11% of corporate cellphone contracts aren’t used at all says Tariffic


Tariffic has published a study today and the results reveal corporates might be spending more on cellular contracts than they should be.

Among the results of the study is revelation that 11% of the corporate lines Tariffic analysed went unused. “Usually when an employee leaves a company or moves roles, the SIM cards then land up gathering dust in a desk drawer somewhere while the company is still charged every month,” says Tariffic chief executive officer, Antony Seeff.

The firm also found that selecting the right cellular contract can save a company – on average – R280 per month. The biggest culprit of this overspend is the cost of data. Tariffic chief technology officer, Nicholas Botes says that what people don’t often realise is that out-of-bundle data can sometimes be as much as six times more expensive than data purchased in a bundle. “Tariffic Online sees company employees saving an average of R226 per month by simply adding the correct bundles,” Botes says.

Vodacom is expensive, but popular

Through its analysis, Tariffic found that 80% of all corporate contracts belong to the Vodacom network. This is surprising because as Tariffic points out, Vodacom is 21% more expensive than other mobile network operators.

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The firm also found that the average SIM incurs R55 per month in extra costs. These costs include daily horoscopes delivered via SMS or Blackberry charges, when the handset isn’t even a Blackberry and hasn’t been for many years.

All tolled, Tariffic estimates that companies waste more than R3 billion each year on cellular contracts because they aren’t managing how each contract is used. For that reason Tariffic has launched its Tariffic Online dashboard which it claims will help companies curb unnecessary expenditure by providing them with a bevy of monitoring tools.

“The self-service platform allows companies to easily understand their cellphone costs, manage their cellular environment, curb abuse in real-time, and save on their cellphone bills both in-contract and when contracts expire,” explains Seeff.

“There is too much smoke and mirrors in this industry” says Seeff, “by removing the mystery and providing the right tools, we can regain the margin and give it back to the consumers.”

[Image – CC BY SA 2.0 401(K) 2012]

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