Wednesday, 27 May 2009

Why I need to switch to prepaid mobile service in Singapore?

Usually, a mobile operator would prefer a postpaid (contract) subscriber rather than a prepaid subscriber. It is because postpaid subscribers are usually more loyal to the network and they generate higher revenue.
Postpaid subscribers also bind to a contract in term of years. It could mean the operator can give a bigger discount because once they have signed the contract, the cost to manage them for the coming years (1 year - 2 years usually) will be lower.

In simple, postpaid subscribers are higher revenue and lower cost.

On the other hand, prepaid subscriber is price sensitive and they are easier switched to other operators just because of the price. They usually don't value the service provided by the operator. From every annual reports of any mobile operators, we can easily figure out that the value of a postpaid subscriber is much higher than a prepaid subscriber.

Moreover, the additional cost overhead such as SIM cards, topup cards are also huge. Therefore, a prepaid subscriber usually means lower revenue and higher cost.

However, after receiving this bill, I would switch my postpaid subscription to prepaid subscription.

The picture here may not clear, but basically:
1: Postage & Handling Fee for Reminder. S$0.50
  I am being charged because I paid my bill late. They have sent a reminder and it costs $0.5.
2: Caller-ID: S$5.00. Caller ID service is worths $5
3: AutoRoam: S$10.00: Roaming service is $10. It allows your mobile to roam.
4: Free v019: S$5.35. IDD call, subscription is S$5.35 per month.

If I switch to prepaid, the item 2 - 4 will be ALL free. It is just part of the package. In addition, since I become a prepaid subscriber, the operator does not need to send a reminder if I pay my bill late. I will save $0.50.

It is true that my mobile bill is paid by company. But I don't feel I am a value customer at all. One time, I paid my bill late, they have stopped my service when I was in Jakarta. I can't make call and I can't receive call. The operator did not allow me to log on to any network.

That's all.

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