fortumo emerging markets payment index q4 2016
TRANSCRIPT
Emerging MarketsPayment Index:
Market report by Fortumo
Q4 2016
The Emerging Markets Payment Index is intended to be used by digital media companies, web and game developers for benchmarking their revenue in markets with high smartphone growth and low credit card penetration.
The Emerging Markets Payment Index focuses on countries highlighted by GfK in its global forecast as the largest tech device growth markets of 2015. These countries are India, Nigeria, Pakistan, Vietnam, Bangladesh, Brazil, Egypt, Indonesia and Philippines.
Growth in these markets is beginning to ramp up because people’s income is low and smartphones have been expensive. However, cheap smartphones are changing this. Globally, the price of an iPhone is around $700 while the price of an Android phone is around $200. There are even cheaper phones available at sub $100 prices and these will be driving growth of the mobile ecosystem in the few next years.
Still, payment collection in these markets remains a challenge for digital content merchants. Credit card ownership is in the low double digits or single digits. At the same time, these markets are not “mobile �rst”, but “mobile only”: for most people, their smartphone is the only way to connect to the internet. This makes carrier billing the ideal solution for collecting payments from them, as traditional payment access is limited and carrier billing provides the best purchasing experience out of all payment methods on mobile devices.
The payment index aggregates carrier billing data from various platforms (web, mobile web, feature phones, smartphones) and app stores using Fortumo carrier billing.
Introduction
Emerging Markets Payment Index: Q4 2016
Should you have any questions about the report, please get in touch with us at [email protected].
* - ARPPU stands for average revenue per paying user, not to be confused with ARPU (average revenue per user). ARPPU is calculated by dividing the total money spent by users with the number of unique users who made payments.
Emerging Markets Payment Index: Q4 2016
17%
India
Mobile phones:
20%
Smartphone penetration:
Debit cardpenetration:
22%15%
Mobilebroadband access:
95%
Prepaid SIMmarket share:
Credit cardpenetration:
2%
GNI per capita:Median age:
271300Population:
$2,000million years Gross National Income
(IMF 2014 estimate)
1000million
Currency:
Exchange rate: January 6th, 2017
1 Indian Rupee (INR) = $0.015
Q4 '16 | Change QoQ Q4 '16 | Change QoQ Q4 '16 | Change QoQ Q4 '16 | Change QoQ Change QoQ
$5.4
QuarterlyARPPU*:
Quarterly medianARPPU:
Average transaction size:
Median transaction size:
$3 $1.3 $0.8
Transaction volumechange QoQ:
CARRIER BILLING KEY STATISTICAL INDICATORS
25% 18% 13%UNCHANGED
Emerging Markets Payment Index: Q4 2016
25% 32% 23%
Nigeria
Mobile phones:
30%
Smartphone penetration:
Debit cardpenetration:
36%24%
Mobilebroadband access:
97%
Prepaid SIMmarket share:
Credit cardpenetration:
3%
GNI per capita:Median age:
18185Population:
$3,000million years Gross National Income
(IMF 2014 estimate)
151million
Currency:
Exchange rate: January 6th, 2017
1 Nigerian Naira (NGN) = $0.0032
Q4 '16 | Change QoQ Q4 '16 | Change QoQ Q4 '16 | Change QoQ Q4 '16 | Change QoQ Change QoQ
$1.5
QuarterlyARPPU*:
Quarterly medianARPPU:
Average transaction size:
Median transaction size:
$0.6 $0.2 $0.2
Transaction volumechange QoQ:
CARRIER BILLING KEY STATISTICAL INDICATORS
20% 8%
Emerging Markets Payment Index: Q4 2016
6% 5% 9%
Pakistan
Mobile phones:
31%
Smartphone penetration:
Debit cardpenetration:
3%19%
Mobilebroadband access:
96%
Prepaid SIMmarket share:
Credit cardpenetration:
0.1%
GNI per capita:Median age:
23191Population:
$1,000million years Gross National Income
(IMF 2014 estimate)
128million
Currency:
Exchange rate: January 6th, 2017
1 Pakistani Rupee (PKR) = $0.0095
Q4 '16 | Change QoQ Q4 '16 | Change QoQ Q4 '16 | Change QoQ Q4 '16 | Change QoQ Change QoQ
$10.2
QuarterlyARPPU*:
Quarterly medianARPPU:
Average transaction size:
Median transaction size:
$2.1 $1 $0.5
Transaction volumechange QoQ:
CARRIER BILLING KEY STATISTICAL INDICATORS
23% 23%
Emerging Markets Payment Index: Q4 2016
7%
Vietnam
Mobile phones:
42%
Smartphone penetration:
Debit cardpenetration:
27%26%
Mobilebroadband access:
89%
Prepaid SIMmarket share:
Credit cardpenetration:
2%
GNI per capita:Median age:
2994Population:
$5,000million years Gross National Income
(IMF 2014 estimate)
120million
Currency:
Exchange rate: January 6th, 2017
1 Vietnamese Dong (VND) = $0.000044
Q4 '16 | Change QoQ Q4 '16 | Change QoQ Q4 '16 | Change QoQ Q4 '16 | Change QoQ Change QoQ
$2.9
QuarterlyARPPU*:
Quarterly medianARPPU:
Average transaction size:
Median transaction size:
$1.7 $0.5 $0.5
Transaction volumechange QoQ:
CARRIER BILLING KEY STATISTICAL INDICATORS
UNCHANGEDUNCHANGED 6%UNCHANGED
Emerging Markets Payment Index: Q4 2016
11% 4%
Bangladesh
Mobile phones:
20%
Smartphone penetration:
Debit cardpenetration:
5%13%
Mobilebroadband access:
97%
Prepaid SIMmarket share:
Credit cardpenetration:
0.3%
GNI per capita:Median age:
24162Population:
$1,000million years Gross National Income
(IMF 2014 estimate)
133million
Currency:
Exchange rate: January 6th, 2017
1 Bangladeshi Taka (BDT) = $0.013
Q4 '16 | Change QoQ Q4 '16 | Change QoQ Q4 '16 | Change QoQ Q4 '16 | Change QoQ Change QoQ
$4.9
QuarterlyARPPU*:
Quarterly medianARPPU:
Average transaction size:
Median transaction size:
$1.7 $0.5 $0.5
Transaction volumechange QoQ:
CARRIER BILLING KEY STATISTICAL INDICATORS
UNCHANGEDUNCHANGED 10%
Emerging Markets Payment Index: Q4 2016
21% 5%6%
Brazil
Mobile phones:
55%
Smartphone penetration:
Debit cardpenetration:
59%73%
Mobilebroadband access:
74%
Prepaid SIMmarket share:
Credit cardpenetration:
32%
GNI per capita:Median age:
31209Population:
$12,000million years Gross National Income
(IMF 2014 estimate)
209million
Currency:
Exchange rate: January 6th, 2017
1 Brazilian Real (BRL) = $0.31
Q4 '16 | Change QoQ Q4 '16 | Change QoQ Q4 '16 | Change QoQ Q4 '16 | Change QoQ Change QoQ
$10.2
QuarterlyARPPU*:
Quarterly medianARPPU:
Average transaction size:
Median transaction size:
$5.6 $1.8 $1.9
Transaction volumechange QoQ:
CARRIER BILLING KEY STATISTICAL INDICATORS
UNCHANGED 2%
Emerging Markets Payment Index: Q4 2016
12% 15% 30%
Egypt
Mobile phones:
22%
Smartphone penetration:
Debit cardpenetration:
10%42%
Mobilebroadband access:
89%
Prepaid SIMmarket share:
Credit cardpenetration:
2%
GNI per capita:Median age:
2592Population:
$3,000million years Gross National Income
(IMF 2014 estimate)
94million
Currency:
Exchange rate: January 6th, 2017
1 Egyptian Pound (EGP) = $0.055
Q4 '16 | Change QoQ Q4 '16 | Change QoQ Q4 '16 | Change QoQ Q4 '16 | Change QoQ Change QoQ
$4.3
QuarterlyARPPU*:
Quarterly medianARPPU:
Average transaction size:
Median transaction size:
$1.5 $0.3 $0.3
Transaction volumechange QoQ:
CARRIER BILLING KEY STATISTICAL INDICATORS
32% 2%
Emerging Markets Payment Index: Q4 2016
3%
Indonesia
Mobile phones:
40%
Smartphone penetration:
Debit cardpenetration:
26%37%
Mobilebroadband access:
98%
Prepaid SIMmarket share:
Credit cardpenetration:
2%
GNI per capita:Median age:
29259Population:
$4,000million years Gross National Income
(IMF 2014 estimate)
340million
Currency:
Exchange rate: January 6th, 2017
1 Indonesian Rupiah (IDR) = $0.000075
Q4 '16 | Change QoQ Q4 '16 | Change QoQ Q4 '16 | Change QoQ Q4 '16 | Change QoQ Change QoQ
$6.7
QuarterlyARPPU*:
Quarterly medianARPPU:
Average transaction size:
Median transaction size:
$3 $1.1 $0.9
Transaction volumechange QoQ:
CARRIER BILLING KEY STATISTICAL INDICATORS
UNCHANGEDUNCHANGEDUNCHANGED 13%
Emerging Markets Payment Index: Q4 2016
5% 4% 11%
Philippines
Mobile phones:
40%
Smartphone penetration:
Debit cardpenetration:
21%45%
Mobilebroadband access:
95%
Prepaid SIMmarket share:
Credit cardpenetration:
3%
GNI per capita:Median age:
24102Population:
$4,000million years Gross National Income
(IMF 2014 estimate)
122million
Currency:
Exchange rate: January 6th, 2017
1 Philippine Peso (PHP) = $0.02
Q4 '16 | Change QoQ Q4 '16 | Change QoQ Q4 '16 | Change QoQ Q4 '16 | Change QoQ Change QoQ
$16.4
QuarterlyARPPU*:
Quarterly medianARPPU:
Average transaction size:
Median transaction size:
$8.6 $1.5 $0.8
Transaction volumechange QoQ:
CARRIER BILLING KEY STATISTICAL INDICATORS
UNCHANGED 45%
Additional reading
What metrics to measure for your payment solutions?
Read now
How to do a background check on your carrier billing provider?
Read now
Who to partner with to launch carrier billing?
Read now
https://fortumo.comhttps://facebook.com/fortumohttps://twitter.com/fortumohttps://www.linkedin.com/company/fortumo-ltd.
Fortumo is a mobile payments company that enables direct carrier billing with more than 350 mobile operators in 90+ countries. Fortumo's payment products work across a wide range of platforms including desktop devices, smartphones, feature phones, tablets and smart TV-s. These products give consumers a simple, 1-click payment method to charge online purchases to their phone bill. For app stores, digital media companies and game developers, Fortumo provides one integration with 350 mobile operators as well as a single point of contact for settlements, reporting, support and infrastructure upgrades. Founded in 2007, Fortumo has offices in Estonia, San Francisco, Beijing, Delhi, Singapore & Hanoi and is backed by Intel Capital and Greycroft Partners.
This document is for informational purposes only. Fortumo and the authors make no expressed or implied warranties in this document. Fortumo and the author(s) make no representation or warranty in relation to the accuracy, completeness or reliability of the information contained in this document. Any opinions expressed in this document are subject to change without notice. This document may be based on a number of assumptions and different assumptions could result in materially different results. This document should not be regarded by recipients as a substitute for obtaining independent advice and/or the exercise of their own judgement, and is not to be relied upon by recipients. Fortumo and the authors, and any of their members, directors, employees or agents do not accept any liability for any loss or damage arising out of the use of all or any part of this document. Copyright © 2017 Fortumo | All rights reserved.