Author Topic: Airtel Strongest to Combat Jio but has Poor Strategy  (Read 298 times)


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Airtel Strongest to Combat Jio but has Poor Strategy
« on: January 23, 2017, 03:25:59 PM »
4G new entrant Jio may extend freebies by another quarter or so beyond March, subject to regulatory permissions, were incumbent telcos to get more aggressive on 4G pricing. One of the issues with 4G entry is the low penetration of 4G handsets. One other possibility is that Jio may bundle lower end 4G handsets(below USD30) with long-term cheap data plans, as historically incumbents have refrained from forays into devices - and this may allow 4G entrants some edge

Airtel offer is restricted to 4G and it seems Bharti is playing to its strength as it is way ahead of other incumbents and competition on 4G capacity and rollout. The company seems to be attempting to increase 4G NW utilization; and it knows most of the competition may find it  tough to replicate similar offers, thus possibly benefiting from subscriber churn from the competition.

Jio Strategy Vs Airtel Strategy
Airtel in order to preserve Revenue Market is not responding pro-actively which will turn off customers to competition like Jio where Data is a Free Ride and mobile data service works like a charm 95% of the times indicating a massively stable network. Airtel should have reduced Data Prices or increased freebies to retain loyal consumers, but that is not the case. Thus in the near term, there will be strong anti-incumbency wave and massive shift towards Jio from A-Vo-Id Operators Lobby.