1. The Data Differential
Sep 24 – 25 2011, Bangalore
Sathya Karthik R
CEO & MD
ABIBA Systems
© Abiba Systems | www.abibasystems.com

2. Voice – A commodity
Competition
Low ARPU Multi Sim
Telecom
High MoU Low Loyalty
© Abiba Systems | www.abibasystems.com

3. Voice VAS/ Data
ARR
0.4 3
Gross margins
90% (Net of IUC) 70%
Transactions (Volume/
user) 450 30
Differentiation
Low Medium to High
Customer Stickiness
Low High
Realize the potential from VAS to improve revenue, profitability and
customer loyalty
© Abiba Systems | www.abibasystems.com

4. Matured markets
have adopted VAS
as a revenue driver
160 35
140 30 30 30
26
120 27
25
100 21 20
80
135 15
60
106.5 97.88 10
96 10
40 71.5
67
20 5
0 0
South Korea Japan Germany USA China India
Penetration (%) VAS Share…
© Abiba Systems | www.abibasystems.com *All figures are indicative. Source: Deliotte report

5. 35%
31%
129% 30%
21% 25% Western Europe
124% 20%
130% 15%
119% 10%
When is inflexion
120% 5%
going to happen in
India?
114% 0%
2008 2010
60% 11% 12%
Mobile Penetration 50% 10%
8.20%
VAS Share to Revenue 40% 8%
30% 56.00% 6%
20%
31.00%
4%
10% 2%
India
0% 0%
2008 2010
© Abiba Systems | www.abibasystems.com *All figures are indicative. Source: ITU, Budde

6. VAS – The Future
Basic
VAS
Social
Empower P2A
ment
Telecom
Tomorrow
M- Mobile
Commerce Apps
Mobile Social
Internet Networks
© Abiba Systems | www.abibasystems.com

7. INR
Size of the Indian VAS market at present Present
158 Bn
INR Size of the Indian VAS Market by 2015
671 Bn
Future 48% Increase in VAS ARPU in the next 5 years
31% VAS share to the wireless revenue by 2015
© Abiba Systems | www.abibasystems.com

8. Network Operator
Handset Manufacturer
Content Delivery Entities Technology Enablers
Owner Aggregator Platform Providers App Providers
Revenue Flow
Service/Data Flow
© Abiba Systems | www.abibasystems.com Source: IMRB Report

9. Basic - Not leveraging
the power of data Ad - hoc
Reports
Conventional
Basic Analysis
data sources
Untargeted Elementary
campaigns Profiling
© Abiba Systems | www.abibasystems.com

10. Value High Value Low Value
Volume
“Value” based offerings are expected to rise in the future catering to niche
segments.
A balance between ‘Value’ and ‘Volume’ is the key.
© Abiba Systems | www.abibasystems.com

11. Micro Response
Segmentation Modeling Campaign Uplift Forecasting
Social Network Mobile App Category
Analysis Text Analytics Analytics Management
© Abiba Systems | www.abibasystems.com

12. Profile
P-P SMS Data Entertainment Information
Response
P-P SMS Data Entertainment Information
High ARPU
customers
P-P SMS Data Entertainment Information
© Abiba Systems | www.abibasystems.com

13. Urban Shift
High High
Perceived Value
Low High Low High
Practical Value Practical Value
Rural Shift
High High
Perceived Value
Low High Low High
Practical Value Practical Value
© Abiba Systems | www.abibasystems.com Source: IAMAI report on MVAS

14. Number of Number of
Subscribers: 10k Subscribers: 15k
Sports
Operator: Idea, Airtel Operator:
Region: Chennai Airtel, Vodafone
Region: NCR
Business Entertainment
Social
Number of
Number of
Subscribers: 50k
Subscribers: 20k
Operator:
Operator: Vodafone
Tata, Vodafone
Region: Bangalore
Region: Mumbai
© Abiba Systems | www.abibasystems.com

15. Conventional Domain
Tools Driven Business Driven
Technology Focused Technology as Enabler
Solution
On premises
Analytics
Higher Capex In house
Better control
Outsourced
SaaS Model
Deployment Engagement Embedded
Low Capex
Shared Model
© Abiba Systems | www.abibasystems.com

16. Increased VAS
penetration
Increased Increase Revenue
Uplift
Stickiness ROI
Increased Cross Sell /
Up Sell of VAS Services
© Abiba Systems | www.abibasystems.com

17. Thank you
Email : contact@abibasystems.com
Visit us at www.abibasystems.com
© Abiba Systems | www.abibasystems.com