Vodafone Idea hikes tariffs of its postpaid plans — prices of ₹598 and ₹749 plans increased by ₹50
- Vodafone Idea has silently increased prices of ₹598 and ₹749 postpaid plans.
- The tariff hike is up to ₹50, and applies to two out of the four RED Family plans.
- The new tariffs have been updated on the company’s website.
- Analysts believe Vodafone Idea might need more than just tariff hikes to survive.
- Checkout the latest news and updates on Business Insider.
According to Vodafone Idea’s website, the ₹598 plan is now available for ₹649, while the ₹749 plan is now priced at ₹799. It is worth noting that these two plans are a part of Vodafone Idea’s RED Family plans, not individual plans.
The new tariffs are now applicable in all the circles where Vodafone Idea offers RED Family plans.
AdvertisementVodafone Idea RED Family plan details
Vodafone Idea has increased prices of two out of eight postpaid plans it currently offers. This tariff hike affects the ₹598 and ₹749 plans, both of which are a part of the RED Family postpaid plans. The new plan prices are ₹649 and ₹799.
The ₹649 plan offers unlimited voice calls, up to 80GB data and 100 SMS per month. This plan supports up to two connections. The ₹799 plan offers up to 120GB of data and supports up to three connections.
Both the plans include free 1 year of Amazon Prime, Zee5, and Vi Movies & TV subscriptions.
A sign of things to come?
While Vodafone Idea has hiked tariffs of only two out of eight postpaid plans, it could be a sign of things to come. Tariff hikes have been rumoured for a while now.
During the rebranding of Vodafone Idea earlier in September 2020, Vodafone Idea’s MD & CEO, Ravindar Takkar said “everyone is selling below cost”. He also noted that the company is “not shy to take that step”, referring to tariff hikes.
Although Vodafone Idea might need more than just tariff hikes to survive in the Indian telecom industry, it also needs to increase its average revenue per user (ARPU) considerably to stabilize.
The embattled telco might need up to ₹18,800 crore in the next two years, along with a tariff hike to survive, according to a report by Jefferies Equity Research.
“Vodafone Idea does not have the financial flexibility and balance sheet to raise capital, but it needs equity injection if it has to survive,” Nitin Soni, senior director, Fitch Ratings, told Business Insider.
“4G subscribers would be critical to get maximum benefit of tariff hikes, as we believe the highest rise in future tariffs will be on prepaid 4G plans,” said ICICI Securities in its report dated July 1.
Vodafone Idea rebrands as Vi as it gears up for its second innings, says ‘not shy’ to hike tariffs
Vodafone Idea may need up to ₹18,800 crore in next two years and tariff hikes to survive, says a new report
Vodafone Idea News - Only cash can save Vodafone Idea from a slow death
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