Back when I just started using a pre-paid GSM mobile phone in 2000, I used to load 250 or 300 pesos which was good for two months. Often, I would only consume three-fourths of the load and would feel cheated that I didn’t get my money’s worth. Another downside to having a pre-paid plan was that if you were not able to do a re-load in two months after you’ve used your last load, your number or SIM card will be rendered useless. Even if you do a reload your SIM will not be reactivated. It would only be good for 30 pesos from those who buy deactiovated simcards for whatever reason. No calls nor SMS, incoming or outgoing. You have to buy another one.

Just recently, I thought of a scheme that might make the telcos and the consumers happy. Telcos impose the expiration and deactivation of SIM cards in order to entice consumers to use them for the obvious reasons of profit.

These companies say keeping “inactive” SIMs in the database brings with it cost with no compensation. This may be true, but I believe that database cost is minimal. The more probable reason is lost profit.

Consumers like me, on the other hand, would like to get the most out of ur investment. My texting and calling pattern vary. There are times that I used up 300 pesos in a month. There are also times that I don’t consume that much in two months. I am also thinking about other people who use the mobile phone very infrequently. I think their investment on the SIM should not be put to waste with the expiration.

And a win-win deal unfolds.

The telcos make the SIM cards and “loads” will have no expiration date. Just load anytime you need to make outgoing calls or text. And you may be able to receive incoming calls and text.

The catch.

They must register with their telcos to avail of this scheme. And they should agree on receiving text advertisements as part of the deal.

Those who do not agree with the terms can always use the present scheme of expiring SIMs and loads.

The telcos get their profit from the advertising revenue and the consumers can get their money’s worth.

I believe this will:

1. Lessen the burden on the consumers by not being forced to use their load at a specified time frame. This may even teach people to maximize their resources. Text or call when absolutely necessary. You don’t think that you must use up your load in 30 days or so. You won’t worry of gtting your SIM deactivated. Load only when necessary.

2. Be a plus for those whose need is to receive only. Like children who are more often called by their parents just to check on them. Like me who would like to receive text and call you back on the free landline.

3. Advertising revenue for telcos. You have a database of consumers and relevant information - you can target your market. Then sell “Advertising Text” space to advertising companies! This is like wholesale text. Maybe even a mobile-telephone-marketing scheme. Which could spawn a call-center like company. More jobs!

4. Less cost in producing SIM cards. I believe that the profit margin for a SIM card is very little. It’s in the text messages and calls where telcos really make money.

5. Result in less scams via cellphones. Most scammers are prepaid subscribers. If they are registered, they can be traced. Plus, law enforcers can use this database too when needed.
An add-on value if you will.

These are the basics and I know there can be several versions and terms to this. There are loopholes and other specifics but in general, it’s a very promising idea.

Calling GLOBE, SMART and DIGITEL!