Could Kogan Mobile’s new iPhone plans save you hundreds?

Prepaid telco Kogan Mobile is making the move to iPhone more accessible to Aussies in the ongoing cost of living crisis. The SIM-only provider has launched all-new payment plans for refurbished Apple devices, giving customers the chance to pick up a premium phone for less than half the price of buying brand new.

Kogan’s Mobile Devices plans offer a small range of refurb iPhones, including the iPhone 13, iPhone 12,  iPhone 11 and the iPhone XS. While all devices are also available to buy outright, Kogan customers can pick up their iPhone on a traditional 24-month payment plan, or a subscription/leasing plan that allows users to upgrade early.

The flexible payment options, as well as the overall lower cost of refurbished phones, make Kogan Mobile’s new device range a cheaper alternative to the pricier phone-on-a-plan products offered by Telstra, Optus and Vodafone. The launch also means Kogan Mobile is the only Australian prepaid telco to offer phones on payment plans.

“While many are feeling the financial squeeze, mobiles are something people don’t want to compromise on — they want the latest phone, with a great value data package,” said Ron Gelberg, Director of Partner Care at Kogan.com.

“Recent price hikes have made a good deal harder to find — so Kogan Mobile Devices has been launched with that in mind; the most affordable way to access good-as-new mobile phones in Australia.”

How do Kogan Mobile’s iPhone plans work?

If you want to pick up an iPhone on a Kogan Mobile plan, you’ll have two choices: buy on a standard 24-month contract and pay it off in monthly installments, or opt for a subscription plan and lease your phone instead.

If you go for a standard own-and-pay plan, the iPhone will be yours to keep once your 24 months of payments are done. This is more or less the same as the plans offered by big telcos, and allows you to pay off your phone over time, rather than shelling out hundreds of dollars upfront.

Subscription plans are slightly different: you won’t own the phone at the end of your payment term, and can instead return it to Kogan and upgrade to a new device. It’s essentially a leasing plan, that also gives you the option of returning and upgrading at the 18-month mark.

While you won’t actually own the phone if you decide to subscribe, you will pay less each month when compared to Kogan Mobile’s own-and-pay plans. So subscription or leasing plans are better suited to customers who plan to upgrade within two years, and don’t like to hold on to their devices long-term.

To celebrate the launch, Kogan Mobile is giving phone plan customers a voucher for their first month free on any Kogan Mobile monthly SIM plan. The offer is also available to existing Kogan customers who sign on for a phone plan, and recharge their current SIM.

Kogan’s monthly SIM plans include coverage on Vodafone’s 3G and 4G networks, with a 5G trial also available on the Large plan for a limited time. All plans include unlimited standard national talk and text, and customers on the Large plan can also roll over up to 200GB of unused data.

The following table shows a selection of Kogan Mobile prepaid plans from Canstar Blue’s database, listed in order of standard cost, lowest to highest, then by data allowance, largest to smallest. Use our comparison tool to see a wide range of plans from other providers.

What is a refurbished iPhone?

All of the iPhones offered by Kogan Mobile are refurbished, which means they’re not brand new out of the box; instead, they’re previously used devices that have been restored to full working condition. They may include devices that were used as display models, that were returned after purchase, or were traded in but remain in excellent condition.

Kogan Mobile claims that its range may show minimal signs of wear, such as minor marks or faint scratches, but phones are fully functional and quality tested, with a minimum battery capacity of 80% of a brand new handset. All phones have also been data-wiped and come with an included data cable and charger.

Refurbished iPhones also come network unlocked and BYO SIM, so you don’t have to use your phone with a Kogan Mobile plan if you’d prefer a different provider.

How much can I save by buying an iPhone from Kogan Mobile?

The following table breaks down the cost of an 128GB iPhone 13 on a 24-month own-and-pay plan from Kogan Mobile, Telstra, Optus and Vodafone.

We’ve used Kogan’s $25 Medium Plan with 40GB of data for our calculations, along with the cheapest SIM-only postpaid plan from each of the three big telcos.

Prices are standard monthly costs and do not include any promotional offers or discounts. Sourced from respective telco websites, July 2023. 

Choosing Kogan Mobile can save you from $556.80 to $964.80 over 24 months, when compared to buying the same iPhone 13 on a plan from Telstra, Optus or Vodafone. However, most of those savings come from the difference in plan prices, rather than the cost of the device itself; each of the big three telcos charges around $51 per month for the iPhone 13 on a 24-month plan, while Kogan Mobile prices the phone at $48 monthly.

This price difference works out to be around $72 over 24 months for the device, which may not seem like a huge saving considering the phones offered by Telstra, Optus and Vodafone are brand new. Customers on Telstra, Optus and Vodafone plans may also have access to additional features not available from Kogan Mobile, such as 5G coverage, included international calls and texts, and no excess data charges in Australia.

However, the savings are significantly higher if we look at the 128GB iPhone 12, which is available from Kogan Mobile for $32 per month on a 24-month own-and-pay plan, or $768 over the full two years. Telstra, Optus and Vodafone each offer this phone for $47.04 each month on a 24-month plan, or $1,128.96 in total. So Kogan Mobile customers can save $360.96 over 24 months when compared to buying the same phone from one of the big three, not including plan costs.

The numbers don’t lie: sticking to a Kogan Mobile plan for your iPhone and prepaid service will definitely save you hundreds when compared to the big-name Aussie telcos. However, whether you decide to go with Kogan will ultimately depend on whether you want a never-been-used smartphone, or you’re happy with a good-quality secondhand device.

If you’re looking at other ways to buy Apple handsets, both Amaysim and Boost Mobile sell various iPhones to pick up outright. The iPhone 14 series is available brand new from Amaysim, while Boost Mobile sells refurbished Apple and Samsung devices.

If you’re interested in seeing how prices for the iPhone 14 series compare, you’ll find plans below.