Reliance Jio launches monthly plans 199 & 299 with 1.2 & 2 GB per day

As expected, Reliance Jio has launched its first monthly plans — Rs 199 for 1.2 GB per day and Rs 299 for 2 GB per day.

The plans were anticipated after the newcomer unveiled its permanent plans on Diwali — more than a month ago.

The plans price data at roughly the same levels as the current long-term plans.

For example, the 199 pack prices 1 GB of 4G data at Rs 5.92. This is slightly more expensive than the most popular Rs 459 plan that prices data at Rs 5.46 per GB (see chart at the bottom).

Similarly, the 299 plan, which 2 GB per day for 28 days, prices data at Rs 5.34 per GB. This is also largely comparable to the long-term pack. The longer-term pack is priced at Rs 509 and prices 1 GB at Rs 5.19.

Both plans, 199 and 299, are likely to shoot up to No.1 position soon as they are the most affordable 4G packs in India right now.

The plans are also likely to pose further challenges for incumbents, who are currently offering 1 or 2 GB (in all) plus unlimited calls at around Rs 180 per month.

They are expected to unveil new offers that match the Jio offer, but price their packs slightly higher.

For example, the 199 pack is likely to be countered by a Rs 229 pack, while the 299 pack is likely to be countered by a Rs 339 pack. They could also counter the 199 plan with a 199 pack that offers only 1 GB per day.

It remains to be seen how long the incumbents operators — Bharti Airtel, Vodafone and Idea Cellular — stick to their ‘premium pricing’ strategy.

The original logic behind pricing their packs higher than that of Jio was to ensure that the newcomer has space to increase its prices going forward.

However, the latest move by Jio to unveil monthly packs indicates that it does not expect to increase its pricing at least for the next 6-12 months.

As such, it will make more sense for the incumbents to compete with the given prices instead of hoping that the Mukesh Ambani-led firm will increase its prices soon.

PACK GB/DAY DAYS TOTAL GB RS/GB
199 1.2 28 33.6 5.92
299 2 28 56 5.34
459 1 84 84 5.46
509 2 49 98 5.19
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