Customers more satisfied with pre-paid mobiles rather than post-paid: claim

Customers more satisfied with pre-paid mobiles rather than post-paid: claim

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Pre-paid mobile phones are gaining in customer satisfaction, overtaking post-paid plans for the first time, the research firm Roy Morgan claims, adding that the change has come about in the last 12 months.

A statement from the company said satisfaction with pre-paid mobiles was at 76.8% in March, up 3.7% from April 2019. During the same period, satisfaction with post-paid phones fell two points to 75.6%.

Roy Morgan said this increase in customer satisfaction coincided with a rise in the number of Australians choosing pre-paid phones, growing from 30.3% in 2017 to 33%.

ALDImobile, TPG and Boost were the top three in the pre-paid mobile satisfaction ranks, the firm said, adding that ALDImobile was ahead of the others with a customer satisfaction rating of 90%.

However, Roy Morgan said, a majority of Australians still used post-paid mobiles, but the figure had fallen to 56.8% from 57.5% in 2017.

Trends in Mobile Phone Service Provider Satisfaction – 12 monthly moving averages

roy morgan

Source: Roy Morgan Single Source Australia, April 2015 – March 2020, Average 12 monthly sample, n=12,227. Base: Australians 14+ main users of a mobile phone.

Roy Morgan chief executive Michele Levine said the COVID-19-induced recession may accelerate the trends the company has identified in Australia’s mobile phone market:

“We highlighted the trend of Australians turning to pre-paid mobile phones a year ago and this trend has continued,” she said. “Now 33% use this type of mobile plan and, importantly, satisfaction with pre-paid mobile phones has overtaken the more widely used post-paid for the first time.

“Pre-paid mobile phones offer consumers greater control over their spending. The onset of COVID-19 has plunged Australia into its first recession for nearly 30 years and this economic contraction will force many to cut costs and closely watch their spending – including on mobile phone plans.

“The high customer satisfaction with third-party mobile phone providers such as ALDImobile, TPG and Boost, which rely primarily on a pre-paid model, puts these providers in a prime position in a financially constrained environment.”

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