Richard Boorman, Vodacom’s spokesperson, says that the company didn’t object to the draft handset subsidy regulations on the basis of transparency or the introduction of varying contractual periods, with or without handsets.
How cell companies rip you off
“The problem was that these two provisions were included in one draft regulation and there were, among other things, certain issues in the draft where we did have an issue. This was made quite clear in our objection,” says Boorman.
“With respect to transparency around contract offerings, our customers are not homogenous and we are pleased to offer complete flexibility in designing a contract,” says Boorman. “This is done to best cater to the needs of individuals and we strive to explain all elements of the package as clearly as possible.
A side effect of the differences in our approach to that of other operators is that packages may not be comparable on a like-for-like basis.”
Simon Camerer, Cell C’s executive head of marketing, says Cell C believes it offers customers convenience and choice.
“Contract period terms vary from one month, six months and 24-months,” he says. “In addition, Cell C also offers a handset-free contract, ValueChat, which is a month-to-month contract.”
“The call rates on ValueChat are the most competitive rates in the market and per-second billing applies after the first 60 seconds,” says Camerer.
Currently Cell C is the only mobile operator that offers a flat tariff solution.
“Cell C introduced a R1,50 flat rate in November 2009 across all of its prepaid products,” he says. “The flat rate applies regardless of the time the call is made (peak or off-peak) or to which network or landline (on-net or off-net) the call is made.”
Eddie Moyce, MTN’s executive for customer care, says that for more than five years MTN customers have had the option of bringing their own handsets to an MTN package.
“Naturally, this offering is discounted as the MTN customer does not receive a handset,” says Moyce. “This option is across all the MTN packages with MTN not discriminating against any of its clients.”