Telecoms operator Safaricom last year cited losses in the Karibu post-paid tariff offering bundles worth ksh 1,000 and 2,500 therefore terminating the service may 26th 2014. The telco only retained already active subscribers roughly 140,000 before closure.
Safaricom has however reversed the decision ahead of full termination May this year and will now retain the service with a twist in its terms and conditions in a bid to maintain its customers. Previously, customers would pay either 1000 or 2500 per month.
The ksh1000 monthly bundle contained 900 minutes talk time, 100 text messages and 100 megabytes data bundles for use within the network. Ksh 2500 package contained 2,200 minutes talk time, 300 minutes off-net, 250 megabytes of data and 250 on-net text messages. Post paid subscribers therefore pay less than 1ksh per minute to make calls within the network.
In favor of retaining the service, the company has said it will either increase the cost of each bundle or decrease its size at the current rates in order to ensure profitability. The move will allow them retain the already existing subscribers and potential customers who had been shut out for close to one year.
Karibu tariff is considered most affordable among other postpaid services offered by the telco hence the overwhelming growth in subscriptions in the first quarter of 2013 leading to the termination.