Just before the beginning of the new year 2022, all private companies have increased the price of their pre-paid plans. It includes Vodafone Idea (Vi). Recently, debt-ridden Vodafone idea limited has said that the Government of India is going to acquire a 36 per cent stake in the telecom company. Vodafone Idea decided to opt to convert interest liability of about Rs 16,000 crore due to the government into equity. Despite this, Vodafone idea's pre-paid plan is also estimated to be expensive.
Motilal Oswal Financial Services in a report has said that Vodafone Idea has increased the value of its tariff plan. It is feared that this time the company is going to make its postpaid plans costlier instead of pre-paid, though no official statement from the company has been issued so far.
Vodafone Idea also needs to brainstorm on subscribers. The company is constantly loosing its customers. According to the Motilal Oswal report, the company may lose about 4-5 million customers in 2022 as well.
The new tariff is expected to increase the average revenue per user (ARPU) by at least 1.9 times. Oswal said in his report that the company will have to increase its plan by at least 3 times. Vodafone Idea's pre-paid plan has increased by about 25 per cent in November last year. The company's plans have also been updated several times since the plan prices rose in November.
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