Archive · 27 Jan 2026
Airtel Focuses on User Upgrades Amid Tariff Hike Uncertainty
Airtel is trying to make more money from each customer by getting people to upgrade their phones and switch to postpaid plans.
They can't raise prices right now because the biggest company, Jio, doesn't think it's necessary.
Airtel's plan is working a little, but it's not a big jump.
They have more customers using 4G and paying more for postpaid plans, which helps.
But the whole industry still makes less than what the leaders want.
So, Airtel is focusing on making small, steady improvements instead of big price increases.
Airtel aims to increase ARPU through user upgrades and service mix improvements due to the lack of industry-wide tariff hikes.
The company is focusing on upgrading feature phone users to 4G and migrating prepaid customers to higher-value postpaid plans.
Airtel's ARPU stood at Rs 256 in the September quarter, supported by a growing postpaid base and higher data consumption.
Industry-wide ARPU remains below Rs 300, with private operators at Rs 215 and including BSNL below Rs 190.
Airtel's strategy has shown results, but meaningful ARPU expansion will remain gradual without sector-wide tariff action.
- Who
- Bharti Airtel and the Indian telecom industry
- What
- Airtel's strategy to increase average revenue per user (ARPU) through user upgrades and service mix improvements
- When
- Current and near-term strategies, with the last tariff hike in July 2024
- Where
- India, with a focus on rural and semi-urban markets for network expansion
- Why
- To achieve higher ARPU levels in the absence of industry-wide tariff hikes
- Company
- Bharti Airtel
- Current ARPU
- Rs 256 (as of September quarter)
- Desired Industry ARPU
- Rs 300
- Current Industry ARPU (private operators)
- Rs 215
- Current Industry ARPU (including BSNL)
- Below Rs 190
- Key Strategies
- Upgrading feature phone users to 4G, migrating prepaid to postpaid plans
- Market Leader
- Reliance Jio
- Last Tariff Hike
- July 2024