Skip to main content

Creating Successful Mobile Data Services

According to a market study by Portio Research, mobile data services have become an important tool for generating revenue now that mobile handsets are used not only for voice calls but also for other services -- such as messaging, music, video, etc.

The shift in focus from voice to data services has largely been due to the decreasing growth of voice revenue and the increasing pressure on voice service profit margins. As voice services becomes more of a commodity, mobile operators need to look at other sources to generate new income.

This fact has provided the impetus to formulate and implement strategies to create successful data services that help increase overall data average revenue per user (ARPU).

Their report analyzes the strategies that have been adopted by mobile operators in both advanced and developing countries to make their data services successful and, thereby, drive up data ARPU.

Portio has also covered the strategies adopted by the mobile vendors to push its mobile phone handsets, as they ultimately led to increased data ARPU for operators.

Looking at the growth of non-voice mobile services from 2006 to 2013, Portio anticipates that mobile data revenues, expressed as a percentage of total mobile services revenues, are growing form just 16 percent in 2006 to reach over 25 percent in 2012.

As data service become increasingly important, operators and other players in the value chain must learn best practice operating procedures from the leading service providers.

By and large, the leaders are still in the Asia-Pacific and European markets, with North American carriers on the trailing edge.

Popular posts from this blog

The Subscription Economy Churn Challenge

The subscription business model has been one of the big success stories of the Internet era. From Netflix to Microsoft 365, more and more companies are moving towards recurring revenue streams by having customers pay for access rather than product ownership. The subscription economy cuts across many industries -- such as streaming services, software, media, consumer products, and even transportation with the rise of mobility-as-a-service. A new market study by Juniper Research highlights the central challenge facing subscription businesses -- reducing customer churn to build a loyal subscriber installed base. Subscription Model Market Development The Juniper market study provides an in-depth analysis of the subscription business model market landscape and associated customer retention strategies. A key finding is that impending government regulations will make it easier for customers to cancel subscriptions, likely leading to increased voluntary churn rates. The study report cites the