PRICE DISCRIMINATION IN MOBILE DATA Indra de Lanerolle, director, - - PowerPoint PPT Presentation

price discrimination in mobile data
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PRICE DISCRIMINATION IN MOBILE DATA Indra de Lanerolle, director, - - PowerPoint PPT Presentation

PRICE DISCRIMINATION IN MOBILE DATA Indra de Lanerolle, director, jamlab, university of the witwatersrand, johannesburg indra.delanerolle@wits.ac.za IZOLO MOBILE DIARIES RESEARCH SAMPLE Sample Quotas Dimension Categories Location Three


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PRICE DISCRIMINATION IN MOBILE DATA

Indra de Lanerolle, director, jamlab, university of the witwatersrand, johannesburg indra.delanerolle@wits.ac.za

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IZOLO MOBILE DIARIES RESEARCH SAMPLE

Sample Quotas Dimension Categories Location Three wards in three provinces - 2 urban, 1 rural Age Younger (18-34) Older (35 and above) Gender Female Male Income Very low (<R355pm) Low (<R1,031) Higher income (>R1,031) Mobile Internet access on device No internet access on device English Literate Yes No https://opendocs.ids.ac.uk/opendocs/bitstream/handle/123456789/13348/RReport_LessConnected_FINAL.pdf
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THE LESS CONNECTED CONSUME AIRTIME AND DATA IN VERY SMALL QUANTITIES

Airtime Balances at time of interview (n=88) Airtime balance at time of interview (R) Number of cases No airtime 43 1c to R1 14 Between R1.01 and R5 18 Between R5.01–R10 6 Over R10 7
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THE LESS CONNECTED CONSUME AIRTIME AND DATA IN VERY SMALL QUANTITIES

Most recent airtime purchase (n=81) Amount (R) Number of cases R2 3 R5 21 R10 37 R11–20 11 R21–30 2 R31–40 2 R41–50 4 R51–100 1
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THE LESS CONNECTED PAY A VERY HIGH POVERTY PREMIUM FOR MOBILE DATA

Mobile Data vs Soap Powder Price (Rands) - log scale 1 10 100 Smallest Biggest 20 40 60 667 mobile data (per GB) washing powder (per KG)
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THE LESS CONNECTED LIMIT THEIR EXPERIENCE ONLINE

Applications used in diary period (n=25) Applications Number WhatsApp 23 Facebook 11 Google 3 Bluetooth 2 Instagram 2 Twitter 1 Email 1 SHAREit 1
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“I buy R12 data and then it can last for a month simply because most of the times [it’s] off. So I only open my data when I want to check messages or if maybe I want to send someone a message or maybe I’m checking someone’s whereabouts” “If I were to get more data, I would Google and check more hairstyles ... Maybe a person would come and say, ‘I want to do something’ ... like try something new... Then I know that ... I have my own different styles that I get from the web ... I would just Google the styles.”

‘Thandiwe’

THE FRUGAL AND FRAGILE CONNECTIONS OF THE LESS CONNECTED

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Xoliswa doesn’t buy data bundles, but uses her airtime online. She hasn’t been online for a while because her airtime has run out. She says it rarely lasts more than a week. It goes quickly. “I don’t have airtime and I don’t want to buy it

  • again. It’s not nice to always be loading airtime.

Your grant money would get finished soon.”

‘Xoliswa’

THE FRUGAL AND FRAGILE CONNECTIONS OF THE LESS CONNECTED

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RECOMMENDATIONS

  • 1. Regulate to limit the spread of pricing between small and large data bundles.
  • 2. Regulate to limit the spread of pricing between contract and pre-paid customers.
  • 3. Abolish ‘Out of Bundle’ pricing
  • 4. Require operators to provide and publish data on volumes of purchases of

data at their different bundle sizes and price points.

  • 5. Develop new price and affordability indices that take account of sachet

pricing and avoid measures of affordability that use average incomes.

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Thank you For further information please contact indra.delanerolle@wits.ac.za