Private telecom companies in India will be able to increase the prepaid tariff by 10% to 12% till Diwali. Which means that the tariff hike will come by October or November 2022. Analysts speak about how with this tariff hike, the user figure on average revenue (ARPU) is going to increase by another 10%. Mayuresh Joshi, head of equity research at the Indian unit of American equity research firm William O'Neill & Co,has said that telecom will go for another prepaid tariff hike of 10%-12% and potentially rs 200 to the ARPU of Bharti Airtel, Jio and VI, respectively, says a report by ET Telecom. It can be increased to Rs 185 and Rs 135.
Airtel and Jio to add more customers: Due to a strong 4G network across the country, analysts say that Airtel and Jio are planning to add most of the customers in FY2023. Vi's performance in adding subscribers is expected to be the best as the telco is struggling to raise funds through outside investors. Tariff hike for prepaid plans Bharti Airtel will have to approve its short-term goal of ARPU of Rs 200.
Vi to follow Airtel: It is being speculated that Vodafone Idea is going to follow Airtel in its tariff hike strategy. The more Airtel raises tariffs; Vi is going to increase the same. Even after another tariff hike this year, Vi's ARPU may not cross the Rs 150 mark, which is a dangerous thing for the company's investors. Vi needs to find a way to attract more customers and motivate network users to upgrade to their 4G services for better revenue.
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