O2 says it wants to “shake up the old habits of the mobile industry” by launching a new way for customers to pay for their smartphone.
The service, which launches today, allows O2 pay monthly users to tailor their plans to suit what they actually need and can afford to pay.
This means anyone buying a device can choose how long they want their contract to last, how much data they want and what price they want to pay upfront.
There’s even ability to spread the remaining cost of their device from three to 36 months on a zero percent finance plan.
O2 has launched an online calculator so new and existing customers can flex their upfront costs, contract duration and airtime plans to understand which option best suits their individual needs.
The mobile operator also says it does not penalise customers by adding interest or charging early termination fees, and customers are free to pay off their device in full, at any time.
Speaking about the new service Nina Bibby, CMO, O2 said: “In 2013, we revolutionised the market with the launch of O2 Refresh which separated the cost of customers’ device and airtime plans.
“Our custom plans mark the latest step in breaking away from one size fits all approaches, recognising that all our customers are different and individual, and so are their needs.
“As the first UK mobile network operator to offer this level of transparency, flexibility and control we’re giving even more power to the consumer.
“Our revolutionary custom plans give new and upgrading customers the freedom to tailor an individual plan to truly suit their needs and lifestyle, with the added peace of mind that the plan they sign up for will continue to be right one for them.”
This O2 news comes as the mobile contract market continues to get more competitive.
EE recently announced that it was shaking things up with a new service called Flex plans.
This concept is aimed at the millions of customers who want the flexibility of a pay as you go deal but on a monthly payment option.
Taking out a Flex plan allows you to change the amount of data, calls and texts at any time and there’s even the option to pause or stop a plan and take a break whenever you like.
However, perhaps one of the most appealing parts of this deal is that EE will allow those on these new 30-day plans to roll over their unused data to the following month.
Vodafone has also announced big news with customers now able to use their smartphones in more places without it costing extra.
The UK network has just announced that it is adding more destinations to its Roam-further service with the USA, Canada and South Africa now included.
This means Vodafone users can now access their UK data, calls and texts without having to pay extortion roaming fees.
Vodafone says it’s adding a total of 29 additional new destinations which takes the total to 77 countries worldwide.
The deal is open to all customers signing up to its Pay monthly Red Entertainment plans.