Mobile network provider Vodacom announced positive results for the third quarter of 2016, highlighting that voice and data prices fell by 17.6% and 15.4% respectively over the past year.
Shameel Joosub, Vodacom Group CEO, stated: “As part of our effort to continuously reduce the cost to communicate in South Africa through our bundle pricing strategy, voice and data prices fell by 17.6% and 15.4% respectively as significantly more prepaid and contract customers benefitted from using bundles. Over the past four years we have reduced the price of data by more than 60%.”
When asked about their data prices over the past year, Larry Annetts, chief consumer officer of rival mobile network provider MTN SA, noted: “MTN continually reviews its product portfolio to ensure that it is relevant and offers the customers significant value for money. Customers are given a variety of voice-centric and data-centric value-packed offers that suits their needs. MTN recently launched the MyMTNChoice + packages and new SKY price plans during the last quarter of 2016. [For example, a] MyMTNChoice + S gives a customer 100 minutes and 2GB of data for as little as R199 per month.”
According to Annetts, MTN is very competitive in the market. He stated that MTN’s daily and weekly bundles, as well as the network provider’s giveback promotions, are “very competitively priced and ensure that customers are given the best experience on our network due to bundle mix and bundle validity.”
However, Annetts pointed out that while there is still a demand for voice products, MTN has noted a shift towards data centric offers. He revealed that low end voice plans, 1GB and 2GB data plans, and most data bundles are in high demand. “Our data bundle offers are growing in popularity amongst our customers.”
Vodacom highlighted that strong demand for data continues across Africa and the network provider’s international operations. “Data now comprises 40.8% (from 35.3% a year ago) of service revenue in South Africa and 25.2% (from 22.5% a year ago) in the International operations.”
To conclude, MTN offered the following breakdown of promotions that it is currently running: