Optus plan to keep it simple

Optus has pinned its hopes on increased demand for data and a simplified pricing strategy to lift the performance of its mobile division in a declining market.

Optus has pinned its hopes on increased demand for data and a simplified pricing strategy to lift the performance of its mobile division in a declining market.

The company posted a $167 million quarterly profit, an increase of 7.7 per cent compared with the same period last year, despite a 5.3 per cent slump in revenue.

Optus chief executive Kevin Russell, who is under pressure to improve the company's performance, said tackling customer concern about "bill shock" was at the centre of his strategy.

"I personally see bill shock as a massive problem that is building for Australian consumers - that is because 4G usage is growing and data allowances are coming down, he said. "More customers are breaking through their allowances."

Optus introduced MyPlan in July to tackle this issue, which moves customers to a higher-priced plan costing $10 more a month if they go over their data allowances.

Mr Russell said he wanted to "put in place a plan that encourages or allows customers to use their smartphones as much as they want."

Optus' mobile division, which accounts for more than 50 per cent of the company's revenue, had next to zero growth in subscriber numbers in the past 12 months, compared with Telstra, which picked up more than 1.2 million mobile customers, capturing nearly 50 per cent of the market.

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