Premature depletion of mobile data bundles and disputed charges were the biggest sources of consumer complaints against telcos in the three months to September, overtaking digital financial services and mobile money disputes.
Data services accounted for 140 of the 479 complaints escalated to the Communications Authority of Kenya (CA) between July and September, representing 29.2 per cent of the total, according to fresh data from the regulator.
Billing and charging of data services attracted 44 complaints, equivalent to 31.4 per cent of all data-related complaints the watchdog received in the quarter. “Consumer complaints relating to the billing and charging of data services constituted the largest number of complaints received: 44 of the 140 complaints on data services (31.4 per cent), or 9.2 per cent of all consumer complaints received in the quarter,” the CA said.
“Complaints in this category primarily relate to the premature depletion or disconnection of data services before the expiry of their stated validity period, resulting in consumers losing the value of the service for which they have paid,” it added. Other complaints involved disputed data consumption and deductions, failure to restore services after payment and providers failing to deliver paid-for services, prompting customers to seek refunds.
The Communications Authority of Kenya.
Photo credit: File | Nation Media Group
“Following investigation and engagement with the respective service providers, the complaints were resolved through various remedial measures, including compensation through credit adjustments, credit notes, refunds for undelivered services, and restoration or reconnection of services following payment,” the regulator said.
CA said it resolved 37 of the 44 billing and charging complaints. Kenya’s mobile internet usage is expanding with increasing smartphone penetration. As of June, mobile data subscriptions were 64.3 million, up 9.7 per cent from 58.6 million a year earlier. The CA did not disclose which mobile operator had the most customer complaints.
Safaricom and Airtel control the bulk of the country’s mobile broadband market. As of June, Safaricom held 64.4 per cent of mobile broadband subscriptions, compared with Airtel’s 31.9 per cent. Safaricom also commanded 69.8 per cent of the overall mobile subscription market, while Airtel had 26.8 per cent. State-owned Telkom had a paltry 0.6 per cent market share in both mobile and broadband segments.
The rising grievances over data highlight growing consumer concerns over the value and reliability of mobile services in a market the World Bank has previously warned has high data prices compared to regional peers such as Ghana, Nigeria, Rwanda and Zambia.
A comparison of the three firms’ mobile data costs shows that Safaricom and Airtel charge Sh1,000 for 25 Gigabytes (GB) of data valid for 30 days. Telkom charges the same amount for a 15GB bundle. For daily bundles, Sh100 on Safaricom buys a 1.8GB bundle, compared to 2.4GB on Airtel. Telkom offers a 2GB daily bundle for Sh100.
Digital financial services and mobile money, which have previously dominated consumer complaints, accounted for 57 cases in the three months to September, representing 11.9 per cent of the total.
Read: 5G users cross 2 million as demand for faster data accelerates These comprised cases of fraudsters tricking mobile subscribers into revealing sensitive information; impersonation; fake promotions; fraudulent mobile money transactions; online marketplace scams; and social engineering. The CA previously recorded 110 complaints relating to digital financial services and mobile money in the quarter to June, ahead of fraud and scams at 86 and cybercrime and criminal use of ICT infrastructure at 75. The latest data shows that voice services accounted for 51 complaints, representing 10.6 per cent of the total. Cybercrime and criminal use of ICT infrastructure, meanwhile, attracted 49 cases, or 10.2 per cent. Fraud and scams accounted for another 47 complaints, representing 9.8 percent. Overall, the CA received 479 complaints from consumers who had failed to obtain satisfactory resolution from their service providers. Of these, 422 cases, or 88.1 percent, were resolved, while 57 are under active regulatory follow-up. The CA’s intervention in such cases includes engaging mobile network operators to investigate complaints and secure refunds, service restoration or adjustments to customers’ accounts.