Telstra's new 365-day prepaid mobile broadband plan doesn't beat competitors

New plan with 12GB for $180 doesn’t beat competitors' price per gigabyte

A new Telstra prepaid mobile broadband plan offers more data but still costs more per GB than competitors.

With a $180 recharge, customers will get 12GB for 365 days, and replaces the company’s previous 365-day offer, $150 for 10 GB, a Telstra spokesperson said. The price per GB of each offer is the same, with both amounting to $15 per GB.

“We’ve found many of our customers on the 10GB plan are using their allowance within the 12-month period,” the Telstra spokesperson said.

However, the price of the plan doesn't put Telstra ahead of the competition.

An Optus spokesperson pointed to its 365-day plan providing 15 GB for $130, or $8.67 per GB. The plan has been on the market since April 2011.

Vodafone has a 365-day recharge that’s 12GB for $150 ($12.50 per GB), according to its website. It also offers 18 GB for $200, ($11.11 per GB), 25 GB for $250 ($10 per GB) and 30 GB for $300 ($10 per GB).

Virgin Mobile, which runs on the Optus network, offers 12GB for $149 over 365 days ($12.41 per GB), or 18GB for $199 ($11.05 per GB), a Virgin spokesperson said. The first plan launched in 2010, while the $199 plan was first offered May 1 this year.

“What we are seeing is a relentless driving down of prices thanks to competition and this is just another one,” said BuddeComm analyst Paul Budde. “It gives the flexibility people want and offers another option, more based on what customers want rather than on the usual inflexibility and complexity that telcos are giving us.”

The Telstra spokesperson said that its prepaid and postpaid mobile broadband services are “really popular” with its customers, and saw a "strong demand” for both prepaid and postpaid services in the first half of the financial year.

Prepaid “is really popular as it allows customers to get connected without the need for fixed term contracts or minimum monthly spend commitments,” the Telstra spokesperson said.

The plan will be available starting Tuesday, according to the Telstra spokesperson.

Follow Adam Bender on Twitter: @WatchAdam

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