Though the gaming industry is still at an emergent stage in India, it offers immense growth potential. A growing percentage of young population, steadily rising disposable incomes, surge in the use of personal computers and mobile phones, rise in potential customers like housewives and a burgeoning number of game developers are some of the major driving factors propelling the industry’s growth. The global gaming industry is constantly evolving with the introduction of new technologies, which, in turn, has had a domino effect on India. The domestic market is also witnessing a constant rise in the demand for new innovations and stood at INR 15.3 billion in 2012.

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Market Potenital of
Mobile Applications
in India

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© Gyan Research and Analytics Pvt. Ltd., 2013
Synopsis
The Indian mobile telecom industry has shown immense growth. As of March 2013, it reported
867.80 million mobile subscribers. However, the mobile telecom industry is challenged by
decreasing Average Revenue Per User (ARPU) given the huge subscriber base but high expected
future adoption rate of MVAS could help in increasing the ARPU. A varied demographic distribution,
changing lifestyles and shift in consumer preferences amongst rural, urban, and sub-urban
consumers, add further fillip to valued added services, which can yield high returns if implemented
strategically. The Indian telecom industry is all set to register high growth rates with assorted MVAS
products targeting particular segments of customers in variable price ranges.
The MVAS market in India has experienced significant growth in the past few years. It stood at USD
4,063 million in 2012 and is expected to reach USD 8,172 million by 2017. The industry is projected
to enjoy a year-on-year growth rate of 15 percent. Already a significant rise in disposable incomes
has drastically changed the consumers’ spending pattern with regard to mobile devices and value
added services. This has been the major reason for the high adoption rate of Smartphones, loaded
with a variety of applications, especially among urban users.
The MVAS market has been broadly classified into four segments in this report, information services,
communication services, M-commerce and entertainment related MVAS. M-commerce and value
added entertainment services will be the primary growth drivers accounting for the highest adoption
rate among mobile users in the near future. Further, the growth potential of the different MVAS
segments will not only be confined to urban areas, but is also expected to register high adoption
even in rural parts of the country. Thus, along with the rise in demand from varied mobile value
added services in urban India, a considerable rise in mobile subscriber base in rural India promises
huge revenue potential for players in the MVAS value chain.

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Table of Contents
1. Overview of MVAS in India
2. MVAS Market Structure
3. Market Size
3.1 Per User Expenditure on MVAS
4. Need for MVAS in India
4.1 Future Segments of MVAS Revenue Generation
5. Components of MVAS Delivery Services
6. MVAS in Rural India
6.1 Mobile Phone Usage Pattern in Urban India
6.2 Mobile Phone Usage Pattern in Rural India
6.3 Major MVAS Initiatives in Rural India
7. Outlook

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© Gyan Research and Analytics Pvt. Ltd., 2013
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