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“Premium” rates will pay more, but “low cost” rates will intensify the price war.

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“Premium” rates will pay more, but “low cost” rates will intensify the price war.

The main telecommunications operators have already started to announce the price increases they will apply to their customers in 2025. And one more year It will be the users who signed up for premium rates who will have to dig deeper into their pockets.because the strong competition that exists in the low price sector will ensure that the cheapest offers will remain unchanged, or even improve.

As already happened in November 2023, Movistar began communicating this week to its customers the increase which you will see on your bill from January 13, 2025. A few days later, it was the turn of Vodafone, which will again increase its prices based on the CPI for the third year in a row, but this time including personalized benefits for its customers.

After these first announcements, it remains to be seen what its rivals will do. Experts estimate that one more yearcompanies more focused on low cost How Digi or Finetwork will distance themselves from these increases and they will even try to continue to improve their prices. The big question is whether the creation of Masorange will affect the pricing policies of the two groups that make it up, Orange and MásMóvil.

Movistar began informing its users of this increase last Monday 25. In 2025, the increase will be around 5%a percentage higher than the 3% of 2024, but lower than the 6.8% of 2023. However, as Kelisto explains, the increase will depend on each tariff, since customers configure their miMovistar package by adding products to their taste.

For example, Roams specifies that 300 Mbps fiber will increase by 7%, while converged plans will increase from 0.19% to 4.9%. On television, Movistar Plus+ increases by one eurowhile packages including streaming content increase between 15% (Netflix Standard) and 18% (Total Fiction). In addition, the price of the Total Football package is also increased by 4 euros.

Percentage increasing

At Kelisto they add that a positive aspect for Movistar users is that Their projects are not locked, allowing them to change without penalties. They will only have to be careful if they pay for a device in installments and if they want to continue watching all the football, because the offer on the market is limited and only Orange competes with Telefónica.

For its part, Vodafone began this week to inform its subscribers and its distribution channel of a price increase of 3.05%, which corresponds to the Average Consumer Price Index (CPI) from September 2023 to October 2024. An increase lower than last year’s increase of 4.35% and which on this occasion is accompanied by personalized benefits for the customer.

Roams analysts detail that this percentage means that on mobile the increase will be between 0.45 and 0.90 euros, while on fiber only it will be between 0.81 and 1.05 euros. In the case of convergent packages, their price will increase between 1.05 and 1.95 euros. For their part, television packages do not seem affected by this price revision.

Furthermore, since Kelisto, they emphasize that the rise in power This will only apply to those who hired before July 2024when the company updated its entire catalog with cheaper prices. “As a result, even though its oldest customers will see an increase, the company has actually reduced its amounts this year,” they point out.

Orange and Low cost

In the case of Orange, in recent years made the increases several weeks after its rivalsusually at the end of the first quarter of the year. We will now have to wait to see if this policy will be maintained after the merger or if Masorange will opt for other types of measures regarding its prices.

From Kelisto they consider it “very likely” that he follows Movistar with any small increase linked to their football prices or those which include streaming platforms. But they also point out that last year, it was the operator who increased its prices the least (only one or three euros for fiber and mobile).

A person using a laptop at a train station.

Phone

With this in mind, Roams analysts also expect the major brands of the Masorange Group, viz. Orange, MásMóvil and Yoigo revise their tariff base upwardsbut they are unsure if they will consider CPI or other factors to update prices.

And what will happen to him? low cost? In recent years, strong competition in this segment has led not only to the absence of increases, but also to aggressive offers and price cuts. In this context, experts emphasize that Alternative operators maintain “a strategy differentiated from large telecoms”.

For example, Digi has continued to improve its prices until this month, it is expanding mobile data without affecting prices, and already offers fiber from 10 euros per month. In addition, both the Romanian operator and Finetwork force their competitors to compete by offering a price of between 20 and 30 euros per month.

Digi sources told EL ESPAÑOL-Invertia that The company does not plan to change its price maintenance policy and improve performance. In fact, they emphasize that if they can reduce their rates, they will, as they have demonstrated in the past.

For its part, Roams emphasizes that this scenario will mean that low-cost operators dependent on big brands, such as O2, Lowi or Simyo, “will continue the battle for low prices, given that currently it is a truly fierce fight.

A final factor concerns promotions. And by removing some related to the purchase of devices for Black Friday, The big telecoms no longer have offers like that of August and September with the start of the school year and football. Only time will tell if they will return to discounts to offset the impact a price increase could have on their customer base.

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