The major impact of VAS is going to be on Banking (for better banking facilities, penetration), Healthcare (for better infrastructure in rural areas), and Education (for better access to knowledge), the study says.
The study was done during January and February 2011 and was undertaken via online research, which results in a high concentration of urban professionals. In all, 2,028 responses from India were included in the study.
“Non-voice revenues currently constitute about 10% of revenues of Indian telecom operators. A comparison with other countries indicates an average of 23%, providing large scope for growth of MVAS in India”
The key drivers for Utility MVAS include: government mandate for inclusive growth, increasing penetration, need for differentiation among telcos and device manufacturers, increasing consumer demand and awareness and business need of service providers such as hospitals and banks.
The opportunities for telecom industries combined with other industries are many fold and would also result in improved quality of life for the common man, it says. The study also finds that, mobile internet and data cards are more popular among younger generation who constitute about 50 per cent of the Indian population today.
Most of the respondents want two or more service providers in order to have different services from different operators. Further, falling prices of handsets and increasing competition from local vendors are forcing the global mobile phone manufacturers to differentiate through services like application stores.
Increasing disposable incomes have boosted willingness to spend on services that bring value among the upwardly mobile citizens today, but network coverage and customer service are the uncompromising needs.
The study says that 87 per cent respondents having smartphone access internet through their smartphone, while 62 per cent respondents are ready to pay a premium for connecting devices. With 3G services, the Indian telecom industry is set for a second telecom revolution in wireless space. It will also benefit those sectors in which these services will be offered, by providing better infrastructure and services.
Link to Download the Report ( PDF 2 MB )