Kogan to launch cheap NBN plans

Online retailer Kogan is expanding on its telco offerings by launching NBN plans – and they’re as cheap as you’d expect.

It comes three years after Kogan entered the mobile phone market, offering competitive prepaid deals on the Vodafone network.

Simply labelled ‘Kogan Internet’, Kogan will feature three no contract NBN plans, costing between $58.90 and $88.90 per month, depending on the speed tier.

All plans come with unlimited data and are on the NBN 12, 50 and 100 speed tiers, labelled ‘Bronze’, ‘Silver’ and ‘Gold’ respectively. There is an upfront modem cost of $69.

Kogan will use Vodafone-powered NBN after the telco giant launched its own NBN services in late 2017.

Customers will also be able to redeem one Qantas Frequent Flyer point for every dollar spent.

Speaking to the Australian Financial Review, CFO David Shafer said that Kogan internet has the ability to shake up an NBN market in which competition is already intense.

“We have grand ambitions for Kogan Mobile and Kogan Internet. We don’t see any reason why in the next three to five years Kogan will not be one of the leading telcos in Australia,” Mr Shafer said.

“Kogan stands for price leadership through digital efficiency and we’re launching with the best price in the most popular plan at the moment – we think it’s a recipe for success.”

The Kogan empire is growing, with internet being its latest foray, adding to Kogan Health, Kogan Travel, Kogan Insurance and more.

Kogan already a strong player in mobile game

After launching its prepaid mobile services in 2015, Kogan has become one of the most competitive providers in the market. Unlimited calls and texts feature on all plans, and users can earn additional discounts if they bulk-purchase several months upfront.

On its regular 30-day plans, Kogan charges under $17 for 2GB data, while its ‘XL’ plan costs under $50 and customers receive 23GB data.

Canstar Blue research indicates that prepaid is a burgeoning market, with 30 per cent of consumers having moved to a prepaid plan from a contracted phone repayment.

As for Kogan’s NBN products, they will sit at the cheapest end of the spectrum, especially the Gold plan. Less than $90 a month for unlimited data on NBN 100 is considered competitive and Kogan will compete with other low-cost providers such as MyRepublic, Mate Communicate, Barefoot Telecom and more.

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