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Tuesday, April 26, 2011

Mobile video calls all set to catch-up in India

According to a new survey conducted by PwC, a consulting firm, the Mobile VAS market in India is set to grow to a Rs 55 thousand crore industry by 2015.

Thanks to the  BWA and 3G network roll outs. Speed that so long has been a deterrent for overall VAS adoption, will now be a key enabler that will drive adoption of VAS.
Here are some interesting results of the PwC report titled Value Added Service: The Next Wave:
87 per cent of the people surveyed are aware of VAS based on regional entertainment, in the form of regional music videos and movies clips; 47 per cent are ready to adopt the services in future and are also willing to spend Rs 50 per month on regional entertainment.
71 per cent survey respondents are aware of the VAS of medical advice from doctor; 49 per cent of the users are willing to adopt the service in future at a price of Rs 73 per month.
Four out of five people are willing to use SMS in future and spend monthly average of Rs 42. In terms of revenues, SMS can contribute nearly Rs. 14,000 crore of revenue by 2015 for the mobile VAS value chain players. The operators, however, would need to focus on the multilingual SMSs and handset manufacturers would need to design keyboards (or applications) which are designed for ease of typing in Indian languages.
Future adoption for medical advice from doctors is higher for SEC B (51 per cent) as compared to SEC A (49 per cent) and SEC C (47 per cent).
Subscription interest for online gaming is almost double for students (57 per cent) compared to 30 per cent for those working full time.
Interestingly, future adoption for making video calls is higher for SEC C (54 per cent) than SEC A (48 per cent) and SEC B (49 per cent).
Even though mCommerce has awareness levels of more than 60 per cent for most of the services, future adoption rates are lower. This points towards the special focus that is required to remove roadblocks to adoption like usability and data security concerns.
On the road ahead for VAS, Sivarama concluded:
“With handset manufacturers entering VAS ecosystem with powerful operating systems and associated Application Stores, we will see shifts in the industry with handset players, VAS vendors and service providers collaborating and competing with each other. The revenue share of VAS players is expected to increase over time.”.
source

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