Reliance Jio Failed to Make Impact With Postpaid, Shows Network Gaps: Opinion

The reason why JioPostpaid Plus plans have not made a huge impact in the Indian market is because of the network quality that Jio offers to the users. The additional spectrum bought in the 4G spectrum auctions held on March 2020 will help, but it will only go so far as to help the company add more prepaid users.

Highlights

  • There’s a lot of congestion in the telco’s networks and that is something the premium or the postpaid customers won’t enjoy
  • Reliance Jio last year launched the JioPostpaid Plus plans
  • Bharti Airtel is considered as a far more superior company when compared with Jio if postpaid service is concerned

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Reliance Jio

Reliance Jio last year launched the JioPostpaid Plus plans. Until then, Jio didn’t look too keen on growing the postpaid segment and fairly so as it was doing really well in the prepaid segment. JioPostpaid Plus has not worked out too well for Reliance Jio, though. Even though these plans are at par with what other operators are providing, some even better, Jio has been unable to gain the attention of the Indian customers. In fact, Bharti Airtel is considered as a far more superior company when compared with Jio if postpaid service is concerned. This clearly represents the network gaps that Jio has.




JioPostpaid Plus Plans Didn’t Make Much Impact

The reason why JioPostpaid Plus plans have not made a huge impact in the Indian market is because of the network quality that Jio offers to the users. Yes, while the telco has the best network coverage throughout India, there’s too much congestion and falls offs of the telco’s network because of the large subscriber base.

The additional spectrum bought in the 4G spectrum auctions held on March 2020 will help, but it will only go so far as to help the company add more prepaid users. The reason why Jio enjoys the attention is because of its cheap plans. But as soon as it comes to expensive plans, no one wants to pay more for the kind of network quality that Jio is providing.

There’s a lot of congestion in the telco’s networks, and that is something the premium or the postpaid customers won’t enjoy. At the same time, Bharti Airtel enjoys a lot of attention when it comes to postpaid services. Not just the normal consumers, even the corporates and enterprises choose Bharti Airtel first when it comes to purchasing postpaid services.

The reason is not just better branding by Airtel, but also the more premium network service it provides. Airtel offers mostly consistent network services both for voice calling and data. But the same can’t be said for Jio’s networks which are half the time congested because almost everyone has one SIM of the company in their device for data usage.

Even Vodafone Idea’s postpaid plans see more traction than what Jio’s postpaid plans do. Jio did well by introducing a ton of over-the-top (OTT) benefits with its postpaid plans, but what wasn’t great was its network. Jio really needs to figure this out if it wants to improve its postpaid service revenues in the near or medium future.

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