The experts see business sense around sachet pricing, especially for a low income group subscriber in the villages of India, who is mostly a prepaid user and does not have a big budget to spend. They say sachet pricing can yield results not only for Inetrnet penetration, but other services other than voice.
Rohan Samarajiva, CEO, LIRNEasia, a regional ICT policy and regulation research and capacity building organization, says for addressing the needs of Internet functionalities for the Bottom of the Pyramid (BOP) users, one need to understand one crucial thing that mobile and PCs are the best vehicle for IT-delivered services to rural India. He says the flat rate model does not fit the prepaid user. The operator should look at giving the user an opportunity to use Internet components at a low cost.
Amit Sinha, AVP, One97 Communications approves sachet pricing for increasing adoption VAS by subscribers in the rural areas. For a subscriber who does not have a very high balance on his prepaid account may not be comfortable subscribing for a particular value-added service for a monthly subscription.The adoption trends have been quite interesting. Reducing the sachet price from Rs 30 to Rs 10 can affect the VAS adoption by about 35-45%, he says.