Long-term customer benefits offered by South Korea's three mobile carriers are shifting toward coupons and cultural and leisure experiences. The carriers are moving away from directly discounting bills and expanding options that let customers choose benefits or enter events. Critics say the benefits can be less effective because coupons must be used to deliver value and experience-based programs are offered through lotteries.

Many long-term customer bundled products revamped; new sign-ups also restricted

According to the telecommunications industry on Oct. 27, SK Telecom has stopped accepting new sign-ups for its flagship long-term customer bundled product, "T끼리 온가족할인", starting Aug. 1. Benefits for existing subscribers remain, but creating new bundled groups, adding lines within existing groups, and rejoining after cancellation have in principle become impossible.

"T끼리 온가족할인" discounts fees by combining the subscription years of family members' mobile phones and internet service. It discounts 10 percent of the monthly fee for combined subscription periods of at least 20 years but less than 30 years, and 30 percent for 30 years or more. SKT instead eased the eligibility requirements for "요즘가족결합". Customers previously had to use mobile and internet together, but since July they can bundle with only 2 mobile lines.

KT also barred existing subscribers to its "모바일 정률형 할인옵션" from adding new mobile lines starting July 31. The product sets discount rates based on the number of mobile lines and the rate plan, among other factors. Benefits for existing subscribers remain. LG Uplus excluded 3 integrated rate plans in the 28,000 to 33,000 won per month range from family bundle discounts in June, then allowed them again starting Aug. 27.

Beyond fee discounts, coupons and experiences expand; customers choose benefits to match tastes

As existing bundled discount systems are being overhauled, the three carriers are expanding long-term customer benefits centered on coupons and cultural and leisure experiences.

SKT revamped its "T long-term customer program" in June and strengthened experience-based benefits for customers subscribed for at least 10 years. A 대표 program is "T long-term customer day", which offers experiences such as fine dining, performances and amusement parks. Last month, it invited 3,000 long-term customers and companions to Lotte World in Jamsil, Seoul, through its "Adventure Day" program.

KT has been operating its "장기고객 감사드림" program since August 2024. It expanded benefits that were focused on mobile to include internet and TV users, and added subscription products and cultural experience programs. It also runs "초대드림", which invites customers to cultural events. Long-term customers apply to a range of programs including sports games, music festivals and camping.

LG Uplus is focusing on expanding cultural and leisure experiences. This year it prepared a total of 8 programs for long-term customers, including invitations to Legoland, musicals, marathons and Hwadam Forest. It plans to expand this to 24 times a year next year.

Questions raised over effectiveness of long-term customer benefits; coupon scope and event wins are key

Carriers stress that customers can choose benefits they want. They say broader choice reflects individual preferences. Some critics, however, say the usefulness can fall because benefits depend on conditions for using products and on whether customers win lotteries.

For example, SKT invited 1,800 long-term customers and companions to its "숲캉스 day" held at Everland in May. Competition for the event reached as high as 863 to 1. KT's discount coupons for subscription products can only be used if customers subscribe to the service. Data and call coupons also vary in usefulness depending on the subscriber's plan and usage. About 46,000 people applied for LG Uplus' long-term customer invitation event held on Oct. 19 at Hwadam Forest. The invitation scale, including long-term customers and companions, was 5,000 people, and the competition rate announced by LG Uplus was 9.2 to 1.

A subscriber in his 50s who said he had used only one carrier for about 20 years said, "It is itself a hassle to look for coupon benefits or participate in program lotteries," and added, "Straightforward bill discounts are the benefit that is easiest to feel."

Civic groups are calling for universal rate benefits in consideration of the public nature of telecom services. They also say that providing benefits to only some subscribers through lotteries could lead to discrimination issues.

Joo-ho Kim (김주호), head of the People's Solidarity for Participatory Democracy's livelihoods and economy team, said, "Unlike other services, telecommunications is based on spectrum, a public asset, so it has a strong public-service character," and added, "It is right to make the fees themselves universally fair to all consumers."

Kim also cited as a problem that, unlike fee discounts, the size of benefits that go to customers is difficult to verify from outside. He said, "Coupons and experience-program benefits, where accessibility differs by subscriber, can become another discriminatory act," and added, "Policy authorities, including the Ministry of Science and ICT, need to respond actively."