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SIM only contracts hit 250,000 a month across the UK

Mobile News
September 26, 2012

GfK research shows uptake of deals hit record high in July this year due to increase in cheaper deals and decline of pre-pay

The uptake of SIM only contracts in the UK peaked in July with 250,000 taken up across the networks in the month, according to research firm GfK.

The firm says the popularity of the deals is part of the trend of people moving away from pre-pay to contracts, and also the increasing availability of deals for below £10 per month.

It adds in the UK the most popular deals are currently 12 month contracts rather than rolling monthly deals, which were more popular last year.

GfK account manager Ben Tutt said: “As the economy remains uncertain, SIM only contracts are an attractive cheaper option than a new handset deal, or to shelling out a big upfront cost for a prepaid device.

“Furthermore, the networks are providing ever-cheaper SIM deals. These offer data, as well as minutes and texts, as post-paid customers provide more revenue than prepaid ones.

“As the telecoms industry advances, customers are becoming increasingly savvy to the technology, and networks are able to advertise SIM card deals without fear of confusing the viewer.”

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