emerging markets

Riding the Mobile Innovation Wave in Emerging Markets

Posted by MohiniBhavsar on Sep 13, 2011
Riding the Mobile Innovation Wave in Emerging Markets data sheet 1199 Views
Publication Date: 
Jan 2010
Publication Type: 
Report/White paper

If communications and high-tech companies are to achieve their growth targets over the next few years, they must look to the emerging economies. These markets, with large populations, hold great promise. Although many consumers in these areas live in rural areas and rely on more limited means, their disposable income has risen in recent years. Many such consumers have become more confident about the future, and are now willing to buy aspirational products such as mobile phones and services, even on credit.

To achieve high performance in this environment, companies must understand the key mobile trends as they evolve in developing economies. They must develop a deeper understanding of the mobile value proposition to emergingmarket consumers as well as their distinctive service needs. New distribution networks must be created. Content, products and services need to be tailored to local populations. These challenges will require new models of collaboration to succeed in a more complex ecosystem.

MobileActive.org Interview with Apala Lahiri Chavan on Contextual Innovation and Mobile Technology Design for Emerging Markets

Posted by kelechiea on Jul 25, 2011

MobileActive.org interviewed Apala Lahiri Chavan, an expert in Design for Emerging Markets. She is the current Chief Oracle and Innovator of Human Factors International. Through her experience working in the fields of human and computer interaction and user experience with a particular focus on emerging regions, Lahiri Chavan and her team have done cutting edge work in the design of interactive systems. More information about Lahiri Chavan and the work she has done can be found here.

In our interview, Lahiri Chavan talks to us about the importance of paying attention to contextual user needs when designing mobile technologies for users in emerging markets. She started her career as a computer programmer, although soon realized the lack of user-centered research employed in the development of interactive systems. This then motivated her to want to be an ‘advocate for the user’ as she explains in the interview. She wanted to start designing information systems that people could intuitively understand. Her passion to work with people in developing countries is what led her to the field of Contextual Innovation.

Contextual Innovations is a "systematic multidisciplinary process of inquiry into the new frontiers of user system interactions. It allows you to gain practical knowledge about your target markets to develop entirely novel, more useful and effective products and services." The importance of Contextual innovation is that is pay’s special attention to the unique user requirements of developing regions such has high illiteracy rates, multilingualism, and dialectal variation. Lahiri Chavan also also speaks about the importance of engaging citizens of emerging markets in to the design process.

To get a more detailed account of the phrase “Contextual Innovation’’ see Lahiri Chavan video about Design for Emerging Markets. She talks about the design process that must be employed when designing systems and products for users of developing regions. In this animation Lahiri Chavan goes through several processes of design innovations and calls attention to the importance of cross-cultural challenges. 

Tariffs and the affordability gap in mobile telephone services in Latin America and the Caribbean

Posted by MohiniBhavsar on Jul 10, 2010
Tariffs and the affordability gap in mobile telephone services in Latin America and the Caribbean data sheet 1340 Views
Hernán Galperin
Publication Date: 
Mar 2010
Publication Type: 
Journal article

This study focuses on the affordability of the OECD’s low-usage basket of mobile telephony services, which includes 360 calls and 396 text messages (SMS) a year, segmented by duration, time of day and destination. In other words, the study compares the monthly cost of prepaid service for a user who makes approximately one call and sends one text message per day. Because our main interest lies in estimating the affordability of this basket of services for users at the bottom of the income pyramid, two indicators are used: (1) The proportion of income that the cost of this basket represents for users in the third income decile, which acts as a proxy for income at the bottom of the pyramid; (2) The affordability gap, which corresponds to the difference between the cost of the basket and 5 percent of the income of the potential users in each income decile.

The main findings are summarized. (1) There is significant dispersion of mobile telephony tariffs in the region, with costs of the low-usage basket ranging from US$45 in Brazil to US$2.20 in Jamaica (in current dollars). The average for the region is US$15. (2) For users who consume a minimum basket of mobile services, prepaid service is less expensive than post-paid service in 13 of the 20 markets in the sample. (3) Overall, mobile telephony tariffs in Latin America are significantly higher than those of OECD countries (2 times more) and other emerging markets (3 times more). (4) The only country in the region in which mobile telephone
services can be considered affordable for low-income users is Costa Rica. (5) Despite advances in the adoption of the service, the results of this report highlight a significant affordability gap that limits consumption of mobile telephony services for most people in the region, and point to a need for continued efforts and initiatives to reinforce competition in the market and review the heavy tax burden that affects mobile telephony service in the region.

Wanted: New Business Models for Profitable Rural Expansion

Posted by MohiniBhavsar on Jul 09, 2010
Wanted: New Business Models for Profitable Rural Expansion data sheet 1555 Views
Accenture, Ranjan, K., Falk, S., Narsalay, R., O'Brien, D., and Sennik, R.
Publication Date: 
Jan 2009
Publication Type: 
Report/White paper

In 2009, Accenture conducted a research study into the future of mobile industry expansion in rural India. We explored the views of rural consumers—both current customers and non-users—and also interviewed senior-level executives from companies that occupy strategic positions across the mobile telephony ecosystem. The key objective of this research was to understand the value proposition of mobile services to rural customers, and also to see how the
potential to serve rural markets is making mobile network operators re-think key elements of their existing business models.

This first phase of this research consisted of 15 in-depth, hour-long telephone or in-person interviews completed in June and July 2009 with executives in India representing mobile operators, handset manufacturers, passive and active telecom infrastructure providers, technology enablers/application providers, and content developers and aggregators. Additionally, in association with an independent research company, Accenture conducted an exploratory qualitative study using a focus group discussion methodology. The focus group invitees included primary wage earners, homemakers and students from rural areas.

For the second phase of the Accenture research, more than 2,400 rural citizens in India were surveyed—802 current mobile customers and 1,634 non-users— to gain a broader understanding of what customers value most in mobile devices and services. The insights drawn from this research can help mobile network operators evolve their business models, and can support more effective design of profitable packages for rural consumers

Regulation and the Digital Divide

Posted by AnneryanHeatwole on Nov 02, 2009
Regulation and the Digital Divide data sheet 1851 Views
Publication Type: 
Report/White paper

This report was commissioned by the GSMA and undertaken by PricewaterhouseCoopers (PwC) to examine the link between regulation and the digital divide. The emphasis has been on Sub-Saharan Africa because of the region’s relatively low level of penetration and significant, unfulfilled demand. Mobile has clearly emerged as the main solution to providing communications for the world’s unconnected. Mobile has already brought significant benefits to economies and societies across much of the developing world, but much potential still exists in Africa, where fixed-line communication alternatives are extremely limited.

This report investigates how a move towards best-practice regulation would promote an increase in mobile investment and help to realise this potential. Specifically, the analysis explores the impact of regulatory policy and government intervention on the level of risk associated with operator investment decisions. In light of this, we examine how reduced regulatory risk could improve investment levels and reduce the cost of mobile ownership. We then consider the impact this could have on penetration levels, and the corresponding knock-on effect for GDP.

The Betavine Social Exchange: A Marketplace for Mobile Apps for Social Change Needs Your Input

Posted by KatrinVerclas on May 04, 2009

Imagine you are an NGO (a non-governmental organization) in a developing country, working on a critical development issue -- say, developing an educational infrastructure for women and girls. You know that mobile technology can help you in this regard and you have a project in mind that you want to try out, involving the use of SMS content and mobile information services for rural teachers.  You think that there are tools and content out there for your particular needs - but you may have no idea how to access relevant expertise, mobile tools, or content. 

Enter Vodafone, one of the largest mobile telecommunications network companies in the world, operating in 25 countries with partner networks in another 42 countries.

The Mobile Web is NOT helping the Developing World... and what we can do about it. By Nathan Eagle

Posted by KatrinVerclas on Dec 05, 2007

I attend an increasing number of keynotes where CEOs and EVPs of both major mobile handset manufacturers and mobile operators trumpet their role in bringing the internet to the bottom of the pyramid in the developing world. It's a total fallacy.