Goldman Sachs believes Reliance Jio could increase prices soon
Reliance Jio’s freebie days are over as the company has slowly turned its approach to more benefits with more price.
- Jio will revise its tariff plans on October 19.
- Its flagship plan could increase to Rs 500.
- Jio has been pushing for Prime membership since March this year.
Reliance Jio is all set to announce new tariff plans on October 19 and analysts are predicting a hike in prices.
“We expect Jio to raise tariffs by 24% on its most popular plan (Rs 399) in the next few days, based on the pattern of its recent price hikes,” Goldman Sachs analysts report was quoted by DNA on Tuesday.
More data benefits priced at Rs 500 for monthly plans can be anticipated as the company revises its offers.
While announcing Reliance Industries Ltd second quarter results it was cited that Jio’s subscribers have reached 13.8 crore (138.6 million).
Prime membership was being promoted in the March-April period when the company was at its fag end of the ‘freebies’ season.
Earlier Jio’s plans gave two different offers to non-Prime and Prime members. Later in June, this distinction in separate offers disappeared as Jio started promoting only Prime deals.
Jio also propagated Prime membership with its 'buy one get one free' offering add-on benefits in March 2017.
Reliance’s JioFi customers had to be Prime subscribers to avail of its Wi-Fi benefits.
Customers of the new 4G enabled LTE feature phone - JioPhone customers also had to be Prime members. Even those interested in its sister brand LYF C series smartphones have to be Prime members.
In the Big Billion Days sale Jio was offering 60GB 4G additional data on every recharge of Rs 309. And customers would have to enrol for Jio Prime.
Jio also partnered with other mobile brands to sell Prime like - Mi Max2, Motorola and Nokia 8.
Earlier Zeebiz reported that one-fourth of Jio's subscribers were inactive since January which left over 3 crore inactive. Jio's download speeds also reportedly improved after these subscribers dropped out of its network.