’s leading telecom operators, has recently made a significant change by removing the Rs 99 plan from its offerings in the Haryana circle. While the plan continues to be available in other circles, Vi has also modified the benefits of the Rs 99 plan in Mumbai, Gujarat, and Delhi. This move indicates Vi’s efforts to enhance its average revenue per user (ARPU) and experiment with different scenarios to maximize revenue. However, customer feedback and reactions will play a crucial role in shaping the telco’s future decisions regarding the Rs 99 plan.
Changes to the Rs 99 Plan:
In Mumbai, Gujarat, and Delhi, Vi has reduced the validity of the Rs 99 plan from 28 days to 15 days. By shortening the plan’s duration, Vi aims to boost its ARPU and optimize revenue. This strategy aligns with the telco’s ongoing efforts to improve its financial position and address the challenges it faces in the competitive telecom market.
Impact on Customers:
The removal of the Rs 99 plan from the Haryana circle means that customers in that region no longer have access to a plan priced below Rs 100. This move resembles what Bharti Airtel did with its Rs 99 plan, completely removing it from its offerings. Airtel’s cheapest recharge option to keep a SIM card active is now the Rs 155 plan. Vi’s decision to remove or modify the Rs 99 plan is driven by a desire to optimize revenue, but it also poses a risk of losing more customers.
Vi’s Financial Situation and Subscriber Loss:
Vodafone Idea has been grappling with financial challenges and a steady decline in subscribers. The removal of the Rs 99 plan and other strategic changes are aimed at improving Vi’s ARPU and revenue. However, the telco faces the ongoing struggle of subscriber attrition. Without the availability of 5G services and the necessary funding and equipment orders in place, Vi’s ability to retain subscribers remains uncertain.
Plans for 5G and Future Prospects:
Vi’s CEO, Akshaya Moondra, has expressed the company’s intention to launch 5G services. However, the successful implementation of 5G is contingent upon securing funding and necessary equipment orders. Vi needs to attract new subscribers and improve its revenue streams to stage a comeback and navigate the challenging telecom landscape effectively.
Vodafone Idea’s decision to remove the Rs 99 plan from the Haryana circle showcases the telco’s determination to optimize its average revenue per user. By modifying and removing plans, Vi aims to enhance its financial position and navigate the competitive telecom market. However, it is crucial for Vi to carefully evaluate customer feedback and responses to ensure the best course of action moving forward. As Vi strives to attract subscribers and improve revenues, the successful implementation of 5G services remains a critical factor in its future prospects.
