The telecommunications company created rental plans called Premium with which it seeks to strengthen its subscriber base with 5G technology and increase its total revenue.
More than two years after the launch of the fifth generation of networks in Mexico, AT&T is determined to promote the mass adoption of this technology among end-users. The company, led by Mónica Aspe, will present a new offer of postpaid plans that stand out for offering a greater amount of internet gigabytes and facilitating the acquisition of 5G-compatible phones, which has been one of the main barriers to the transition to this new network.
Under the name of AT&T Premium, an evolution of Ármalo, the telecommunications company seeks to strengthen its subscriber base with 5G technology, with the aim of increasing its Average Revenue Per User (ARPU), which represents the average spending of a user on telephony and internet services from their mobile device, and consequently, its total income.
At the end of 2023, the American operator had 22.3 million subscribers, of which 5.2 million were postpaid, generating an ARPU of 141 pesos, still below its main competitor,
Telcel, which recorded 176 pesos and had achieved an increase of 5% interannually. One of the main challenges for telecommunications operators is to ensure the profitability of 5G among customers. For this reason, companies have begun to design plans that offer larger data packages and access to social networks, in order to increase consumer spending.
Although Mexico currently has 6.6 million 5G lines, positioning itself as a leader in Latin America in the adoption of this advanced technology, this figure is still considered moderate compared to other countries like China, where the fifth generation of networks is more widely used, according to data from Ericsson.
“AT&T Premium is a great bet to democratize 5G, through plans that include phones for this network so users start using it, but also to (boost) the postpaid segment,” said Maggie Contreras, director of postpaid strategy and lifecycle at AT&T Mexico.
One of the challenges for users to migrate to 5G has been understanding this new technology. Some users who have adopted the fifth generation of networks have experienced “inconveniences,” such as faster data depletion or an increase in the cost of their postpaid plans.
However, AT&T’s management has assured that the company is committed to promoting greater awareness among users about the implications of using 5G. “With this new plan, we prioritize transparency so that customers fully understand the product.
It is true that there is still some ignorance about 5G, but we believe that over time, as happened with roaming, it will become a normalized service,” added Contreras.
The pandemic marked a significant change for telecommunications companies, which recognized the need to offer personalized plans due to the different connectivity needs of each user.
Under this premise, AT&T will launch Premium, which will allow customers to create their own packages, but with access to 5G. AT&T’s Premium plans will cost between 299 pesos and 1,399 pesos.
In addition, users will be able to choose between financing terms for smartphones of 24, 30, or 36 months, as well as enjoy unlimited data, calls, and messages, and unlimited access to six social networks, depending on the selected plan. The company will also implement a plan called Premium Titanium that will offer Apple users the option to renew their iPhone for a newer one every 12 months.
Source: Expansion
