Author Topic: How Jio Targeted High ARPU Subscribers of Incumbents ?  (Read 26 times)

wiredlife

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How Jio Targeted High ARPU Subscribers of Incumbents ?
« on: May 31, 2017, 12:56:18 PM »
Reliance Jio has amassed 108.9m subscribers by Mar’17, well ahead of expectations. Of these, 72m subscribers have already enrolled for prime membership ie paying INR99 one-time to avail discounted tariffs. Wireless data usage is different from the wireless voice usage. Voice is slot agnostic meaning that voice service can be active simultaneously on multiple SIMs.

However, data is different. 4G data can be used only on one SIM at a time. This makes it critical for the telco to secure primary data SIM position to gain from the usage of data. We believe the fight for data will be more on quality of services and price. Data is a price-elastic market rather than voice making price an important factor.

Reliance Jio is targeting high-ARPU subscribers thereby giving it an opportunity to garner higher revenue market share in the future. This can be gauged from: a) the urban/rural subscriber mix; and b) the region-wise subscriber mix.