Airtel offers iPhone 7 at Rs 7,777 with conditions. But should you go for it?

Airtel on Monday launched its Online Store where it is selling the iPhone 7 for as low as Rs 7,777 on certain conditions. But should you really go for it. We take a look.    

Airtel on Monday launched its Online Store where it plans on selling smartphones at attractive down payment options that include monthly installments which double up as postpaid plans. To start things off, the company has listed the iPhone 7 and iPhone 7 Plus with the former being offered for as low as Rs 7,777 for the 32GB variant.

Now, here's what you need to know. In the case of the 32GB iPhone 7, customers will need to make a down payment of Rs 7,777 and 24 monthly installments of Rs 2,499. The installments come with built-in postpaid plan that offers 30GB data, unlimited calling (local, STD, national roaming), and Airtel Secure package that covers the device against physical damage and cyber theft.

Similarly, the 128GB iPhone 7 can be availed at Rs 16,300, the 32GB iPhone 7 Plus for Rs 17,300, and the 128GB iPhone 7 Plus 26,000, all of which come with the Rs 2,499 monthly installment cum postpaid plan. But is Airtel's offer really beneficial for consumers in the long run? Let's take a look first at how much one will need to pay for each variant in totality by the end of two years.

What you will need to pay by the end of 2 years via Airtel Online Store

iPhone 7 32GB

Rs 7,777 (down payment) + 24 x Rs 2,499 = Rs 67,753

iPhone 7 128GB

Rs 16,300 (down payment) + 24 x Rs 2,499 = Rs 76,276

iPhone 7 Plus 32GB

Rs 17,300 (down payment) + 24 x Rs 2,499 = Rs 77,276

iPhone 7 Plus 128GB

Rs 26,000 (down payment) + 24 x Rs 2,499 = Rs 85,976

The above is the cumulative amount for each of the iPhone 7 and iPhone 7 Plus variants you will need to pay by the end of two years if you choose to buy it from the Airtel Online Store. As the company says, this not only includes the price of the phone but also monthly data benefits of 30GB and unlimited calling for 24 months.

The alternative

There are a few things to consider when looking at Airtel's offer. For one, the plan is largely for those who are interested in 30GB of monthly data with unlimited calling. For a majority of users out there, the tariff is just too high. Ever since the entry of Reliance Jio last year, the telecom sector has seen a major tariff war with telecos offering more data at much cheaper prices.

But here's where it gets interesting, Airtel recently changed its postpaid tariffs and is currently offering 30GB data with unlimited calling only for Rs 649. Similarly, it is offering 40GB of data for Rs 799 and 50GB data for Rs 999. These plans are much cheaper than the Rs 2,499 bundled offer on the Online Store.

Secondly, with the launch of the iPhone 8 and iPhone 8 Plus, prices for last year's iPhone 7 and iPhone 7 Plus models have gone down. You can find the 32GB iPhone 7 on e-commerce sites like Amazon India and Flipkart for as low as Rs 38,999 while the 128GB iPhone 7 Plus can be availed for Rs 63,999.

If you choose to go for the iPhone 7 and iPhone 7 Plus from these e-commerce sites, and consider Airtel's standalone Rs 649 postpaid plan for a period of 24 months, for example, you effectively pay much less than what the Airtel Online Store is offering. Let's take a look.

iPhone 7 32GB

Rs 38,999 + 24 x Rs 649 = Rs 54,575

iPhone 7 128GB

Rs 49,999 + 24 x Rs 649 = Rs 65,575

iPhone 7 Plus 32GB

Rs 60,500 + 24 x Rs 649 = Rs 76,076

iPhone 7 Plus 128GB

Rs 63,999 + 24 x Rs 649 = Rs 79,575

As you can compare, going for the iPhone 7 or iPhone 7 Plus and the Airtel 30GB postpaid plan individually will effectively cost you much less after 2 years than what you will need to pay if you purchase through Airtel's Online Store.

On the other hand, with Airtel's offer on the Online Store, customers will only have to make the down payment amount and then pay the rest spread over a course of 24 months, whereas those looking to purchase the iPhone 7 or iPhone 7 Plus from e-commerce websites will likely have to pay the whole amount all at once. These are perhaps a few things one will need to consider when deciding to go for Airtel's new offer.