FOR IMMEDIATE
RELEASE
Palo
Alto, CA (PRWEB) November 15, 2007 -- There
are 1.5 billion people in emerging markets
who do not currently own a mobile handset
but are willing and, through appropriate
business models, would be able to purchase
one within the next 12 to 24 months. The key
to accelerating sales to these near-term
handset buyers is tapping into existing
financing mechanisms, according to Karen
Coppock, vice president of consulting at
emerging-market analysts Vital Wave
Consulting.
"Many formal and informal financing programs
already exist in developing countries," says
Coppock, "but access by low-income
individuals for the purchase of a mobile
phone is extremely limited. With appropriate
marketing and partnership strategies,
handset manufacturers and mobile operators
could facilitate first-time handset
purchases through financing."
According to Vital Wave Consulting, handset
manufacturers are facing increasing market
saturation and are forced to look to
lower-income segments in emerging markets
for new growth opportunities. More than 75%
of the near-term market for handsets reside
in ten countries - China, India, Indonesia,
Bangladesh, Iran, Egypt, Vietnam, Brazil,
Pakistan and Mexico. China and India account
for the vast majority - 838 million people,
or 56% of the total market. The near-term
consumer market is found in the economic
strata between those who already have a
mobile phone and the 1.1 billion people
living on the equivalent of less than $1 per
day. These potential buyers are extremely
price-sensitive and geographically
dispersed.
Coppock points out that access to financial
services is only part of the solution. The
mobile industry must also make issuing (and
assuming) debt for the purchase of mobile
phone more palatable by stressing the
utility and income-generating capacity of a
handset. "Many of these consumers perceive
mobile phones as luxuries. They would be
more willing to finance, and lenders more
willing to issue debt for, a handset if they
are convinced that the device will make it
feasible to repay the debt."
Vital Wave Consulting's latest report
provides the size, location, and
characteristics of the near-term market for
mobile handsets, and a comprehensive review
of formal and informal financing mechanisms
in the top ten near-term markets. Resource
guides include data for 119 countries,
including mobile penetration rates as of
mid-2007, the annual income levels (ceiling
and floor) for the near-term target market,
and data on 50 financial services
organizations that are potential partners
for programs to extend financial services to
first-time handset buyers. Using credible
data and in-depth analyses, this report
uncovers emerging-market growth strategies
to increase market share, expand the
addressable market and generate new revenue
streams. Additional information is available
on the Vital Wave Consulting website at
http://www.vitalwaveconsulting.com.
About Vital Wave
Consulting
About Vital
Wave Consulting
Vital Wave Consulting enables accelerated
revenue growth in emerging markets through
strategic consulting, market research and
business intelligence. Clients include
multinational corporations in the
information technology and
telecommunications industries.
Contact
Vital Wave Consulting
+1-650-321-3313
info@vitalwave.com |
