For GSM Network Operators looking to harness changing trends in the lucrative prepaid subscriber market, Net1's virtual airtime top-up solution is the most effective channel through which to maximize sales growth and distribution efficiency.
Prepaid users want to recharge their airtime simply and securely, the continuous demand for convenience is driving prepaid subscribers to look to their cellular carriers to provide "top-up distribution" points that are readily available and easily accessible.
Traditional physical voucher systems present Operators with a number of challenges including voucher fraud, shrinkage and high commissions payable to physical merchants vending the vouchers. Statistics show that up to 30% of value being dispensed is consumed through the cost of the physical distribution channel itself.
IVR-based systems have eliminated some of these physical voucher headaches but they are generally credit card based and require some form of pre-registration thereby cutting out many segments within the mass market where subscribers do not have access to credit card accounts or are un-banked.
The Net1 Virtual Top-Up (VTU) solution addresses these issues by enabling Operators to establish relationships with a number of virtual vendors or merchants who can distribute and vend airtime via cellular handsets on the Operator's behalf.
These virtual vendors do not have physical outlets or the overheads of traditional merchants and ensure more efficient airtime distribution. In addition, they do not have to deal with physical vouchers removing the possibilities of theft and eliminates the headaches associated with the physical distribution of prepaid top-up cards.
Client applications can be SIM or Phone based using SMS or GPRS or a combination of both for transaction delivery.
Prepaid VTU Key Benefits:
- The prepaid VTU solution facilitates vending directly from a standard GSM handset.
- Variable value can be vended down to the smallest practical denomination.
- Displaces physical vouchers in the airtime distribution chain.
- Lowest cost per transaction.
- The Prepaid VTU expansive business model minimizes Operator OPEX.
- Transposes physical retail Points-Of-Sale for mobile entrepreneurs.
- Convenience factor enhances the subscriber buying experience.
- Proven, secure and scalable technology.
- Incumbent STK/browser based technology translates to rapid time to market.
- Simple to use.
Net1 has granted VTU licenses to several major mobile operators in Africa and Asia and operates VTU systems with partners in Columbia and Vietnam.