Why we’re changing our mobile plans, and what you’ll get out of it

We know that you want and are using more mobile data than ever – so we’ve updated our plans and pricing to meet that need as we continue the rollout of Australia’s largest 5G network. As part of our huge reimagining of what Telstra is and does for our customers through our T22 strategy, we’re committed to responding to what you want from us.
Michael Ackland · 30 June 2020 · 3 minute read

Last year, as we moved to plans which had no lock-in contracts and no excess data charges in Australia, we radically changed the way we worked. If you have a mobile plan with Telstra, you now have the freedom to move up and down plans to suit your budget and data use each month, so you only pay for what you want.

One year on from when we introduced our new mobile plans, we’ve seen a fundamental change in the way Australians are living and working through the coronavirus pandemic. To that end, we’re refreshing our mobile plans with up to 30GB of extra data, including 5G network access on selected plans for customers with a compatible device in 5G areas, and helping to ensure those who may be struggling financially have options to suit their needs.

Here’s the bottom line: From July 1, in line with the extra data we’ve added, prices will rise by $5 per month on new Small, Medium and Large mobile plans. Our Small plan gains 10GB of extra data for a total of 40GB per month, while Medium and Large plans both add 20GB for a total of 80GB and 120GB a month respectively. Our Extra Large plan will rise by $15, and include 30GB of extra data for a total of 180GB. We’re including 5G access on Medium and above plans as part of this shift.

The good news for eligible customers is that we’re offering them a credit to offset the price rise for 12 months if they move to our new plans before September 30. Any customer who took up a Small, Medium, Large or Extra Large plan prior to 1 July 2020 is eligible for a credit for 12 months which will offset the price rise if they migrate to an equivalent new plan. The credit on the Small, Medium and Large plans is $5 per month for 12 months, and on the Extra Large Plan, $15 per month for 12 months. We’re contacting eligible customers via email with details of this offer and to encourage them to migrate.

In addition to this offer, which effectively cancels out the impact of the price rise for eligible customers who choose to move, we are also committing to not raising the price of our new Small, Medium, Large or Extra Large plans for 12 months.

Importantly, following the conclusion of our 12-month free 5G trial, we have decided not to charge a separate fee for 5G on our new month to month plans. Customers will be able to continue getting 5G if they are on eligible plans or by switching to our Medium and above plans.

This is ultimately because 5G’s capability to handle more data-intensive uses like streaming means that customers with 5G use more data – so we’ve given our 5G-capable plans even more of it. A small number of customers on existing Small plans who have a 5G handset will be migrated to a Medium plan, which includes 5G access – but those customers will be given an equivalent monthly rebate for 12 months to ensure they’re not unexpectedly paying more.

In addition to the extra data and 5G access, we’re also including access to Foxtel’s new streaming service Binge on us for a minimum of three months for all customers on these new plans, as well as extending our offer of Kayo sports streaming for as little as $15 per month. We’re also boosting the points earning rate for Telstra Plus, our rewards program for customers, and giving all Telstra Plus members an additional three months of Binge. Silver and Gold members get even more – an additional six or nine months (on top of the three months for all customers), for a total of up to 12 months access to Binge on us.

After looking at how we can better support our customers during financial hardship, we’re also adopting a more enduring package of measures for those who need them. These measures include permanently removing late fees for customers on direct debit, adding the option online to immediately suspend services as your needs change or if you need to reduce your spend, and extending the application date for our discounted Connected Family internet offer to September 30 2020 for eligible low-income families. We’re also continuing our $30 Value Offer mobile plan for eligible customers with a healthcare card.

As Australia begins to return to a new normal, and as we all learn to live more safely with the ongoing presence of coronavirus in our communities, we too are adapting our mobile plans to face the future. We’ve seen first-hand the dramatic change in the way Australians are working and living, how we are using our mobile phones and mobile data more than ever, and we believe we’ve got the balance right.

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By Michael Ackland

Chief Financial Officer and Group Executive, Strategy & Finance

Michael is responsible for all our Consumer & Small Business sales and service channels. He joined Telstra in 2016 as Executive Director of Telstra Country Wide, with responsibility for over 350 retail stores and over 16,000 partners nationally. Michael joined Telstra from GE, where held the role of CEO GE Healthcare, Australia and New Zealand. In his 12 years at GE, Michael held various executive leadership roles across GE’s Australia and New Zealand business, including financial services, corporate and healthcare divisions. Prior to GE, Michael was Principal at The Boston Consulting Group, where he worked for eight years.

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