Understanding How Jio Has Disrupted The Whole Telecom Sector in India

Before the arrival of Reliance Jio, there were 3 major telecom operators in India- Vodafone, Airtel and Idea Cellular that accounted for 70% of total active connections but the game changed when Reliance Jio stepped in the telecommunication market. India's telecom industry is the second largest market in the world and during the years, competition between players have only become more complex and complicated. However, the year 2015 was the crunch point for all the service providers in the market as Reliance Jio, formerly named IBSL, got set in motion in December 2015 after which there was no looking back.

Let us now understand how did it disrupt the market:

• Operational advertising

At the initial stages, JIO offered Free voice calls, Data packs, SMS and bundled applications in order to attract its target customers. Since the data packs came free with SIM purchase, the customers got hinged into internet which made JIO the first company to gain the fastest subscriber base of over 100 million. It also made huge investments in physical and online advertisements. Later on, the data limit was increased and Online Recharge for the same was made available.

• Cheapest tariff plans at 4G speed

The 4G speed was availed from TRAI (Telecom Regulatory Authority of India) and the restriction for free internet was 1GB/day which after establishing goodwill and customer satisfaction, became a paid service. However, the JIO Recharge was still relatively very low from what other service providers had to offer. The prices of data plans offered by the competitors of JIO had to be reduced drastically to survive in the market and had to bear exorbitant losses for the same.

• Jio applications and smartphones

Reliance Jio offered smartphones with Jio applications pooled at one place along with the 4G speed at unbeatable cheap prices so that people using phones at 2G or 3G speed would be exposed to better internet services. In fact, the Mobile Recharge to be made for data plans was offered at an extremely low price (say, 84 GB internet at Rs. 399 for 84 days) with other complimentary offers without lowering the quality of phones.

• Predatory pricing strategy

Don't get scared of this strategy, it is not an alien world. Predatory pricing is a strategy adopted by new companies that take into account the pricing policy of their product by lowering the prices to a level where it falls below their cost. In common parlance, prices falling below cost in order to attract customers. This creates initial losses but eventually increases the sales and goodwill of the company.

These were the few strategies and techniques through which Reliance Jio was able to outdo all the telecom operators and grab the entire telecommunication industry in its fist. You can take great advantage of it, get the best JIO mobile Recharge that suits your preferences and enjoy the best quality, speed and performance of internet and smartphone. Such recharges are also available on TalkCharge along with other E-voucher, Coupon Codes, and GiftCards.

Sushmita Sathe aim's to provide the best information to all readers. If you want to know more about Sushmita's suggestions, please visit her website talkcharge.com, where you can sign up to receive email's for her next article.