Nothing really wrong with what Airtel did/is doing - dropping prices. Only they seem to have conviniently forgotten to alert users that the rates are temporary.
I have not read the CCK regulations on promotions, but one does need to be a lawyer to see that this can make a very good case for a supplier being "economical with the truth" in his relation with the customers.
walu.
NB: apologies for my being so biased, but I partly own Safcom and my last dividend was a whooping 450KSH (yes four hundred and fifty kenya shillings!). I just hope it will be more next year ;-)
--- On Fri, 1/21/11, Okechukwu <okechukwu@gmail.com> wrote:
From: Okechukwu <okechukwu@gmail.com>
Subject: Re: [kictanet] [Skunkworks] Fwd: CCK PRESS RELEASE ON AIRTEL'S PROMOTIONAL TARIFF - FEELANGA FREE
To: "Walubengo J" <jwalu@yahoo.com>
Cc: "KICTAnet ICT Policy Discussions" <kictanet@lists.kictanet.or.ke>
Date: Friday, January 21, 2011, 12:57 PMOn Fri, Jan 21, 2011 at 11:26 AM, Walubengo J <jwalu@yahoo.com> wrote:
haha!
"feelanga free" was not permanent after all; there's always a catch when running below operational cost. The catch here was simply grab customers from rivals and 3mths down the road remind them of the small print "that this was a promotion"...
And what in God's name is wrong with that? If the so-called aggrieved party can also have their promotion, what stops them. Its high time the 'Government' is not used by certain corporates to try and stifle competition. The bottomline is we want lower rates, and much lower than they are right now, and if going lower kicks you out of business, then don't go lower, and let us the consumer kick you out of business../Ok3ch
walu.
--- On Fri, 1/21/11, Odhiambo Washington <odhiambo@gmail.com> wrote:
From: Odhiambo Washington <odhiambo@gmail.com>
Subject: Re: [kictanet] [Skunkworks] Fwd: CCK PRESS RELEASE ON AIRTEL'S PROMOTIONAL TARIFF - FEELANGA FREE
To: jwalu@yahoo.com
Cc: "KICTAnet ICT Policy Discussions" <kictanet@lists.kictanet.or.ke>
Date: Friday, January 21, 2011, 11:01 AM-----Inline Attachment Follows-----On Fri, Jan 21, 2011 at 10:25 AM, Larry Madowo <lmadowo@ke.nationmedia.com> wrote:This might interest some of you---------- Forwarded message ----------
From: Alwala, Rachel
Date: Thu, Jan 20, 2011 at 7:23 PM
Subject: CCK PRESS RELEASE ON AIRTEL'S PROMOTIONAL TARIFF - FEELANGA FREE
Cc: CPR team <CPRteam@cck.go.ke>
PRESS RELEASE
![cid:image001.jpg@01CBAE80.383363D0]()
20th January 2011
STATEMENT FROM CCK ON AIRTEL’S PROMOTIONAL TARIFF – FEELANGA FREE
The Communications Commission of Kenya issued an Interconnection Determination for termination rates of both voice and Short Message Services (SMS), on 16th July 2010 and 1st January 2011, respectively, following the telecommunication network cost study undertaken by Analysys Mason on behalf of the Commission.
The Commission expected that the reduction of Interconnection termination rates would influence reduction in retail tariffs and consequently generate more competition in the market. Subsequently there has been considerable reduction of retail tariffs both for voice services and SMS, which has resulted in a significant increase in minutes of use on the GSM networks in the country. This is an indication of positive market response to the changes in prices.
Airtel Networks Kenya Limited, recently launched an offer in the market under the name, feelanga free, costing the on-net calls at a retail price of Ksh. 1 per minute from 6am to 6pm. Based on the information availed at the launch, the public has perceived it as a permanent tariff. Further, the Commission has received a complaint filed by one of the GSM Network operators that it is not clear whether feelanga free is a promotion or permanent tariff. Upon enquiry by the Commission, Airtel Networks Kenya Limited has since clarified that feelanga free is a promotional tariff, w.e.f, 13th January 2011. The Commission has further instructed Airtel Networks Kenya Limited, to comply with the promotional guidelines as provided in the Kenya Information and Communications (Tariff) Regulation, 2010.
The Commission also wishes to emphasize that network operators are free to adopt business models that suit them. Matters of cost structures and profitability are therefore left for the determination of individual operators. The mandate of the Commission is purely guided by the Sector Legislation and Regulations in force.
Issued by:
Charles. J. K. Njoroge
Director General
Communications Commission of Kenya
PO Box 14448
Nairobi 00800
Tel: 4242000
Fax: 4451866
Email: info@cck.go.ke
I wonder what the promotional guidelines say. I don't have time to read the documents that spells those. Anyone?
That sentence says it all though. If the business model suits Airtel, I wonder why anyone outside the Airtel conglomerate is complaining.
Isn't it the same "pilipili usioila..."?
I still feel the PSs statements were biased towards a certain player, and the issue of the constitution was the smoke screen used!
--
Best regards,
Odhiambo WASHINGTON,
Nairobi,KE
+254733744121/+254722743223
_ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _
Damn!!
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