Tigo hits back at Airtel’s bonus internet as MTN faces hitches

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Tigo hits back at Airtel’s bonus internet as MTN faces hitches

With one month of subscribers sharing data and airtime to their loved ones, Tigo now makes Airtel’s Valentine internet bonus for the Valentines Holiday less impacting on the market.

After two days, Airtel Rwanda launched its Valentines promotion where subscribers are able to get 100 percent bonus on data so that they can send love messages to their loved ones, Tigo just made a one month promo.

The Promo will see Tigo subscribers buying data and airtime to enable her clients share with their loved ones, implying that Airtel’s promo just goes under the carpet as the data war rages on.

“Tigo’s Month of Love is another way for Tigo to express our love for our customers,” said Tongai Maramba, Chief Executive Officer while launching the promotion on Friday.

He further stresses that this is not “only by handing out free airtime but gifts as well.”

Tongai noted that in addition to the client getting the full value of the package they have bought; their loved ones will get the equivalent in free airtime.

“After the customer receives the pack along with the confirmation message their loved one will instantly receive the same amount of airtime along with a notification,” he added.

The sector’s number two by subscriber base says that customers participating in the promotion are likely to win ticket for two to the Cinema, airtime worth Rwf 500, 100 MBs worth of internet data, and dinner for two at the romantic Bistro restaurant in Urban Boutique hotel.

“To access this promotion a subscriber dials *155#, adds the number of their loved one, and then select a package,” a statement announcing the promotion read.

This, according to experts comes yet as another mega promotion after its (Tigo) end of year Bonane promo that saw several lucky winners pocketing millions of money every week for three months, but had to face tough times with Airtel’s Ikirengaa that also gave out millions in cash prizes in the same months.

Although the promotion is seen by sector observers as hurting Airtel, MTN Rwanda which is the sector’s number one could have got the shock of the year.

According to sources inside the Nyarutarama based MTN Group subsidiary, the operator was planning to launch the similar promotion but was still held up in putting right technical hitches that hit it since Thursday.

The hitches according to the operator affected its internet and voice packages which saw most customers losing airtime. Efforts to get statement about the promotion were futile by press time.

If MTN now decides to miss out, it is likely to cost it a percentage in its subscriber base after Airtel managed to snatch almost 2 percent between 2014 and 2015 and losing its data dominance to Tigo.

“The operators are like playing the ‘begin it I destroy it game’ which makes the market face tighter competition. I think this is something that is likely to hurt the sector’s profit portfolio,” said Davis Mukiza, a business consultant.

Moreover, the repetitive  promotions  in voice  has seen operators recording less revenues  from the  segment  thus  looking opting to  pump more funds into data and mobile money.

Rush for data market stiffens competition in telco sector

Rush for data market stiffens competition in telco sector



About the author

Olive Ndaka is the Junior Editor for RwandaEye. An investor and young entrepreneur, she is a quick learner and has contributed many articles for RwandaEye in Kinyarwanda.

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