Carrier Billing growing 46% per year and boosting the App ecosystem: analysts confirm Neomobile’s vision and go-to-market

Neomobile, with a strong leadership in Europe and Latin America, now looks at Asia to scout for partners aiming to develop mobile monetization in its core markets and in new business initiatives in South East Asia.

Rome, May 30 2014 – Neomobile, the global mobile commerce group with a continuous growth in its 7 years of business activity (+20% in 2014 to date), now looks at Asia to scout for partners, aiming to develop mobile monetization via carrier billing, in its core markets and in new business initiatives in South East Asia.
The Asian market is driving mobile growth across the globe: today Asia accounts for 42% of global mobile revenue, the equivalent to percentages in North America and Europe combined (source GSMA research).

The increasing importance of mobile commerce

Mobile commerce is the fastest growing trend within the mobile industry, and mobile is the key ecosystem for the digital economy today. Juniper Research affirms that the value of digital content billed via direct carrier billing will increase from just fewer than €790 million last year to more than €5.2 billion in 2017, representing average annual growth over the forecast period of 46%. Neomobile truly believes that carrier billing is the preferred payment method throughout mobile markets worldwide. This method of payment will revolutionize the mobile commerce industry by bringing numerous benefits to all the players involved: from operators and digital merchants to end users. Today consumers can buy digital content with phone-originated low-friction transactions, with no need for credit card or bank account. Carrier billing eases consumer purchase decisions: making them five times more likely to complete an app store purchase than if they used a credit card.

Mobile commerce worldwide: Europe and Latam

Across Europe more than 283 million users do not own a credit card, but at the same time the handset penetration is over 120%, making carrier billing a great monetization opportunity, according to Juniper research.
In Italy, one of Neomobile’s key markets where the company began its successful business in 2007, mobile economy’s compound value is estimated at €25bn, which could reach €40bn by 2016. This would be equivalent to 2% of Italy’s GDP, according to Politecnico di Milano. With its 25.8 million people, owning at least one smartphone device, Italy is one of the most innovative markets in Europe.‎

Latin America, with an estimated population of over 600 million people, will see a continuous growth in mobile users and connections, according to GSMA’s figures, with 328 million mobile users (53.5% of the population). Country leaders are Brazil (112.5 million mobile users) followed by Mexico (97.6 million), and Argentina (52.9 million). Neomobile has local offices in both Brazil and Mexico, along with Colombia (the fourth country on this list with 24 million mobile users). Latina America generates today one third of Neomobile revenues and is expected to accelerate its growth over next 3 years boosted by the smartphone increased penetration.