Consumers unaware of mobile plan usage: Yatango

Consumers unaware of mobile plan usage: Yatango

New telco indicates survey results reflective of need for disruption to market

Research commissioned by telecommunications provider, Yatango, indicates that 50 per cent of Australians are unaware of how much of their mobile plan they use, or use less than half of their allowance each month.

The study – conducted by Pure Profile using a sample of 1000 Australians aged 18 to 64 between October 31 and November 6 – also reports more than 60 per cent believe their monthly plan is too expensive.

Yatango founder and chief executive officer (CEO), Andy Taylor, attributes this to the dominance of two major players in the Australian telco market which has restricted consumers’ bargaining power in influencing the terms of their contract.

“The average Australian is using just 200 minutes of voice, 100 SMS, and under 500MB of data per month which consumers can buy pre-paid for around $25,” Taylor said. “Yet with their high in-store expenses, the big players can’t compete with this price and instead use bundled cap plans to prop up their investment in expensive retail.”

Further results show more than 75 per cent of people would prefer to be on a more flexible plan, with only 10 per cent using 90 per cent of more of their plan’s inclusions.

Additionally, 50 per cent stated they would change carrier if there was no penalty.

Taylor believes the responses reflect the need to disrupt the status quo in traditional markets “with a new business model that empowers consumers to make informed choices, demand change and re-gain control over their consumption.”

Yatango is currently doing so by offering the Apple iPhone 5c, Samsung Galaxy S4, HTC One, Sony Xperia Z1, Nokia Lumia 1020 and a selection of popular tablets for outright costs via its Hong Kong warehouse. It is also offering handsets with 12 months financing to give consumers transparency.

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Tags TelstraTelcoTelecommunicationsoptusYatango

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