MTN legal action caused higher Cell C prices, says source

At least the intention to pass the savings on to the consumers was noble, wonder if Telkom Mobile had any such intentions?
 
That high-level source is probably their marketing manager given their recent ad campaign strategy.
 
Fudzy said:
That high-level source is probably their marketing manager given their recent ad campaign strategy.
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Quite a mischievous comment citing absolutely NO evidence on your part.

Haters will hate... sad
 
Twista said:
Quite a mischievous comment citing absolutely NO evidence on your part.

Haters will hate... sad
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Really? Two weeks ago Cell C put a full page ad in the Sunday paper saying the reason why people pay too much is because of the interconnect fees, now they are saying that their offer isn't as cheap as they wanted it to be because of the same reason. Why wouldn't there be a link between the two?

http://www.itweb.co.za/?id=71072:Cell-C-ad-campaign-backfires
 
So, Cell C, what happens when Vodascum and Mtn lose and ICASA has the green light to implement those new tarrifs?

Infinity R500?
 
Dups! said:
So, Cell C, what happens when Vodascum and Mtn lose and ICASA has the green light to implement those new tarrifs?

Infinity R500?
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Better still, why weren't Cell C able to partner with somebody like MTN has with Afrihost to provide better data deals etc?
 
lets not impart too much belief in noble motives

If the CTR structure perfectly suits CellC they would be able to change the game by introducing the Infinity product at below the R700 barrier which I suspect exists in the market at the moment -- basically I reckon there are a significant number of people who are prepared to look at cell phone bills between R550 and R800 per month and are looking for the best deal they can find even if it would mean purchasing a handset.

Remember high volume callers are also quite often high volume call recipients as well so a product like VC's Red, Telkom's unlimited calling plans and Infinity is that your user base is not able (not allowed and you can terminate the contract if they do) to sit constantly on outgoing calls, so you find that a decent volume of calls is made and received even after hour and the costs offsetting becomes quite possible. Other than somebody using Infinity to constantly call Telkom Mobile CellC would be able to at R700 support voice calls to Vodacom/MTN of 3500 minutes without touching the bank (so about 2 and a half hours a day) without the customer receiving a single call.

At little under 1k CellC can't shake the field nearly as much as with under R700 BUT the question of sustainability remains and I strongly suspect that VC and MTNs great fear is CellC harpooning a few whales - unlimited calling at a price competing with SmartXL is a draw card.

However it would be a big shake up in the field
 
I am sure cellc would have some actuaries who gave them the break even point, mtn throwing a spanner in the wheel (which might increase their cost) actually changed their calcs a bit. Call patterns might change for a while but probably will average out after a while. People wanting to take this package are not there to put another business out of business by abusing their service, but they would like fixed cost. I am sure their would be T&C's ass well to this offer. E.G phoning 24 hours a day is humanly impossible.

I honestly believe they would have liked to introduce lower pricing, but they can't do it at a risk to themselves where the competition might win a court case and increase their cost
 
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moklet said:
I am sure cellc would have some actuaries who gave them the break even point, mtn throwing a spanner in the wheel (which might increase their cost) actually changed their calcs a bit. Call patterns might change for a while but probably will average out after a while. People wanting to take this package are not there to put another business out of business by abusing their service, but they would like fixed cost. I am sure their would be T&C's ass well to this offer. E.G phoning 24 hours a day is humanly impossible.

I honestly believe they would have liked to introduce lower pricing, but they can't do it at a risk to themselves where the competition might win a court case and increase their cost
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there is a market share cycle at work here. CellC needs a larger market share which it could accomplish with lowering prices. If CellC has a larger market share it will get more revenue of CTRs as more calls will terminate on their network - allowing them to lower prices even more.
 
Strange that they did not cite what the intended price of the package was before "Cell C had to increase the prices the new products at the last minute".

Unless this is just purely marketing (which, btw, I have no problem with - they should ride this for all its worth).
 
Paul Hjul said:
don't you know Telkom always has malevolent intentions because it was paid for by taxpayers
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Only you and MickeyD who perceive other people's posts, about how useless and incompetent Telkom is, as them accusing Telkom of being "malevolent" :)
 
abandonallhope said:
Only you and MickeyD who perceive other people's posts, about how useless and incompetent Telkom is, as them accusing Telkom of being "malevolent" :)
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I call a spade a spade, mate! What grates me is when we are stating our opinions on a specific thread (like this one) and then somebody will come in from the left field and state that "Telkom/VC/neotel/iBurst etc" are "whatever" and attempt to deflect the attention away from the topic in the OP.

btw TSA and TI are not very popular in my books right now.
 
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