News24

Cell C drops prepaid prices to 99c

2012-05-16 12:45

Cape Town - Mobile operator Cell C has made its first big move under new CEO Alan Knott-Craig, by slashing its prepaid call rates to R0.99.

Cell C announced that it would slash prepaid call rates by more than 34% with a plan called 99 Cents for Real, Gadget reported.

"In a bid to meet consumer demand, Cell C is releasing a new prepaid voice product and tariff plan called 99 Cents For Real, which slashes off-net, and peak call tariffs to 99c per minute, with per second billing from the first second," Cell C announced.

The new tariff will launch on 20 May and it is seen as a direct assault on the two established SA mobile operators, MTN and Vodacom.

Knott-Craig is a former Vodacom CEO and hinted that he was on a mission in his new position to shake up the industry.

Data cost

"The number one priority is I have to make sure that we can build a world class quality network with a footprint which is competitive or better than the other network operators. We cannot build a company without a proper network," Knott-Craig told News24 recently.

Cell C is seen as a junior in the SA mobile market and Knott-Craig, though obliged to remain out of the industry after leaving Vodacom, seems ready to take on the mobile giant he helped to build.

"This new tariff gives Cell C's prepaid customers the best voice rate in the market, making it - in most cases - even cheaper to call from Cell C to other networks than it is for our competitors’ own prepaid customers to make on-net calls."

As smartphones make more of an impact in SA, the cost of data has become a barrier to their adoption and most believe that the BlackBerry Internet Service offered with the devices, has helped cement the brand's dominance of the smartphone market.

Cell C said that pricing alone could not guarantee their success and called for lower Mobile Termination Rates.

"I say again: 'Price is not a strategy', but it sure beats the hell out of strategies based on high prices," said Knott-Craig.
 

Comments
  • kabelo.leballo - 2012-05-16 13:25

    Vodacom n MTN must now follow or else...

  • kayb.madgun - 2012-05-16 13:28

    Its about time, may you also bring bonuses and some benefits to the veteran users please...?

  • Christiaan - 2012-05-16 13:43

    Is this Cell C to Cell C only or for real for real now, R0.99 per minute pure per second?

      andrewjamespearson - 2012-05-16 22:14

      “Customers can phone who they want, when they want. They do not have to worry about peak or off-peak times, to which network the call is being made or in which zone they are. This is by far the most competitive, fair and transparent rate in the market today.” According to the original article.

  • spensaRoks - 2012-05-16 13:50

    #Vodacom has already announced a #99cplan of their own that launcjes on Sunday. they call it #FREEDOM99. Also 99c/min across all networks. #MTN are you sleeping?

      Stirrer - 2012-05-16 15:27

      #spensaRoks, you don't have to put a #hash in front of any #name. It's a #bad #twitter habit.

      aryanb - 2012-05-18 04:07

      the Vodacom offering is per minute, Cell C's is per second, this is another attempt by Vodacom to trick people, like when Cell C wanted to be the first to HSPA+ and Vodacom put up 2 towers with this capability and announced they were the first... they still only have two towers years later

  • gositsile.morake - 2012-05-16 13:59

    Wait until you hear about Freedom 99 from Vodacom, it's brilliant

      aryanb - 2012-05-18 04:05

      That is per minute, not per second, Cell C's offering is far better

  • Mark - 2012-05-16 14:01

    Nice try from CellC. They needed to compensate for their crappy network and dropped calls. Still i bit expensive, I think.

  • kerwin.vandermerwe - 2012-05-16 15:19

    Cell C needs to sort out their customer service before they start bribing customers with cheaper rates. Their customer service in stores as well as call center stinks.

      Gordon - 2012-05-16 16:15

      Agreed. After Vodacom stuffed me around, I phoned and emailed CellC numerous times to move our business contracts from Vodacom to them. Was going to hand them the business on a silver platter. Not even a response. So renewed with Vodacon. sigh. They should rather have spent the money they gave to Trevor on their call centre/customer service.

  • phathuchicos - 2012-05-16 15:26

    for real...im about to depart fodakom 4 good dis tym.

  • rob.stefanini - 2012-05-16 17:03

    mtn is the best for me personally. And I'm cell c at the moment. I never have good signal

  • andre.rabie3 - 2012-05-16 17:10

    We can do the same with Petrol, dont use BP any more, they will bring there price down and then Engen and so on

  • jacques.shepperson - 2012-05-16 17:36

    Cell C suck! I have their data prepaid... I use to use about 10gig p/month with telkom... with cell C I use 17gig... and I cant say I surf more... I do no media downloads... when I ask cell C to have a look they just say I used it... now I also started using a 8ta and that will show me the proof of things

      Johan - 2012-05-17 10:06

      That will not proof anything. Get your self a data monitor program, other wise it's just speculation based on nothing on your side. From experience the way they sell data to you is quite good, which means if they say 17GB then it is 17GB. The time spend surfing has got nothing to do with the amount of data used. Do you use p2p downloads by any chance?

  • sycomachinery - 2012-05-16 18:52

    There is no difference between cellphone companies, they probably all belong to the same organization anyway, they are the same as banks, prices are fixed before hand, the only sure thing is that the consumer will be screwed.

  • standvm.nel - 2012-05-16 19:54

    Contract tarriffs should be slashed as well

  • jmlongwe - 2012-05-16 20:20

    Bloody Vodacom continues to debit money after a contract has expired, i want to see them lose, 8 months they debited me after my contract expired and refuse to give it back, screw them. I hate them with a passion.

  • Chin - 2012-05-17 05:59

    Allan, you have my support and I think that you are taking the right decision and your company can only go ONE-WAY.....grow to new heights,

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