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Jio effect: Idea slashes effective 4G, 3G data rates by upto 67% for all customers

Idea Cellular has slashed effective data rates of its 4G, 3G big internet packs for its pre-paid and postpaid customers, offering upto 67% more benefits for the same price, tracking a similar move by bigger rival Bharti Airtel as the scramble for users of mobile broadband intensified approaching Reliance Jio Infocomm’s 4G launch.

Idea Cellular, which is now looking to provide more value to heavy internet users who consume data packs of 2GB to 10 GB in a promotional offer, had earlier announced a similar rate cut on sachet data packs for under 1 GB usage.”While the price reduction in our sachet data packs was aimed at inducting more users into the world of internet; the reduction in rates of BIG Recharge packs now, is aimed at delivering significantly higher value for money to our regular internet users,” Sashi Shankar, Chief Marketing Officer, Idea Cellular, said in a statement.

The Aditya Birla group company is now offering 10 GB 4G, 3G data pack for just Rs 990. Its 2 GB data is now priced at just Rs 349, as against the earlier price of Rs. 449.

Idea users will now get 5 GB of 4G, 3G data at just Rs. 649 – a 67% more value than 3GB data earlier.Idea has also launched new Freedom Packs, which are low cost data packs starting at just Rs. 35 with 4 weeks’ validity, giving prepaid consumers freedom from multiple recharges and the constant hassle over expiry of plans, while providing great value for money.

“Our consumer research studies have indicated a growing demand for affordable high volume internet packs which we are aiming to fulfil with the new offers,” Shankar said.Vodafone India, India’s No. 2 carrier, is also planning to make similar moves in the coming days in a bid to be “in line with the market trend,” a person familiar with the matter earlier told ET.

Analysts note that telcos aren’t reducing rates directly, but offering more bang for the buck, a strategy which will help them protect their crucial average revenue per user (ARPU) but at the same time, make their offers more attractive for users.

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