Mobile phone-based money transfers will yield a
revenue bonanza for mobile phone and payment service providers over
the next five years, believes Howard Wilcox, an analyst at research
firm Juniper Research.
revenue bonanza for mobile phone and payment service providers over
the next five years, believes Howard Wilcox, an analyst at research
firm Juniper Research.
Starting as early as 2010 the market is likely
to “take off” as the world’s under-banked population and migrant
workers begin using their mobile phones extensively as mobile
wallets, predicts Wilcox.
to “take off” as the world’s under-banked population and migrant
workers begin using their mobile phones extensively as mobile
wallets, predicts Wilcox.
By 2013 Wilcox estimates that commissions and
charges generated annually by mobile money transfers, domestic and
international, will exceed $5 billion with some 60 percent of
transaction values being accounted for by three regions: Africa and
the Middle East, Western Europe and the Far East.
charges generated annually by mobile money transfers, domestic and
international, will exceed $5 billion with some 60 percent of
transaction values being accounted for by three regions: Africa and
the Middle East, Western Europe and the Far East.
Another significant payments revenue growth
area for mobile service providers is digital content, believes
Wilcox. By 2013 he predicts that a staggering 2.1 billion mobile
subscribers will “pay by mobile” for digital content including
music, games, tickets and ring-tones downloaded to their mobile
phones.
area for mobile service providers is digital content, believes
Wilcox. By 2013 he predicts that a staggering 2.1 billion mobile
subscribers will “pay by mobile” for digital content including
music, games, tickets and ring-tones downloaded to their mobile
phones.
“Many digital content goods and services are
becoming basic must haves, particularly in the sub-35 age group,”
explained Wilcox.
becoming basic must haves, particularly in the sub-35 age group,”
explained Wilcox.
“People who are aged 15-to-20 today will expect
to buy directly with their phones and will drive this market over
the next few years,”
to buy directly with their phones and will drive this market over
the next few years,”
Wilcox continued that while typical transaction
sizes will remain in the $3 to $5 range a sufficient number of
users will be using their mobiles to buy digital content
sufficiently often to result in gross transaction value increasing
nearly sevenfold by 2013. He added that Western Europe and the Far
East will account for over half of the total digital goods gross
transaction market by value by 2013.
sizes will remain in the $3 to $5 range a sufficient number of
users will be using their mobiles to buy digital content
sufficiently often to result in gross transaction value increasing
nearly sevenfold by 2013. He added that Western Europe and the Far
East will account for over half of the total digital goods gross
transaction market by value by 2013.
