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May 4, 2020updated 05 May 2020 10:10am

Telco prepaid strategies to beat Covid-19 in Jordan

By GlobalData Technology

Telco operators closed in March 2020 when Jordan imposed the state of emergency. The government activated martial law, applying a full lockdown and curfew, to contain the spread of the Covid-19 pandemic.

Consequently, to better serve their customers in lockdown and help mitigate the risk of seeing their mobile revenue decline (as most of the mobile customer base is prepaid – see chart below – and needs top-ups), telcos have resorted to a number of offerings leveraging their digital channels – e.g. E-shops and mobile financial services.

Telco strategy to drive trade to E-shops

Zain Jordan, for instance, is attracting customers to use its E-shop by making available online-exclusive special data offers. The telco doubled the Internet allowance on its prepaid offers for the first three months for new activations that originate through the E-shop. Such a move could help stimulate sales and top-ups through the E-shop. This will help compensate any sales drop resulting from the closure of physical stores.

Mobile Financial Services (MFS) applications are also another digital tool harnessed by Zain to help mitigate potential drops in sales. The telco provides its refill top-ups service through its MFS application, Zain Cash. This allows customers to top-up accounts directly through the application without having to purchase a voucher from a physical store.

Cash on delivery

Orange Jordan offers compelling rate plans to customers on their E-shop and delivers their services through Aramex (shipping company) with a promised delivery timeline of two working days.

The telco partnered with cash on delivery payment provider, BCashy. The partnership allows customers to order mobile and fixed service plans, devices and accessories on Orange’s E-shop and then pay by cash on delivery.  This helps Orange cater for a larger spectrum of customers – especially prepaid users with no bank cards and customers who still prefer paying in cash after receiving the product rather than online. Furthermore, the telco launched its MFS service, ‘Orange Money’, at the beginning of the Covid-19 crisis, to allow customers to refill their prepaid allowances swiftly and perform several transactions.

Extra data allowances

Umniah Jordan is providing all its mobile plans through its E-shop. It has added extra data allowances on specific rate plans. Furthermore, the telco also offers free home delivery and a 100% refund guarantee. Customers can also refill their prepaid lines and conduct different transactions through Umniah’s MFS application, Mahfazti.

These are only part of the initiatives that telcos in Jordan undertook to alleviate the pressures of the pandemic. Going forward those initiatives will contribute to boosting customers’ adoption of digital channels.