Amaysim cuts prices, boosts data on 'one decision' plans

Amaysim is promising to add more value to its mobile plans with a restructure that adds sweeteners like more data, international calling minutes and lower prices across its array of "one decision" plans.

The announcement is timely for Australia's fourth largest telco and largest mobile virtual network operator (MVNO), which is set to celebrate its fifth birthday this month.

Across Amaysim's five "Unlimited" plans, unlimited international texts have been added to the all-you-can-eat standard talk and text inclusions. At the mid-range, the telco has also dropped the price on its 5GB plan by $5, bringing it down to AU$39.90, and added a new 5GB Plus plan that offers 300 international minutes for AU$44.90.

At the top end, the Unlimited 7GB plan has become an 8GB plan, complete with a $5 price drop to A$49.90, with 300 international minutes also included. Customers on the 7GB plan will be automatically migrated to this higher plan.

While there has been rejigging across the board, Amaysim's CEO Julian Ogrin said the central proposition is that customers just need to make "one decision based on data."

"We are looking after customers who are wallet-conscious, right through to those who are data hungry," said Ogrin. "So you now have a choice of 1GB right up to 8GB. You don't worry about your texts, your voice, your MMS, it's all covered under the one banner. You just determine whether you want to spend AU$24.90 up to AU$49.90 based on how much data you need."

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While bigger players like Telstra, Optus and Vodafone might have a legacy foothold in Australia, MVNOs are rising up the ranks as genuine competitors who resell these services for less. Customers get the reliability of a Vodafone or Telstra network (in Amaysim's case, Optus) but they get a lower price tag. But while they might be sold as handy features for savvy millenials, options such as self-service and online SIM purchase are ultimately also just good cost cutting measures for an MVNO.

The plan restructure comes at an interesting time for the challenger brands in Australia's mobile space, following the re-launch of rival MVNO Kogan Mobile. After a very public collapse two years ago, Kogan Mobile is back and bringing a bit of publicity back to MVNOs. But the memory of its downfall certainly raises questions about whether MVNOs are reliable service providers in the long term.

After a recent IPO, Amaysim's CEO says the company is here to stay, adding that "the telco in your pocket" wasn't in the same league as its rivals.

Ogrin says Amaysim's 4G offering sets it apart from the likes of Kogan Mobile, which is currently only offering 3G services on its plans, something he notes "is probably quite a limited market segment." And Ogrin also points to the question of trust. While Amaysim might be a relative newcomer, he says the telco doesn't "take anything for granted."

"The Australian consumer is very savvy, and they can see which brands are sustainable, which brands are not. Ultimately you've got to build trust to the consumer through the reliability and trustworthiness of your brand," he said.

"If I look at the Kogan Vodafone partnership, in my opinion, there's a trust development required there...I think there's probably a little bit of winning over the market in the short to medium term."