Tesco undercuts other UK operators with £20 iPhone monthly plan

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Comments

  • Reply 21 of 28
    Wow, UK has Tesco, US has Walmart, wonder which big box store Canada will have an iPhone deal. Rogers is charging me to death for my iPhone $80 a month. No wonder I'm iCrazee.
  • Reply 22 of 28
    benicebenice Posts: 382member
    Quote:
    Originally Posted by michaelab View Post


    It's possible (and always has been) to buy an iPhone off-contract (outright, unlocked, legal, no strings attached) in the UK. It's obviously expensive though:



    http://www.expansys.com/d.aspx?i=183742



    Michael.



    Thanks for that. Certainly looks very overpriced to me. In dollar terms that is about $500 more for exactly the same unit (outright and unlocked) here, using the Apple outright price as my benchmark.



    Hopefully Apple start selling it outright and unlocked in the UK too, so there isn't this kind of rank opportunism occurring.
  • Reply 23 of 28
    benicebenice Posts: 382member
    Quote:
    Originally Posted by stuffe View Post






    To answer a couple of notes above, yes you can just buy it (not cheap tho) and the WIFI isn't tied to Tesco, but the standard O2 stuff.



    I can't say it's any cheaper over the lifetime of a contract that anywhere else, given the higher entrance costs, but at least it's different, and for those who don't want a lengthy lock in etc it might be suitable.



    Interesting. Anyone able to confirm whether these are unlocked prices? I want it so that if I go to Sweden or anywhere else for a week I can jam in a TeliaSonera SIM and it will be fine.



    Also, PAYG means no contract is that right?
  • Reply 24 of 28
    MarvinMarvin Posts: 15,491moderator
    Quote:
    Originally Posted by cosmic68 View Post


    Anyway, i'm sh*t at maths. I'm on O2 on the £35 tariff, is the Tesco deal a good one?



    Say you get the 16GB 3GS iphone. O2 charge:



    £30 per month for 18 months with 75 mins and 125 texts, handset price is £185, unlimited data.



    On Tesco:



    £20 per month for 12 months with £60 worth of calls and texts, handset price is £320. It doesn't say if 3G access is charged after 12 months or if it's just the openzone wifi.



    Generally calls will be on average 25p per minute (to the same network) and texts 12p each so £60 gets you about 240 minutes or 500 texts. If you split them evenly, it's 120 minutes and 250 texts. Pretty much double what O2 offer. It's also better having a single amount for both as you might not text much one month so you get more call-time. With O2, it doesn't matter.



    Calls to other networks will be 50p per min so that brings the total closer to O2.



    As for the overall cost, you are talking about:



    18 x £30 + £185 = £725 on O2

    12 x £20 + £320 = £560 on Tesco



    More minutes/texts, shorter contract and saving £165. Now, if they start charging £10 a month for 3G access after 12 months, that saving is negligible but it's still a more flexible contract with better minutes/texts. I can see the initial price putting people off though.



    All O2 really have to do is drop the 3GS handset price to £99 and consumers will most likely overlook the savings on the Tesco Mobile tariff.



    Quote:
    Originally Posted by benice


    Interesting. Anyone able to confirm whether these are unlocked prices? I want it so that if I go to Sweden or anywhere else for a week I can jam in a TeliaSonera SIM and it will be fine.



    Also, PAYG means no contract is that right?



    Those are locked to that network but PAYG means no contract. You'd have to unlock the phone yourself if you bought one of those. I think the jailbreaking software allows you to do an unlock only.
  • Reply 25 of 28
    Quote:
    Originally Posted by Marvin View Post


    18 x £30 + £185 = £725 on O2

    12 x £20 + £320 = £560 on Tesco



    O2 offers minutes allowance. 75 mins and 125 texts are already covered by £29.38 a month.



    Tesco does not. With Tesco it's £560 + up to £60 of flate rate calls/texts + whatever else you spend above that limit. Voice minutes and texts are not covered by £20.

    The difference is thus less than £165.

    Having iPhone and 75 mins and 125 texts per month with Tesco costs you

    12 x £20 + £320 + 12 * 75 * £.20 + 12 * 125 * £.10 = 560 + 180 + 150 = £890

    after 12 months.

    The advantage of Tesco's plan is that voice minutes are usually never consumed. And a customer will probably get somewhat £40-50 of texts a month, which is not that bad.
  • Reply 26 of 28
    MarvinMarvin Posts: 15,491moderator
    Quote:
    Originally Posted by ivan.rnn01 View Post


    With Tesco it's £560 + up to £60 of flate rate calls/texts + whatever else you spend above that limit. Voice minutes and texts are not covered by £20.



    I don't think so, the unlimited calls on the £60 per month plan doesn't mean you get unlimited calls at a flat rate but rather you get unlimited calls included. On the £20 per month plan you get just £60 included and after that, you get charged at the rates mentioned. You already buy the phone outright so the £20 each month has to be on calls, texts and data. Data is only £10 per month at most.



    My numbers were wrong though because Tesco actually have lower rates than O2 so it's only 20p for other networks and 10p per text. This means the £20 per month plan gets you 300 minutes or 600 texts.



    Check here for a comparison of all providers:



    http://recombu.com/news/tesco-iphone...bc_M11234.html



    "Value has always been a key concern for Tesco Mobile, with a Tesco Mobile spokesperson telling us today, ?It was important for us not to come out with something that was just a few pence cheaper.""
  • Reply 27 of 28
    Quote:
    Originally Posted by Marvin View Post






    Those are locked to that network but PAYG means no contract. You'd have to unlock the phone yourself if you bought one of those. I think the jailbreaking software allows you to do an unlock only.





    Thanks for that Marvin.
  • Reply 28 of 28
    Quote:
    Originally Posted by Marvin View Post


    I don't think so, the unlimited calls on the £60 per month plan doesn't mean you get unlimited calls at a flat rate but rather you get unlimited calls included. On the £20 per month plan you get just £60 included and after that, you get charged at the rates mentioned. You already buy the phone outright so the £20 each month has to be on calls, texts and data. Data is only £10 per month at most.



    My numbers were wrong though because Tesco actually have lower rates than O2 so it's only 20p for other networks and 10p per text. This means the £20 per month plan gets you 300 minutes or 600 texts.



    Check here for a comparison of all providers:



    http://recombu.com/news/tesco-iphone...bc_M11234.html



    "Value has always been a key concern for Tesco Mobile, with a Tesco Mobile spokesperson telling us today, “It was important for us not to come out with something that was just a few pence cheaper.""



    OK, for the better. (I still have doubts, but I'd be glad to mistake their pricing)

    P.S. Apparently, O2 sells the minute of voice call a bit cheaper --- £.196, which is normal in the situation with Tesco as MVNO.
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