Guiding consumers since 2009

Cell C contract prices to change from 1 February

By Jessica Anne Wood

“We have notified affected customers via SMS about certain price changes that will take effect on 1 February 2017,” stated Cell C in response to an email.

In a statement released to Cell C subscribers, it noted that the price changes include applicable connection fees, subscription fees, usage charges, SIM card fees, goods fees and other charges relating to the provision of Cell C’s services.

The reason for the price increases

There are a number of factors that have contributed to the price increase. Cell C highlighted that these include rising inflation and the Rand/US Dollar exchange rate which have contributed to an increase in the cost to provide mobile services.

“The single biggest input cost is network equipment, which is procured from international vendors. This equipment is priced in US Dollars and any change in the Rand has a significant impact on a company’s capital expenditure and operating expenses,” explained Cell C.

It added: “Planning, Investment and implementation of network expansion happens in long lead cycles. In many cases our costs are linked to the value of the USD from years before implementation. The impact of Rand to the USD should be looked at over a three- to six-year investment cycle, not month-to-month. The broader economic environment including GDP growth and inflation plays a role in rising costs. Additionally, annual increases to support costs and operational expenditure have a large impact on our costs. Despite our best efforts to keep our prices unchanged, the rising cost to supply mobile network services has necessitated an increase in the price we charge the end consumer.”

However, while Cell C will be increasing some of its prices come 1 February, rival MTN has launched a payment break plan allowing customers who sign up for a 24 month contract in the months of January and February this year to get a two month payment ‘holiday’.

The new product prices

Cell C provided the following breakdown of its products and the relevant pricing changes. However, in an emailed response to Justmoney, Cell C highlighted: “Customers who signed up for any of the EPIC or Pinnacle contracts and who are still within their 24-month contract will be exempt from the price increase.”

Prepaid:

 

Contract voice:

Data:

Source: Cell C, effective from 1 February 2017

Recent Articles

Featured How to earn passive income through dividends on your investments

If you invest your money wisely, you will be able to watch it grow beyond inflation. This is a far better option than simply leaving your money in a general savings account. However, did you know that you could also receive interest or dividend payments on your investments?

This is why you should ask your medical scheme for an annual claims statement

Even with a strict budget, a lot can happen in a year and you may lose track of your medical expenses, especially the costs that you cover out-of-pocket. It’s important to regularly assess your medical aid or hospital plan contribution.

Make rewards programmes work for you

Many retailers and financial service providers have introduced rewards programmes, or loyalty programmes, to retain their customers and make them feel appreciated. These programmes can help you save money, but you have to know how to make them work for you.

 

Top 5 things to consider before taking on further credit

Nowadays, the process of attaining credit has become easier and faster. Although applying for, and receiving cash on the same day may excite potential lenders, it doesn’t come without serious repercussions if you’re not wise. 

Deals

Get 25% off your stay at Monte Vista Boutique Hotel

Price: Available on request
When: Until 31 January 2021
Where: Montagu

Luxury Spa Package Special for R449 at Aurora

Price: R449
When: Until 31 January 2021
Where: Cape Town

Oyster and Champagne Special at Blowfish Restaurant | JustMoney

Price: R129
When: Daily
Where: Cape Town


Latest Guide

Guide to debt rehabilitation solutions