Vodafone Idea bets on 2G users instead of 5G to boost revenue growth

Why is Vi still betting on 2G in India?

According to a recent report filed by Money Control, Vi’s Chief Marketing Officer (CMO) Avneesh Khosla said during the India Mobile Congress that a large segment of Indian mobile users still depends on 2G handsets. The main reason is affordability — while 2G phones cost around Rs 700 to Rs 800, 4G or 5G smartphones start at Rs 6,000 or more, creating a wide price gap.

Khosla explained that as long as this cost difference remains, millions of users will continue using 2G phones. He added that around 4 million 2G handsets are sold in India every month, reflecting a strong and steady demand for basic connectivity.

He emphasised that Vi’s current strategy focuses on retaining its 2G customers, improving network quality, and increasing ARPU through smart plan offerings instead of competing directly in the 5G race.

5G rollout plans are still in motion by Vi

Even though Vi’s focus is on 2G users, the company isn’t completely ignoring next-gen connectivity. It plans to launch 5G services in 29 cities across 17 key circles in the coming months. However, the rollout is expected to be gradual, prioritising regions with higher 4G and postpaid user density.

Customised plans for better value

To attract and retain customers, Vi has introduced “Hero Unlimited” and “Super Hero” plans tailored to user needs. These plans focus on night-time data usage, weekend rollovers, and data emergency benefits, providing more flexibility and value for money.

Khosla said that users are willing to spend more when they see real value in the plans. “Customers aren’t paying more because plans have become expensive- they are paying because they find them useful,” he added.