Friday, 21 August 2020 08:59

Customers more satisfied with pre-paid mobiles rather than post-paid: claim

Customers more satisfied with pre-paid mobiles rather than post-paid: claim Image by Niek Verlaan from Pixabay

Pre-paid mobile phones are gaining in customer satisfaction, overtaking post-paid plans for the first time, the research firm Roy Morgan claims, adding that the change has come about in the last 12 months.

A statement from the company said satisfaction with pre-paid mobiles was at 76.8% in March, up 3.7% from April 2019. During the same period, satisfaction with post-paid phones fell two points to 75.6%.

Roy Morgan said this increase in customer satisfaction coincided with a rise in the number of Australians choosing pre-paid phones, growing from 30.3% in 2017 to 33%.

ALDImobile, TPG and Boost were the top three in the pre-paid mobile satisfaction ranks, the firm said, adding that ALDImobile was ahead of the others with a customer satisfaction rating of 90%.

However, Roy Morgan said, a majority of Australians still used post-paid mobiles, but the figure had fallen to 56.8% from 57.5% in 2017.

Trends in Mobile Phone Service Provider Satisfaction – 12 monthly moving averages

roy morgan

Source: Roy Morgan Single Source Australia, April 2015 – March 2020, Average 12 monthly sample, n=12,227. Base: Australians 14+ main users of a mobile phone.

Roy Morgan chief executive Michele Levine said the COVID-19-induced recession may accelerate the trends the company has identified in Australia's mobile phone market:

"We highlighted the trend of Australians turning to pre-paid mobile phones a year ago and this trend has continued," she said. "Now 33% use this type of mobile plan and, importantly, satisfaction with pre-paid mobile phones has overtaken the more widely used post-paid for the first time.

"Pre-paid mobile phones offer consumers greater control over their spending. The onset of COVID-19 has plunged Australia into its first recession for nearly 30 years and this economic contraction will force many to cut costs and closely watch their spending – including on mobile phone plans.

"The high customer satisfaction with third-party mobile phone providers such as ALDImobile, TPG and Boost, which rely primarily on a pre-paid model, puts these providers in a prime position in a financially constrained environment."

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Sam Varghese

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Sam Varghese has been writing for iTWire since 2006, a year after the site came into existence. For nearly a decade thereafter, he wrote mostly about free and open source software, based on his own use of this genre of software. Since May 2016, he has been writing across many areas of technology. He has been a journalist for nearly 40 years in India (Indian Express and Deccan Herald), the UAE (Khaleej Times) and Australia (Daily Commercial News (now defunct) and The Age). His personal blog is titled Irregular Expression.

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