eSIM pricing 101: How to set competitive prices for your eSIM packages

The right pricing strategy will set your company up for success. Pricing is more than just setting a number — it’s about market positioning, competitive analysis, and aligning with customer expectations. 

A well-thought-out pricing strategy ensures you maximize revenue while staying attractive to your target audience. Whether you're positioning yourself as a budget-friendly option or a premium service provider, understanding how to price your eSIM packages is crucial.

This guide will explore key pricing models, factors influencing pricing decisions, and how to create a competitive strategy that aligns with your business goals.

Price definition: net vs. minimum selling price

Before setting your prices, you'll need to understand the difference between net price and minimum selling price.

Net price

Your net price is the base cost you pay for an eSIM package before adding your profit margin. This foundational price determines your potential earnings and sets the stage for your pricing strategy. For example, if Airalo Partners' net price for a regional eSIM is $5, that is your base price before markup.

Minimum selling price

The minimum selling price is the final price customers pay after factoring in your profit margin. This is what determines your actual earnings and impacts customer perception. For example, if you set a 50% markup on a $5 net price, your retail price would be $7.50.

Airalo Partners requires partners to set their prices at or above the minimum selling price to maintain market balance and prevent undercutting.

7 factors to consider when setting prices

The right price will set your placement in the market. Before setting prices, you need to understand how your eSIM packages fit into the market.

1. Market positioning

The price you set defines how your brand is perceived in the market. Consider your target audience and the type of eSIM services you want to offer. 

For example, are you catering to budget-conscious travelers looking for affordable connectivity? Or are you targeting digital nomads and business professionals who prioritize seamless service over cost? Your pricing should match the market segment you want to attract.

For example, a provider aiming to attract budget travelers might offer low-cost, smaller data packages or regional packages. A premium provider could focus on global packages for frequent travelers.

2. Competitive landscape

Understanding competitor pricing strategies helps you differentiate your offering. Research what other eSIM providers charge and analyze what makes their packages unique. 

For example, do they offer smaller or larger data packages, multi-country coverage, or extra perks such as multilingual customer support?

Identifying gaps in the market is as important as knowing your competitors. If there is high demand for regional plans but limited providers offering them, pricing your eSIMs competitively in that space can give you an edge. 

Differentiation doesn’t always mean being cheaper — it can also mean offering better value through enhanced add-ons to bundles, flexible data options, or brand reputation.

3. Standalone or bundled offerings

How you package your eSIMs affects their perceived value. Selling eSIMs as standalone products versus bundling them with additional services can influence customer purchasing decisions. 

When you bundle offers, you enhance the value proposition and can charge higher prices. For instance, you might sell a standalone eSIM for $10, but if you bundle it with travel insurance, you could price the package at $30.

This creates a perceived savings compared to purchasing each service separately. Bundled offerings can also differentiate your brand and appeal to customers looking for an all-in-one travel solution.

On the other hand, standalone offers could give you more flexibility and control over profit margins from connectivity streams. 

4. Brand awareness & reputation

Your brand's credibility influences how much customers are willing to pay. A well-established brand known for reliability and high-quality service can justify higher prices. On the other hand,  a newer provider may need to start with competitive pricing to gain traction. If your brand is associated with quality solutions and you can leverage your current brand, customers may be willing to pay more.

For example, a well-known travel agency with strong customer reviews might price its plans 10-20% higher than a newer competitor, relying on brand trust to drive sales. On the other hand, a new entrant might offer introductory discounts to build a loyal customer base before gradually increasing prices.

5. Plan your profit margin & investment in marketing 

Setting prices involves balancing profitability with marketing efforts. If you invest heavily in advertising with Google Ads, influencer partnerships, or social media promotions, your pricing should account for these costs. 

Marketing plays a significant role in customer acquisition, and a strong promotional campaign can justify a higher price point.

There are different pricing strategies based on business and marketing goals:

• A low-margin, high-volume approach focuses on selling eSIMs at competitive prices while relying on bulk sales. 
• A high-margin, premium strategy involves charging more and leveraging market position, brand, and reputation.  

Choosing the right model depends on your target audience and long-term objectives.

6. Seasonal demand 

High and low-peak travel seasons fluctuate throughout the year, depending on your audience's preferences and behavior. For example, families might travel only during summer and winter breaks. On the other hand, couples with more disposable income might travel all year to luxury destinations. 

It's good practice to know seasonal demand from your target audience and adjust prices accordingly. 

For example, during peak travel seasons, such as summer holidays, you might increase prices by 10-15% due to higher demand. Conversely, during off-peak periods, offering discounts or promotions can help maintain steady sales. 

Adapting your pricing to seasonal trends ensures you remain competitive while maximizing revenue potential.

7. Audience demographics

A successful pricing strategy is built on knowing your audience. Different travelers have unique purchasing habits, which require tailoring prices to improve conversions.

• Price sensitivity: Are your customers budget-conscious, or do they prioritize premium features?
• Buying stage: Do they purchase eSIMs in advance, or are they last-minute buyers?
• Tech-savviness: Do they compare multiple providers, or do they prioritize convenience?

For instance, business travelers often buy eSIMs in advance and value seamless connectivity, making them willing to pay more for reliable service. Leisure travelers, on the other hand, might make last-minute purchases, meaning competitive pricing or bundled deals can be more attractive.

Additionally, travel habits play a role in pricing. Luxury travelers may prefer higher data packages at premium prices, while budget travelers look for the most cost-effective options. Multi-country travelers might be drawn to regional or global plans that offer flexibility without requiring multiple purchases. 

How to set your prices

Once you’ve analyzed these factors, setting your prices involves a mix of strategy and experimentation.

1. Start by aligning your pricing with your business goals and market positioning.
2. Test different price points to find what resonates.
3. Track sales performance and adjust based on customer response. 
4. Highlight the value of your eSIMs, whether it's premium features, competitive pricing, or exclusive perks.

eSIM pricing FAQs 

Does Airalo Partners offer white label solutions?

Yes! Airalo Partners provides white label solutions. You can offer eSIMs with your own brand while leveraging Airalo’s global network and infrastructure.

Is there a fee for using Airalo Partners?

No, there is no upfront cost or subscription fee. 

What support can I get from Airalo Partners?

You'll have 24/7 access to our multilingual support team, plus onboarding materials, tutorials, and resources designed to help you succeed.