Reliance Jio ARPU $4.7: Much More Than Airtel, Vodafone And Idea

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Let people get addictive, then talk about money! The statement fits perfectly well with Reliance Jio which has left the arch rivals Airtel, Vodafone, Idea in the race of earning revenue from customers. According to ET, citing the study from Kleiner Perkins, Reliance Jio is recording much higher ARPU (Average Revenue Per User) than the industry average, beating rest all telecom providers in India.

The study claims that as compared industry average of $2.83 (INR. 182) ARPU, Reliance Jio has clocked $4.70 (INR. 300) ARPU after the company stopped offering freebies in March this year. 67% of 108 million Reliance Jio users found value in the service and opted to stay glued with the network by subscribing to a paid tariff.

Reliance Jio roped in nearly 7 lakh users before the launch itself in June last year. By the end of March 2017, the total number of Reliance Jio users reached to 108 million. Since the launch of Reliance Jio, Indian telecom market is witnessing cutthroat competition, ultimate benefiting end users.

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In April, we dwelled deep into the ongoing ugly war between Reliance Jio, Airtel, Vodafone and Idea. While Reliance Jio has constantly been following the market with new jaw-dropping offers and schemes, other telecom providers are finding it though to match the pace of Reliance Jio.

Reliance Jio is so far the fastest growing mobile network in India. Within eight months since the launch, reliance Jio has become the fourth largest mobile network by the number of mobile subscribers. Reliance Jio has captured 9.29% of total mobile subscriber base in India by the end of March 2017. During the first three months of 2017, before Reliance Jio launched paid plans, the market share of Reliance Jio swelled from 6.4% to 9.29% – nearly 50% increase.

These figures clearly showcase the wide acceptance and success of Reliance Jio in India. Although Reliance Jio was criticised for sub-standard network quality in 2016, the company has somehow managed to keep its customers hooked with the network by blaming competitors for foul play. Meanwhile, Reliance Jio partnered with Samsung to enhance its entire telecom infrastructure.

The advent of Reliance Jio has revolutionised the complete mobile internet scenario in India. The trio, Airtel, Vodafone and Idea, who controls 60% of the broadband subscribers in India were forced to cut down the price of mobile broadband data up to 90%.

The Kleiner Perkins report highlights, the average price of mobile broadband data offered by Airtel, Vodafone and Reliance Jio is still on the higher than as compared to Reliance Jio. In March this year, compared to $0.33/GB offered by Reliance Jio, Airtel, Vodafone and Idea were charging little less than $2/GB.

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