More Than 2bn Mobile Users Will Have Bought Digital Goods With Their Phones by 2013

(Business News & Technology News, 20 Aug 2008)

More than 2.1 billion mobile subscribers will "pay by mobile" for digital goods downloaded to their mobile phones by 2013, according to Juniper Research. Digital goods were defined as music (ringtones and full tracks), tickets, TV, user-generated content, infotainment and games—any content bought by phone and delivered to the phone.

A region by region analysis by Juniper Research found that there is a significant growth opportunity not only for mobile payment systems, software, support and consultancy services vendors, but also for mobile operators to increase their ARPU as transaction frequencies accelerate.

"Many digital content goods and services are becoming basic 'must haves'—particularly in the sub 35 age group. Devices like the iPhone—even in its 3G incarnation—are undoubtedly contributing to consumer awareness and usage of mobile music services. People who are 15 to 20 today will expect to buy directly with their phones and will drive this market over the next few years," says Howard Wilcox, report author.

Highlights from the report include:
- Users are forecast to make at least two payment transactions per month for digital goods by 2013
- Nearly half of all mobile phone users will have bought digital goods at least once with their phones by 2013
- The two leading regions (Western Europe and Far East and China) will account for over 50 percent of the total digital goods gross transaction market value by 2013.

"Even though typical transaction sizes will remain in the $3 to $5 bracket, a sufficient number of users will be using their mobiles to buy music, games, tickets, infotainment and the other digital goods sufficiently often to see gross transaction value grow nearly seven fold by 2013," says Wilcox.

Click here for more information on Juniper Research