Product choices - increased choice and complexity

Product choices - increased choice and complexity

KPMG International's view is that the majority of prepaid plans have become too complex and confusing, and this becomes overwhelming for the customer. We see network providers typically offering many plans with many variations and MVNOs opting for simplicity, and simple pricing structures.


Global Chair, Media & Telecommunications

KPMG Australia


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There is a need for increased transparency and simplicity of prepaid plans, and for brochures that are clear and concise and that compare each plan like-for-like.

“We identified a need in the Australian market for straightforward, clean and simple pricing structures and believe that our three plans tick all of those boxes, making it hassle-free for customers to stay connected.”

- Australian MVNO spokesperson

With three different SIM sizes now in common use, getting the right size SIM or a universal SIM was an issue for many shoppers. All SIM sizes should be stocked to avoid the practice of stores cutting mini SIMs down to micro or nano size, which can make the SIM unreliable.

The majority of telcos sampled offered a top-up bonus to encourage loyalty, but telcos need to be innovative and to continually upgrade these programs to drive ARPU and decrease churn.

Inclusion of international roaming with prepaid services is becoming increasingly common and will likely confer advantages on global telcos.

Mobile broadband is becoming increasingly important to customers but many operators have separate prepaid voice and data SIMs. There is an opportunity here for telcos to develop combined solutions.

SIM packaging should also not be overlooked in the drive to create a good customer experience.

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