Telco customer loyalty could be costing them a fortune

TELCO customers are loyal to their providers but it could be costing them unnecessary cash. Here’s why you might need to switch telcos.

LOYAL phone customers could be costing themselves unnecessary cash by sticking with the same provider and missing out on red-hot deals.

The telco industry is hotter than ever and customers are finally wising up to the cheaper and fatter deals on offer.

New findings from financial comparison site Canstar Blue found the consumers who stick with their telco for the longest are Telstra customers (64 per cent), followed by Vodafone (57 per cent) and Optus (50 per cent).

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But the report found of the big three telcos, Telstra customers are more likely to battle paying their bills — only 77 per cent can comfortably afford their payments, followed by Optus (84 per cent) and Vodafone (83 per cent.).

Canstar Blue spokesman Harrison Astbury said for customers not tied down to a contract it is very easy to switch telcos but there are a few key things to consider first.

“Unlimited calls and texts are pretty much a foregone conclusion with any plan over $15 these days so the next battleground for telcos is data,’’ he said.

“If you’re a light user, 1 to 2GB may be enough.

“If you’re a regular user you may need more than 5GB and if you’re a video watcher or Netflix user you may need more than 10GB.”

Many telco customers stick with their same providers and fail to shop for cheaper deals.

He suggests savvy phone users hunt for a new deal at least every six months as the offers continue to be massaged by providers.

But Telstra’s head of mobiles Kevin Teoh said having a good deal isn’t just about price.

“We believe that connectivity is important and we encourage customers to seek out the best value — not just the best price, but service, network, connectivity and plan inclusions, to get the plan that is right for them,” he said.

“To make sure all our customers enjoy a great network experience we offer Australia’s largest 4G footprint providing coverage to 99 per cent of the population.”

Telcos are also trying to push each other out of the way by including optional “add-ons” enticing customers to get more bang for their buck.

These come at a cost thought and can include options such as data-free music streaming and entertainment packages.

Boost Mobile’s general manager Jason Haynes it’s vital customers “understand their habits and how they may change.”

“The other things that are also important is the network you are on and people generally don’t pay as much attention to that as they should,’’ he said.

Mobile phone number portability has also made it easier than ever for customers to switch without having to change numbers.

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HOW TO SWITCH TELCOS

— Find the best phone deal available.

— Contact your new provider and switch to a new deal.

— Explain you want to keep the same number.

— Do not cancel your existing service.

— Make sure your new provider moves you across and does the legwork for you.

— Once you get your new SIM follow the instructions to set up your phone.

— Moving providers can take anywhere from minutes to hours so be patient.