How Cell C plans to beat Vodacom and MTN

Cell C CEO Jose dos Santos said their new recapitalisation deal will give the company the opportunity to realise its potential, and beat Vodacom and MTN.

Speaking to Bruce Whitfield on CNBC’s MoneyMakers, dos Santos said their massive debt burden crippled the company in the past.

The recapitalisation deal will see Cell C reduce its debt to R6 billion, down from “high double-digit figures”. The debt will also now be in rand.

Dos Santos said the lower debt will put the company “on a really good footing”, and give its management and staff the opportunity to deliver Cell C’s strategy.

He said the main aspects of their strategy to take on Vodacom and MTN includes:

• Being disruptive
• Being innovative
• Driving down prices
• Creating efficiencies in the products they offer
• Focusing on excellent customer service
• Creating great products and services

Dos Santos said they have improved their network quality over the last two years, and will continue to invest in network infrastructure while offering the best service to their customers.

He is confident that Cell C’s network is now on par or better than Vodacom and MTN’s networks, and that it lays a good foundation for them to take on their competitors.

Combine this with dos Santos stating that MTN and Vodacom have declared war on consumer interests, and it is clear that Cell C is ready to compete aggressively.

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