diff --git a/jedi/utils.py b/jedi/utils.py
index 1736dfff..cd8b0c48 100644
--- a/jedi/utils.py
+++ b/jedi/utils.py
@@ -14,13 +14,39 @@ def setup_readline():
 
     This function setups :mod:`readline` to use Jedi in Python interactive
     shell.  If you want to use a custom ``PYTHONSTARTUP`` file (typically
-    ``$HOME/.pythonrc.py``), you can add this piece of code:
+    ``$HOME/.pythonrc.py``), you can add this piece of code::
 
-    >>> try:
-    ...     from jedi.utils import setup_readline
-    ...     setup_readline()
-    ... except ImportError:
-    ...     print('Install Jedi with pip! No autocompletion otherwise.')
+        try:
+            from jedi.utils import setup_readline
+            setup_readline()
+        except ImportError:
+            # Fallback to the stdlib readline completer if it is installed.
+            # Taken from http://docs.python.org/2/library/rlcompleter.html
+            print("Jedi is not installed, falling back to readline")
+            try:
+                import readline
+                import rlcompleter
+                readline.parse_and_bind("tab: complete")
+            except ImportError:
+                print("Readline is not installed either. No tab completion is enabled.")
+
+    This will fallback to the readline completer if Jedi is not installed.
+    The readline completer will only complete names in the global namespace,
+    so for example,
+
+    >>> ran<TAB> # doctest: +SKIP
+
+    will complete to ``range``
+
+    with both Jedi and readline, but
+
+    >>> range(10).cou<TAB> # doctest: +SKIP
+
+    will show complete to ``range(10).count`` only with Jedi.
+
+    You'll also need to add ``export PYTHONSTARTUP=$HOME/.pythonrc.py`` to
+    your shell profile (usually ``.bash_profile`` or ``.profile`` if you use
+    bash).
 
     """
     try: