InvestorQ : Is it true that Bharti Airtel has hiked the base price of all its plans for customers?
vidhya Laxmi made post

Is it true that Bharti Airtel has hiked the base price of all its plans for customers?

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sarah Leo answered.
2 weeks ago
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Let me clarify that this price hike is for the pre-paid customers and the base cost for the post-paid customers remains the same for now. The average tariff hike was in the range of 20% to 25% and the hikes would be effective from 26th of November. The idea is that most of these pre-paid customers are entry level customers who depress the ARPU which is the abbreviation for average revenue per user. This will eventually boost profitability.

Sunil Mittal has first stated this around 6 months back and Bharti has now walked the talk. The ARPU of Bharti Airtel currently stands at Rs.153 per user per month and Bharti wants to straight away hike that to Rs.200 per user and subsequently stabilize at around Rs.300 per user. After all, Bharti has huge outlays in the form of pending AGR dues, spectrum usage charges as well as huge investments in 5G to enhance voice and data quality.

Here are some examples of the price hike for pre-paid plans. For example, bas Rs.149 pack will be raised to Rs.179 for 2 GB data and unlimited calling. Its 1GB per day Rs.210 plan will be hiked to Rs.265 per month while the Rs.251 pack will be hiked to Rs.301. Even the supplementary pack which was available at Rs.98 for 12 GB pack will now cost Rs.118. Not surprisingly, the stock of Bharti Airtel spiked sharply on 22 Nov in midst of weak markets.

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