Mobile VAS sees 50% growth this year
Financial News, January 1, 2008: This Christmas and New Year, the Mobile VAS (value added service) industry has posted an overall growth of 50% compared to last year. The season also saw a growth of 25% in the usage of data and VAS services compared to other months, say industry players.

Christmas related contests, ring back tones and Christmas and New Year games are among the maximum downloads the industry is witnessing this season. "There is heavy participation in the contests by the users as there are assured prizes for daily users, which include phones, movie tickets or mega prizes like 2 days hotel stay etc," said Rajiv Hiranandani, country head, Mobile2win.

Mauj Mobile, on the other hand, has witnessed WAP (wireless action protocol) downloads more than SMS, though SMS by itself has also seen an upward trend. Amongst the season special content category, wallpapers for the year 2008 and animated graphics have shown strong uptake, it said.

Says Manoj Dawane, CEO, People Infocom (Mauj Mobile), "The mobile phone has become an extension of an individual's personality and the season is definitely encouraging for mobile VAS services. Mauj has seen a 20% increment in downloads alone and is optimistic of this rate continuing across mid-January 2008."

According to Assocham, VAS revenues would reach Rs 4,600 crore by the end of the current fiscal from Rs 2,800 crore in 2006-07.

According to experts, information on the move is becoming an essential revenue driver and with an increasing number of colour display handsets, mobile services, such as ring tones, ringback tones, live scores and astrology, will continue to gain popularity among Indian consumers.

Moreover, operators are also reporting healthy value-added services (VAS) revenue contribution from astrology, bollywood, and cricket content.

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