International or national IoT/M2M Data - Big Data SIM cards: Postpaid vs. Prepaid?
What are the differences? When should you choose a postpaid SIM card and when a prepaid one?
When you need international mobile data to connect your devices or employees to the internet, one of the decisions you need to make is how you want to procure and access the data. Here we describe the pros and cons of postpaid and prepaid propositions.
Postpaid:
+ You have a fixed monthly rate with consumption afterwards. This is good for a case with stable usage per month and per region,
+ Easy to budget as recurring costs are the same each month.
- There are a few terms in contracts (in small print) that can provide a negative surprise afterwards.
Examples:
- A higher "out-of-bundle" rate than the agreed "in-bundle" rate,
- Loss of unused data at the end of the month,
- Data can only be used in a certain number of countries or continent,
The plan is too small for month A and too large for month B.
If the need for mobile internet is the same every month and you can choose a plan that exactly matches this need, a postpaid proposition is the best option.
Prepaid:
+ The advantage is that you only need to focus on the price per MB and the number of months the dataset remains accessible,
+ You only pay for what was used and your data is always available when needed,
+ If your data needs are flexible, you won't lose unused data in month A and won't pay higher rates in month B,
+ It offers you the most cost-effective solution, to learn in practice what the real need is per region and per year,
- You need to purchase data credit in advance, which means an initial investment,
- Budgeting is less easy as costs can vary by month or by year.
If the need for mobile internet can differ by month or by country, then a prepaid proposition is the best solution.
What is the best solution for your situation?
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