Premium users become telecom’s new Arpu battleground

Telecom operators are increasingly turning to customer segmentation and premium benefits to lift average revenue per user (Arpu), as the industry is looking to extract more value from existing subscribers rather than rely solely on another broad-based tariff increase.

The shift is particularly significant for Reliance Jio, which has seen its Arpu growth trail Bharti Airtel even as it continues to add subscribers. In the April-June quarter, Jio’s subscriber base grew 1.7% sequentially, while its Arpu rose 0.75%. Airtel, by comparison, reported 0.88% growth in subscribers and a 2.75% sequential increase in Arpu.

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