Airtel's ARPU driven largely by minimum recharge, not 4G subscribers

The 10-per cent-plus jump in data subscriber base over the past three quarters has not translated into significant ARPU gains, say analysts

Conversion of 2G subscribers (subs) to 4G subs is not yet helping Bharti Airtel improve prices. The company indicated that the 19 per cent growth in the January-March quarter average revenue per user (ARPU) was driven largely by the minimum recharge plans. However, data subscribers are yet to channel ARPU growth for the telco.

In addition, the company has indicated that the recent upgrades of the Rs 99 Plan to Rs 119, and Rs 149 to Rs 169 have helped to prevent any degradation in the ARPU. What is more worrying is that with the 10-per cent-plus jump in data subscriber