Our gut feeling tells us that Neotel intends to offer top notch customer service, something that will definitely sit well with most consumers in South Africa, especially those who had the privilege to deal with Telkom’s so called ‘customer service’. If one offers excellent service, in most instances you will not have to worry about pricing, because people are willing to pay a higher price for excellent service. Whether Neotel will be able to handle the flood of new customers effectively remains an open question.

In other words, although Neotel will introduce better call rates and a better billing system (assuming that Telkom doesn’t make adjustments), it is highly unlikely that they will cut call rates to the bone in a full blown price war with Telkom.

If Neotel’s Internet access rates mimic their proposed call rates in terms of generosity, then we can definitely look forward to fast Internet access at decent rates.

ADSL South Africa (Broadband South Africa) welcomes Neotel’s proposed call rates and per second billing system, it will definitely sit well with the majority of consumers in South Africa, especially when backed by excellent customer service.