It was the kind of email that makes you frown and read it twice. Woolworths Mobile customers on the brand’s lowest-cost plan have just been told it’s ending—and the replacement will cost more. A lot more.
Woolworths axes its most affordable plan, replaces it with a pricier alternative
Woolworths Mobile has ended its $170-per-year prepaid plan, a long-expiry option that appealed to people who wanted simplicity without a monthly bill. Instead, customers were offered a $20 monthly alternative, which means they’ll now pay $240 a year—a $70 increase, or around 41% more. That’s no small change for households watching every dollar.
To make it sound better, Woolworths called it an “exclusive” offer, tailored to ease the transition. But a quick scroll through social media shows many aren’t buying it, reports Yahoo Finance.
A move towards ‘consistency’?
According to Woolworths, the decision was part of a routine refresh designed to bring “consistency” to its mobile offering. In plain English? Streamlining the product line. The company says all current plans now offer simple pricing, generous data inclusions, and tie-ins with Everyday Rewards, its loyalty program.
It might make sense from a business perspective. But for people who chose that plan because it was cheap and reliable, the shift feels more like a downgrade wrapped in marketing speak.
Prepaid plans are popular—but shrinking
Here’s the thing: prepaid plans aren’t just for students or low-income users. According to ACMA, about a third of Aussies use prepaid mobile services—and the number is growing. With cost-of-living pressures rising, people are moving away from long contracts and toward budget options like MVNOs (think Aldi Mobile, Amaysim, and yes—Woolworths).
But even those spaces are getting squeezed. The cheapest plans are disappearing, replaced with bundles that include more data… whether you need it or not.
Do we really need all that data?
Quick reality check: ACCC reports that the average Australian uses around 13GB of mobile data per month. That’s it. Between home Wi-Fi, public hotspots, and work networks, most of us aren’t burning through 30GB like we think.
So when a low-data, low-price plan gets pulled, it’s not just about money. It’s about losing an option that fit people’s actual needs.
So, what now?
For affected customers, the options are clear: accept the new plan, or look elsewhere. The good news is that MVNOs still exist. The bad news? You have to dig a bit harder to find value. The takeaway? Don’t sleep on your phone plan. What works today might be gone tomorrow—and replaced with something that costs more but gives you… the same.
