Tesco Xtras is a lot more unique than what major network operators are offering at present. The new service presents a win-win situation both for consumers as well as mobile advertisers, even though we aren't sure how many would want to repeatedly view advertisements on their Android phones just to save a few pounds every month. However, Tesco Mobile claims that subscribers of its lowest SIM only tariff rate will be able to save as much as 40 per cent off their monthly bills.
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Tesco Xtras will be available starting today and will be available to all existing and new pay monthly Tesco Mobile users who use Android phones. You might be wondering if you will have to bear the cost of additional data usage by the app or advertisements or offers that come with it. To ensure that you don't, Tesco Mobile is offering an additional 200MB of data every month to cover the data usage and will also ensure that the app will only work on Wi-Fi networks when abroad.
"Tesco Mobile Xtras, powered by Unlockd’s unique mobile platform, provides our customers with the chance to make savings that really add up. This innovative new service is a UK exclusive and we’re excited that our customers get to benefit first from this new technology," said Anthony Vollmer, CEO of Tesco Mobile.
By subscribing to Tesco Xtras, phone users will not only save £3 a month on their monthly mobile bills, but will also be able to save money by purchasing products from Tesco Mobile's partners like Doritos, Branston and British Airways. Similar services have been launched in the United States and Australia by Unlockd which, the company says, have been successful ventures.
“Our UK launch with Tesco Mobile is an exciting partnership which will provide real value to consumers, saving them money and giving them access to great content and offers upon unlocking their phone," said Matt Berriman, CEO and Co-Founder of Unlockd.
Tesco Xtras comes at a time when network operators are struggling to find a middle path between earning revenues from mobile advertising and meeting customers' demands for advanced ad-blocking services. Network operator Three recently announced that it will conduct a one-day trial of its new ad-blocking software on June 13th, acting on its belief that the current mobile advertising model is broken and needs to be fixed.
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With its new ad-blocking software, Three wants to achieve three goals. Firstly, customers must not pay any charges for data consumed by advertisements and advertisers must shoulder the cost, that advertisers must not extract any information about customers without their knowledge or consent and that customers must not be forced to view excessive and repetitive advertisements and must have a say in what kind of advertisements they can view.
Three's concerns about the current mobile advertising model is also shared by rival carrier EE. Back in November of last year, Olaf Swantee, CEO of EE, confirmed that EE might offer ad blocking services on its network very soon. As per him, EE wasn't against all forms of advertising but those that are "intrusive or crass" which can "drive people insane."