CAPE TOWN – MTN on Thursday announced that it had slashed its out of bundle (OOB) data rate by up to 75 percent for prepaid customers and that it would be doubling selected prepaid voice and data bundles for the next two months.
Prepaid customers not making use of data bundles will now pay 29c per megabyte for their data usage, while customers that do purchase data bundles will pay 49c per megabyte for their OOB data usage.
“We have consistently been reducing the cost to communicate in recent years, but we want to do more for our customers and by tackling the issue of OOB pricing, we know we are addressing a real pain point for the millions of South Africans that support MTN,” said MTN South Africa chief executiove, Godfrey Motsa.
Motsa said the imminent release of much-needed spectrum was an important milestone in South Africa’s telecommunications history and is reason for optimism.
“We are greatly encouraged by the steps being taken by both government and our regulator, to progress the release of spectrum. More spectrum will be an important contributor to helping further drive down the cost to communicate and by slashing our OOB pricing, MTN is showing our commitment to our customers and to the future of this industry,” Motsa said.
The purchasing of data bundles remains the most cost-effective way to use data, so the new OOB pricing is structured to encourage customers to stay in-bundle. For those customers that have never used data bundles, the pricing has been set at 29c to still allow for well-priced use of the internet, despite not using a data bundle.
New customers that have just activated their SIM cards, customers that have ported to MTN, along with active MTN subscribers that have migrated from contract or hybrid packages to prepaid, will all be allocated the 29c rate. This rate will only change once they start making use of data bundles.
“With so many priorities vying for a share of our consumer’s wallets, we want to remove the worry of OOB pricing and help keep our customers connected, at all times and at affordable rates,” Motsa said.
Due to the size of the MTN subscriber base, the solution will be rolled out to all pre-paid customers over a seven-day period, starting at midnight tonight (31 January). In addition to the reduced OOB pricing, MTN today also announced it will be doubling selected prepaid customer’s voice and data bundles for the whole of February and March.
WATCH: Why data costs in SA are so expensive
The MTN Double Your Bundle promotion rewards prepaid customers with 100 percent free value when they purchase selected voice and data bundles by dialling *142#. When customers dial *142#, and select either Double Data or Double Voice, they will be presented with three offers. When a customer chooses an offer, such as 500MB bundle, they will receive an additional 500MB bundle. The bundles are available in daily, weekly and monthly options.
The *142# service provides discounted offers that are individually tailored for each customer. The Double Your Bundle deal is a further promotion, on top of those discounts already being offered by *142#.
“The MTN Double Your Bundle promotion gives our customers the ability to stay connected longer and for less,” said Mapula Bodibe, Executive for MTN SA’s Consumer Business.
“We want to show that #WeGotU is not just a campaign, it is how we at MTN think about our customers, making sure we are doing all we can to best meet their expectations and keep them connected to the people and things they love,” Bodibe said.
BUSINESS REPORT ONLINE