1Current mVAS Scenario Ms. Reena Dongol (For Paper Presentation in CAN Info Tech th January 2014)Presented by :Ms. Reena DongolDeputy Manager, GSM Business, Nepal Telecom.ID:
2Outlines Background of mVAS Types and Services mVAS Ecosystem mVAS BenefitsWhy mVAS in Telecom Market?VAS Licensing Regime in NepalNepal Telecom Case ScenarioDifferences between Current & Emerging VASNational Trend ofGlobal Trend of mVASLimitation /Challenges in mVASThe Way Forward…
3Background of mVASTraditional : Enhanced Services that Add Value to the Standard or Core Telco-Services like Voice Calls and Fax TransmissionCall Waiting, Call Forwarding, Multi Party Conferencing, Voice Mail, , SMS, MMS etc.Modern : All kinds of Content and Applications provided on Telco Network apart from Traditional Value Added ServicesInformation BasedCRBT,MCA, Contest, m-Learning, m-Governance, m-Health , m-Commerce, Social Networking etc.
4mVAS Types & ServicesMobile Backup Entertainment (Wall paper, Horoscope, Jokes, life style, News, games)IVVRMessaging (push-pull service ),Mobile Commerce(Mobile Banking, Utility bill payment via mobile)Advanced Network Services( Call Block, Missed call Alert, Pay for me, Balance Transfer)Mobile CRBT(Ringtone, Songs download)Multimedia(video download, Mobile TV, Songs), Conferencing and CollaborationPublic Safety(different kinds of information provided by VAS operators)Video Conference(Video Call )Voice SMS( Voice Chat)M- Agriculture, M- Governance, M-Health, M-Marketing etc.
6mVAS Benefits Telecom Service Provider Key Role in delivering information, better situational awareness in disasters, infrastructure planning and national developmentCompany /its Product BrandingCustomer RetentionGrowth in Revenue without much effortCustomerComfortable LifestyleUpdated to Latest HappeningsBest Value for PriceEasy Access, no hassle
7mVAS BenefitsContent Provider/Application Providers/ Mobile AdvertiserAggregatorTechnology EnablerHandset ManufacturerSource of Profitable BusinessOpportunity for National ContributionBest platform for Market PresenceGrowing Trend
8Why mVAS in Telecom Market? Not a main businessHuge Competition in Telecom BusinessGrowing Customers demandBiggest Challenges to Telecom OperatorCustomer ChurnRevenue LossmVAS best fit for current survivalCustomer retentionAttraction to customerHelps in Revenue growthNo extra effort to Telecom OperatorBearer Channel Only
9mVAS Licensing Regime Telecom Operator Need Telecom Authority Regulatory Body for VAS Licensing RegimeTelecom Authority/Regulatory Body canHelps in National Social-Economy DevelopmentControl the mVAS MarketReduce Institutional ConflictQuick in Adaptation of Innovative Application ServicesBring about Social Security, Timely AwarenessGain Respect from the Citizens
10Nepal Telecom Case Scenario – mVAS Bearer Channels SMS based push-pull VAS [ Mostly Used ]USSD [ Recently Started]IVRs [ Can be most useful in case of Nepal, only open for few Service Providers ]WAP Based [Can be useful as there are 6.2 M GPRS users in Nepal ]CRBT [Mostly Used]
11NT Case Scenario Selection of mVAS Service Providers Selection by Telco Operator under the guidance of its board decisionsMethod of mVAS Service Provider SelectionTendering (dated BS 2063 Shrawan- AD July 2007)Beauty Contest (from BS 2066 Chaitra- AD March 2010)Innovative VASAccess, Awareness, AffordableEasy and Comfortable LifestyleAddresses Necessity of SubscribersRetention of SubscribersReduce Time-To-MarketAttractive Business ModelTechnical ViabilityNo charges on short codes
12Nepal Telecom Case Scenario Selection of mVAS Service Providers- contd. Service Approval from NT ManagementProvisional Period (mostly 6 months)Contract Period (mostly 1 year)Renewal (mostly in yearly basis)Tariff and Short Codes approved from NTAConnectivity charges (set defined charges from July 14th 2013)Evaluation of Service prior to renewal of VAS License
13Nepal Telecom Case Scenario- Year wise GSM Revenue
14Nepal Telecom Case Scenario – mVAS Revenue 4M mVAS users including CRBT
15Nepal Telecom Case Scenario – Existing mVAS mostly entertainment & SMS based SMS/ IVR BasedInformation ServicesBankingQuotes Love/ Friendship/ Hates etcHoroscopeSportsHospitalsDigital Visiting CardGender Violence ReportingSoftware SMS integration service / APIQuiz / public opinionVoting/ ContestMobile FinancePremium VAS (CRBT, News Alert, Voice Chat, MCA)
16Emerging mVAS services- New age application with enhanced content and higher data usage SMS/ IVR/ USSD/ WAP/CRBT BasedGamingTeleVotingChatSocial NetworkingLocal Language Voice ResponsesmHealthmGovernancemAgriculturemLearningmCommerce (enabler for mobile payment)Wall PaperTrue Toneand many more…
17Nepal Telecom mVAS services- In Near Future (10M GSM Project) 20% 2G, 40% 3GTarget for 5% Revenue in 2014High speed data, Attractive data packagesContracted with few more VAS providers with innovative productsUSSD service in the process of operationAdvancement in the handset, in the process of bundling with Android handset Focus in marketing and awareness campaign program of mVAS services to customers
20mVAS Limitations/ Challenges in Nepal Lack of Strong Regulatory PoliciesmVAS Licensing/ RenewalTariffCharging for ResourcesContent PrivacyCopyrightRoyaltyRevenue SharingFinancial TransactionPerformance SecurityInsuranceApproval of Emerging Application Services
21Limitations/ Challenges of mVAS in Nepal Handset that does not support Local languageBandwidth LimitationTraditional mVASExisting TDM Telco InfrastructureLack of Effective MarketingLack of Content in Regional LevelCostly Service due to low volumeLack of proper exposureSpam messages etc.
22The Way Forward…Urgent Need for a CLEAR Policies and Regulatory FrameworkIdentify Role Model Players in mVAS EcosystemEducate End UsersAccess to Mass Market/ High Availability/ Affordable ServicesEncourage Growth of Local Application & ContentsMonitor Growth in mVAS RevenueSurvey/ Expose to Key Areas for Future DevelopmentAdapt to Emerging mVASPeriodic Review on mVASReduce Time-To-Market