According to 2002 figures from the Australian Bureau of Statistics, 72 per cent of Australian households have access to a mobile phone. This figure has risen dramatically from what it was at 44 per cent in 1998. In Queensland alone, figures from October 2003 showed 7 out of 10 people, aged 18 years and over had use of a mobile phone (Australian Bureau of Statistics, 2004). Therefore whilst its popularity has increased, the costly issue of increased mobile phone debt has financially hindered society.
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A report issued in September 2003 by the Australian Mobile Telecommunications Association showed that the mobile telecommunications industry contributes more than $5 billion per year to the Australian economy. The 2002-2003 Industry Gross Product was $5.16 billion. “In fact, mobile services now exceed fixed lines. In June 2002, there were 12.7 million mobile services compared to 11.4 million fixed services� (Australian Mobile Telecommunications, 2003).
In relation to these figures, on voicemail alone, it is estimated that mobile phone companies pocket more than $6 million a day (A Current Affair, 2001). Furthermore, a report by the University of Newcastle showed “61 per cent of single adults owed money to their mobile phone company� (Ipac, 2004). Part of this growing problem is that people are not using a plan that suits their personal budget. They can fall into the categories of low, medium or heavy user, but are not on a plan which caters to that particular level.
“Low users make approximately 7 minutes worth of local calls and around 5 minutes of calls to mobiles; send 22 text messages; and spend about 14 minutes leaving and retrieving voice mail messages� (Ipac, 2004). A user within this group can expect to pay more or less $15 a month (Ipac, 2004).
“Conversely, heavy users make 30 minutes of local calls and 45 minutes of mobile calls; send 88 text messages; and spend over an hour leaving and retrieving voice mail messages� (Ipac, 2004). Therefore a user within this group should expect to pay between $55 and $70 monthly (Ipac, 2004).
The Australian Mobile Telecommunications Association (2004) recommends several ways to greatly reduce mobile phone costs.
Firstly, if uncertain of personal needs and unsure of how much money will be spent, users should begin on a pre-paid mobile phone. Alternatively, if using a post-paid plan, ensure that the plan adequately suits personal spending levels. A good checklist of this requires examining the cost of calls (including additional services such as short message service (SMS) and voicemail), choose a service which allows the user to check their mobile credit and ensure the cost of the entire package is understood (e.g. read and be aware of conditions; and identify the real meaning of phrases such as 'free' and 'costs zero dollars'). Secondly, delete voice mail straight away to avoid unnecessary costs of re-listening to old messages. Thirdly, consider whether it is cheaper to call someone rather than text them or vice versa. Fourthly, if the call can wait, phone during ‘off peak’ times (7pm-7am), as up to 20 cents per 30 seconds can be saved. Also, find out which networks family and friends are using before committing to a plan as most phone companies offer free or cheaper calls between numbers using the same network. Lastly, consider whether it is necessary to purchase a mobile phone in the first place; sometimes the landline is all that is required to suit personal needs.
Australian Consumers' Association
Australian Communications Authority: Tips on Buying Your Mobile
Interactive TV-Mobile Video Phones
Mobile Phones - Security and Privacy
Other Mobile Communication Links:
Naomi 16:49, 26 Oct 2004 (EST)
