Reports of price hikes amongst ISP’s
Whilst some providers are increasing their pricing, others are seeing the benefit of keeping their pricing at existing rates.
The major tech news website mybroadband.co.za in the last month published various articles on the price hikes expected from some of the biggest ISP’s in South Africa due to the weakening rand. The price hikes will seemingly affect connectivity as well as other hosting and telecoms product suites.
Vox Telecoms and Internet Solutions are amongst those who users can expect a price hike from. Despite these companies trying to protect customers from pricing volatility, the weakening rand is minimizing the sustainability of existing pricing for 2016 forcing providers to increase their connectivity, cloud and telecoms pricing to stay ahead.
Amongst the providers we have seen some significant increases with Internet Solutions increasing connectivity by 4.5% and cloud services by a whopping 12% whilst Vox has managed to keep the price hike to a minimum, in all instances of 3.9%.
Some fibre and ADSL providers have not made any plans to increase their pricing in the next few months and some such as Cybersmart have even voiced some advantages of the weakening rand in their efforts to extend their fibre rings.
As for us, at ESAPARTNER we are not increasing our pricing and are for the foreseeable future keeping our prices at their existing rates for the benefit of our customers. Despite the weakening rand, we have structured our pricing in a manner that ensures sustainability in 2016 despite the volatility of the rand. Should the rand worsen in the coming months, we may need to look at small increases but there is nothing on the table as yet.