Discussion Why is postpaid considered elite over prepaid by telecom operators?

[iDJ]

If you go to a store and buy in credit or with e-wallets. You will see the shopkeeper sigh. How come same logic doesn't apply to telecom companies when we pay them upfront?

Sure thing postpaid users are bound to pay more. But operators has to provide perks like Amazon Prime, Netflix etc. to get customers. Also if the customer doesn't pay. Operator will feel helpless as lawsuits would be more expensive than the actual bill. Also prepaid users are bound to lose daily promised data if service is down. Meanwhile postpaid users get to carry the data even to next month.

Prepaid users get limited customer service. On Airtel for example chat based customer service only works for postpaid customers. Meanwhile prepaid users stuck with clueless call customer service which takes forever for IVR to connect.

Do you think it's time operators to step up services for prepaid customers as well?

 

[Abhinav]

ARPU for postpaid user is higher than prepaid customers, their monthly plan cannot drop below a certain amount while prepaid users can just opt for any cheapest plan, so postpaid provides stable source of income to operators.

Free perks doesn't matter much, for example Airtel is not providing Amazon prime or Netflix for lifetime it's only for first 1 year or 3 months respectively. Good ARPU and stable income definitely deserves better customer service.

 

[iDJ]

ARPU for postpaid user is higher than prepaid customers, their monthly plan cannot drop below a certain amount while prepaid users can just opt for any cheapest plan, so postpaid provides stable source of income to operators.

Free perks doesn't matter much, for example Airtel is not providing Amazon prime or Netflix for lifetime it's only for first 1 year or 3 months respectively. Good ARPU and stable income definitely deserves better customer service.

Jio has changed the market for good though. Atleast here we get perks like chat based customer service on prepaid. Also call based customer service is well trained and professional.

 

[avipersistent]

Its already know one operator had already declared publicly they are to have those customers who are high end and opt for Netflix and Amazon prime which is the main source of revenue for operators.With already the operators in red to arrest the situation its the only way to boost revenue.

 

[rahul1117kumar]

postpaid customer is a consistent revenue generator as if he doesn't even calls or texts, he is still liable to pay the monthly rent but that don't apply for prepaid.

I remember few days back my friend getting network problem in idea as a prepaid customer he complained thrice but no solution was found but as soon his neighbour who was postpaid customer called network team they send an executive to check the issue. it's privilege postpaid customers.

 

[RLOA]

I remember few days back my friend getting network problem in idea as a prepaid customer he complained thrice but no solution was found but as soon his neighbour who was postpaid customer called network team they send an executive to check the issue.

Generalizing this to all postpaid customers might not be correct. The average monthly bill of a postpaid customer also makes a huge difference.

 

[WizarD]

A postpaid customer is a long term relationship and assured revenue to the company.

 

[sng_shivang]

Even during the olden times, postpaid ARPU was much higher than prepaid. The cost of postpaid is also much greater than that of prepaid. The 399 plan (per month on Voda or Airtel only gives 40GB of data per month whereas the same plan in prepaid provides 3 month of 1.5 GB/day data.

That being said, people mostly take postpaid because of corporate requirement or simply because you don't wish to go through the hassle of recharge. One more thing good about postpaid is that there isn't any daily data limit which is the case with all prepaid plans.

Jio's postpaid however is rubbish.

 

[amty]

i feel the difference is like staying in an rental flat and staying in buyout property.....telecom companies know that postpaid customers are long term they have contracts which are based quarterly,yearly or 2 yrs where they get benefits...like change of mobiles, roaming services etc.....in earlier days here in Dubai postpaid sims were only given too those who had a certain income...u had too provide proof....where as prepaid customers tend too jump boats....they where they get good offers thats y postpaid are given more priority

 

[iqbal008]

Its similar to Stable income vs fluctuating income, though there are pros and cons in both, but providers tend to provide good service for their stable income.