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Supermarket giant Woolworths Ltd has announced plans to enter the telecommunications market, offering a no-frills mobile phone service to consumers.

Woolworths is set to team up with Optus to offer consumers a pre-paid mobile phone service, selling their own branded SIM cards for $2 via Woolworths, Safeway, BIG W and Dick Smith stores.

Customers can recharge accounts by buying credit at those stores and at other Woolworths outlets, Dan Murphy’s, BWS and participating Caltex Woolworths fuel outlets.

Woolworths business manager Alex Cochran said the move comes after consumers told the company the number of plans and caps in the market were confusing and they were after “clear and transparent pricing and everyday value.”

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