Vodafone Idea (Vi) has been going through a rough phase for many years and is a known case. The telco is making losses every quarter and mounting a pile of debt at a pace that there is no turning around. We have also opinioned possible reasons for subscriber loss in our earlier stories. ICICI Securities released a report on telecom revenue growth that we have already covered in our story here. If we observe, we can infer a few more insights and co-relate to the current market scenario of Vodafone Idea. Let's check out the same in this analysis.
Vodafone Idea's Subscriber Base
We have been tracking the wireless subscriber numbers of the telco, and the numbers every month will speak for themselves. It's evident that subscribers are unhappy with the service quality, and the telco's lucrative offerings are not helping it either. To fix subscriber loss, Vodafone idea is indirectly reducing tariffs in both its prepaid and postpaid segments. However, despite the lucrative market offerings, the Data and Voice KPIs of Vi present a different scenario.
Vodafone Idea's (Vi) Data and Voice KPIs Compared
We have some insights to discuss if we observe the Q2FY23 numbers and the KPIs reported for Vodafone Idea (Vi). However, before we delve into the comparison, let's discuss the kind of benefits Vi is offering to users.
Vodafone Idea Market Offerings
As a part of its Hero Unlimited offerings, Vi offers the below benefits to its users.
- Data Delight: Up to 2 GB of backup data every month.
- Weekend Data Rollover: Unused daily data gets accumulated and is made available on weekends to be used by users.
- Binge All Night: Unlimited data every day from 12 am to 6 am.
- Voice: Voice is truly unlimited with every telco and is no different.
Vi's Voice and Data Volumes Remain Low
Vodafone idea's Data and Voice usage volumes remain very low compared with the competition. This shows users are not concerned about its lucrative offerings exclusively available with the telco, and the active users are also not consuming much of the telco's core services. As a result, the total voice usage remains approximately 2x-3x less than the peers, and similar is the case with the total data (2G + 3G + 4G) usage on the telco, which is around 2x-3x less than the competition.
The data and voice usage metrics speak for themselves. However, Vodafone Idea is the only telco yet to announce its 5G Roadmap. As we already discussed, Vodafone Idea is in a make-or-break situation this year, 2023. While there has been no concrete roadmap from the telco for many years now, this relentless dragging is impacting the consumer service quality in the Indian Telecom Industry. Only time will tell how things turn up with the telco.