Australia is well served by mobile service providers – consumers have a wide choice of carriers, handsets and accessories. However, picking the right product is difficult given the plethora of information and advertising for mobile services. These are some simple guidelines to follow prior to purchasing a mobile service that can make the whole process less confusing and a lot faster:
1. Determine your usage
Firstly, consider your monthly budget and how you use your mobile phone. Do you text or talk more or perhaps a combination of both? Mobile carriers offer various deals within pre-paid and post-paid contracts such as bundle deals for talking and texting, or quotas for free internet content.
Do you make the most calls during the day or night? Some mobile carriers offer peak call times and off peak discounts at night or on the weekend. Do you call friends and family on the same network? Most providers usually offer free calls between their own customers, which is a great advantage if the majority of your friends and family use the same carrier.
What are the call rates? For example, some providers charge a connection cost for each call (a flag fall). Some charge calls by the second or in 30-60 second blocks, while other providers have a cap on call costs.
For example, Vodafone pre-paid Flexi Cap plans cater for different types of usage by offering various recharge credits. This includes credits to use for services like talking, texting, surfing the net and international calls. As part of the $29 Flexi Cap, Vodafone offer $150 credit to call other Vodafone customers, with the standard call rates charged at 89 cents per 60 seconds (charged per 60 second block), plus a 39 cent connection fee.
A simple way to analyse your previous bills is to use the Billbreaker service. This quick and easy-to-use tool will analyse your bill and provide you with the best plan based on your usage and lifestyle. Billbreaker looks at things like what type of calls you make, who you make them to and when you make calls. It also considers any other mobile services that you use. You have the ability to specify which phone or plan provider you’d prefer to sign up with.
You can try a demo of Billbreaker's service here.
2. Find a suitable plan
Next, decide on a post-paid or prepaid mobile phone plan based around your usage, lifestyle and budget. For example, a post-paid contract service charges you for prior month usage. This is a flexible option for those who desire unrestricted call services, as it lets you combine all costs into the one bill and pay for it via direct debit. Mobile post-paid plans are generally more competitive and provide more value within the cap; however, there are a number of downsides too, like exit fees for early cancellation, locked-in fixed term contracts and expensive rates if caps are exceeded.
Alternatively, you can opt for a pre-paid service that involves purchasing 'credit' which prior to usage sets a price and time limit on all mobile services. Prepaid plans allow more control over usage because the service ceases after credit has expired or been exceeded. Prepaid plans are also flexible for customers with low usage and travellers as there are no early termination fees. The main disadvantages include higher call rates and phones suddenly 'cutting out' when credit runs out.
Consider the differences between the Virgin Mobile prepaid and post-paid plans: $19 Prepaid Cap plan gives $50 credit for a month, which includes unlimited mobile talk & text 24/7 to Vodafone members, international calls & text included and Free voicemail in Oz. Whereas Virgin Post-Paid Cap plans offer $50 credit including unlimited mobile talk & text 24/7 to other members, rollover your unused included talk & text, free voicemail in Oz - international talk & text included and a mobile internet data allowance.
3. Choose a suitable phone
When choosing a handset, decide whether you would like to bring your own phone to the plan or if you want to purchase the mobile phone from the carrier. If you want to use your existing handset ensure it is not locked to a particular network and that it can operate off any type of sim card.
Alternatively, if you desire a new phone, consider the following:
Purchase options: new phones may be purchased outright from service providers for both pre-paid and post-paid plans whilst some post-paid plans offer a free handset or one that can be gradually paid off. For example, you can buy the Nokia E63 outright from 3Mobile for $229 on a pre-paid plan or it is free on a post-paid plan.
The brand: Do you prefer Nokia, Samsung, Ericsson, Motorola, Apple, Sharp, LG or Siemens?
The Design: Do you like flip-phones, slide phones, a swivel keypad, a QWERTY keypad, or a simple brick design. Does size and colour matter to you? What type of screen do you like – especially with regard to height and resolution?
Features: Do you need a big memory for services such as gaming and music? Standard internal memory ranges between 10MB and 96MB, unless you need it for special applications.
Do you want a camera or video recorder? Most modern handsets are also cameras and it is best to choose a 1-megapixel or higher resolution camera. More serious photographers may consider more features such as a flash, auto-focus, continuous shooting, macro mode and self-timer.
Applications and Functionality: Do you want music or game features? Most phones have MP3 music facilities, radios and internet access to download games and music. Do you require Bluetooth, Wireless, or USB connectivity to a laptop for transferring files, such as music, video, images, or for hands-free communication? You may also desire specialised features such as voice-activated dialling, voice recording, or polyphonic and MP3 ringtones, all of which come at an extra cost.
Mobile internet: Most phones can access the internet via Wireless Access Protocol (WAP), which allows consumers to browse websites, Google, Facebook and use email services online. A GSM/GPRS phone can be used to send and receive MMS messages, such as photos, music, voice and video files. However, be aware mobile internet can be temperamental, and is prone to dropouts on occasion.
4. Research your coverage options
Check which provider can offer you the best coverage for your area or the widest coverage if you travel around a lot, especially if you travel overseas. In Australia, mobile phone services reach 99% of the population, but cover only 25% of the total metropolitan and rural area. Satellite mobile phone services give full coverage across the country.
Coverage amongst mobile providers is estimated as follows: Telstra covers nearly 100 % of the population via its 3G service (Next G), while Optus covers nearly 98%. Smaller mobile carriers resell services from these major competitors: AAPT and Dodo Mobile from Vodafone’s network, and Virgin Mobile from the Optus network. Your particular handset can also determine coverage signals: Telstra’s blue tick appears on phones that can operate in areas of minimal coverage. You may also consider an external antenna and a satellite phone should you live in an area with poor coverage.
Finally, check if your plan includes international roaming where you can use your mobile overseas. Check if international roaming is available at your destination and which Australian providers have roaming agreements with international mobile carriers there. Your handset must be capable to use the service and be aware of extra fees and higher call rates for the service.
5. Make an informed decision
You can start to compare mobile plans and deals now that you have determined your budget, preferred phone, usage and coverage requirements. Research as many providers as possible. Consider all elements of their packages down to the fine print so you are aware of the full terms, conditions, policies and any free products that apply to your purchase. You can also join online forums comparing mobiles for advice and tips and perhaps speak to providers directly about anything you don’t understand. Above all, make sure you are well informed before you sign a contract with any mobile service provider.