Tello Mobile Launches Tax Refund Promo: 3 Months of Unlimited for $30

Tello has launched a new tax season promotion that drops the cost of its "Unlimited" plan to the equivalent of $10 per month for the first three months. Under the offer, new customers, along with existing customers who add a new line, can get three months of "unlimited" service for a one-time $30 payment.

After those first three months are up, the line renews at Tello’s regular $25 per month rate. The promotion is scheduled to run through April 15.

What Tello’s Promo Actually Includes

For the $30 upfront payment, customers get unlimited talk and text to over 60 countries, 50GB of high-speed data (then slowed to 128Kbps), and 10GB of hotspot data. Taxes vary by location, and Tello’s plan disclosures note a cost recovery charge of up to 30 cents.

That makes this the cheapest short-term "unlimited" deal that I'm aware of currently available in prepaid. At $10 per month for the first 90 days, Tello is clearly trying to pull in switchers looking to stretch their tax refund a little further.

The Fine Print

There are a couple of conditions attached to the offer. The promo only applies to a newly activated line, which means current Tello subscribers cannot move an existing line onto the deal. Tello also says that if the promotional line is changed, downgraded, or canceled, the discount is lost.

Tello Has Run Promotions Similar to This

What makes this announcement interesting is that it is not really a brand-new play from Tello as much as it is a repackaged one. The company ran essentially the same “3 months of Unlimited for $30” promotion back on February 9. Then on March 2, it rolled out a more aggressive offer that dropped the Unlimited plan to $19 per month for a full year for new customers and existing customers adding a line. In January they also offered a more aggressive promo, giving the plan away for $10/month for 6-months.

At an effective rate of $10 per month for the first three months, Tello is still undercutting a large chunk of the prepaid market on price while offering a fairly generous bundle of data. BestMVNO previously noted that Tello upgraded this plan to 50GB of high-speed data and 10GB of hotspot last October, which helped make it one of the stronger values around the $25 price point as far as independent MVNOs are concerned.

Editor’s Take

Tello keeps coming back to the same type of play on its flagship plan because it works. Its Unlimited plan already sits at a competitive price point for an independent MVNO, and by attaching short-term discounts to it throughout the year, the carrier gives itself a steady stream of reasons to get back in front of shoppers.

That strategy also reflects the reality of today’s prepaid market. Independent MVNOs like Tello have to stay aggressive because they are competing against carrier-owned prepaid brands such as Total Wireless, Mint Mobile, and Metro by T-Mobile. Those brands have at times pushed promo pricing on truly unlimited 5G plans down to levels as low as $15 per month, making it extremely difficult for independent MVNOs to match them on price alone and still maintain a sustainable business.