Telecom companies have sought to use Value Added Services (VAS) as a revenue stream.
These services represent a huge growth potential and have sparked an increase of interest among customers from all over the world. The revenue potential is a primary driver for Telecoms to push and sell these services as much as possible. Another main driver behind this push is revenue from voice has plummeted as the market has become saturated, technology advances and customers expect more. At the same time, different customer-oriented services, including promotional offers and competitive bonuses, are created with the purpose of increasing customer loyalty on the long run.
Let’s explore more about the numbers game, and then go through some examples of the kind of services that are usually included in VAS.
VAS Numbers – Driving Force
The developing world has seen an enormous increase in a number of phones used during the last few years. This growth is expected to continue as we head towards 2020 and beyond. To present some compelling figures relating to mobile phone usage, may substantiate where Telecoms are potentially driving business.
Right now, there are more than 4.8 billion phone subscribers all over the world and the number is expected to reach close to 6 billion by 2020. In other words, the number of subscribers has grown by little over 1 billion compared to the number of users in 2014.