Budget mobile brands operated by TPG have recorded a 12.6% increase in subscriber growth over the past 12 months.
👉 Background: Over the past 6 months, we've seen Vodafone, Optus and more recently Telstra jacking up its prices on mobile phone plans by more than the inflation rate.
👉 What happened: While these telco giants have been upping their prices, the budget mobile phone providers are pushing to undercut the big dogs. In fact, budget mobile brands Felix, Lebara, and Kogan, all operated by TPG, have recorded a 12.6% increase in subscriber growth over the past 12 months.
👉 What else: These budget brands claim that 9 out of 10 of new customers say that price and data is the main reason for the switch.
💡To beat business giants at their own game, borrow their infrastructure and undercut their prices.
💡Mobile phone providers like Felix, Lebara and Kogan leverage existing infrastructure from the large telcos who spend millions each year to build and maintain these services.
💡We’ve seen this in the fintech industry too. Neobanks like Up, Wise, and Revolut are exclusively online and partner with traditional banks for bank infrastructure like funding and compliance.
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