Bharti Airtel Reaffirms it Will Focus Only on Revenue Generating Customers

Bharti Airtel has been working hard to pull itself out of the trenches after being pushed a little behind in the tariff war and the telecom operator has grown in leaps and bounds in the last year especially considering that it faced stiff competition from the Mukesh Ambani led telecom operator Reliance Jio. The Sunil Bharti Mittal led telecom operator also made revisions to many of its plans last year and introduced very attractive offerings to lure more and more customers, but now, the focus of the company seems to be shifting. The company has already made it clear that now it plans to have a paying customer base under its umbrella. However, the result of this new goal for Bharti Airtel might be the loss of its second rank in the Indian telecom field as per subscriber count.

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Minimum Recharges Eat into Subscriber Base

Last year, the telecom operator introduced minimum prepaid tariff recharges after it ultimately rolled up the talk time recharges clean from its portfolio. These minimum talk time recharges ensured that the customers of the telco were paying on a monthly basis to keep their services running. This move also had an adverse effect on the telco’s subscriber base as customers started switching sides and Airtel’s subscriber base shrunk by 48 million.

The interesting observation is, however, that Airtel didn’t let it its revenue fall severely along with the shrinking subscriber base as the revenue only dipped 0.6% and this was because the company had also added 4G customers in the same period thus bringing to work its original plan to weed out the non-paying customers.