The Department of Telecommunications under the Ministry of Information and Communications has issued a circular to tighten the control of mobile phone promotional activities.
The department has just sent the circular to six telecom firms including Vietnam Mobile Telecom Services Company (VMS), Vinaphone, Viettel, Saigon Postel Corporation, HN Telecom and Gtel Mobile.
Each promotional programme cannot run for more than 90 consecutive days
According to the department, despite regulations on managing promotional activities by mobile service providers implemented in line with Circular No. 11/2010/TT-BTTTT issued on May 14 last year by the Ministry of Information and Telecommunications, a number of businesses have continued to bend the rule on special promotion programmes, particularly through lucky draws.
Mobile companies have raced to announce a range of promotions to attract customers, particularly SMS messages for VND30 million (USD1,428) daily cash prizes on certain occasions.
Under the newly-issued circular, firms will only be allowed to offer promotions for mobile phone subscribers, SIM and simcards for both pre-paid and post-paid subscribers.
Lucky draws will only be held on up to 180 days a year. Each promotional programme cannot run for more than 90 consecutive days. Mobile phone service providers will be obliged to report the total duration of their promotions so far this year to ensure that that they remain within the regulated level.
Circular No. 11/2010/TT-BTTTT stipulated that telecom companies are banned from reducing mobile service charges and prices for simcards that are regulated by the State.
The maxim discount for mobile phone SIMs, simcards and mobile phones attached with their own numbers are not permitted to be 50% higher than their prices before the promotion programme. For example, a SIM which is priced at VND50,000 prior to the promotion, will only be allowed to be offered at a discount of VND25,000.
According to the Ministry of Information and Communications’ ITCNews website, the tighter controls are among a series of measures to restrict the total number of mobile phone subscribers. It explained that, due to the attractive promotions offered by phone companies, many people often preferred buying new mobile phone SIMs as the bonuses were more attractive than topping up existing accounts.
