Mobile Value Added Services (MVAS) Market : Opportunity Analysis and Industry Forecast upto 2025

Mobile value added services (MVAS) refer to the services which are non-core that offered in the telecommunication sector. All the services except voice calls and transmissions of a fax are considered a mobile value added services. These services can be used to promote a telecom operator’s primary business. Mobile value added services act as a catalyst for the mobile subscribers to use their mobile device to enable operator to enhance their average revenue per user. There are different categories of mobile value added services including utility VAS, music, video search, social networking, m-Education and infotainment. The mobile value added services are something additional services offered to the customer by telecommunication operator either at no additional charge or at a nominal extra charge. Most of the times, the mobile value added service is extended at an additional charge. The definite pricing structure for value added services typically depend on whether the telecom service provider.  They consider it as a possible source of additional revenue generation or a features intended to create a firm bond with the customers.

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Increasing in the number of smartphones, high Internet penetration across the globe is driving the growth for the mobile value added services market. However, the factor boosting the value added services market is their large variability, which makes the mobile operators capable of channeling significant amount of value added services budgets annually towards managing the operational overheads. In order to enhance the customer experience by including the mobile value added services effectively in the product portfolio, for this it become important for the operators to carry out some regulating mechanism such as managed value added services. The managed value added service models has replaced the parted, vendor-specific models with a standardized and comprehensive approach targeted at end-to-end management of a service. This enables the implementation of the specification of service levels and the best industry practices along with explanation of processes assuring an excellent service experience for the customers.

There are some more challenges for the mobile value added services market. The growth of the mobile Internet and smartphones made it possible for customers to get better value added service from the Internet either with a cost or by no cost. This has resulted in decline in the user base of MVAS services that slumping the mobile value added services revenues.

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Various telecom operators have taken an active step to create a suitable mobile ecosystem in which its customers are able to access MVAS content and services of their own choice and at their own will. Furthermore, the mobile operator has also set up a subscription engine for all mobile value added services. In the past, every value added services provider was connected to the operator’s billing platform, and used it without any monitoring. There was no control in terms of what the VAS partner was charging to the customer. Now every VAS partner is attached to the subscription engine, and shares the consent of the customer with the operator.

Mobile value added services market can be segmented on the basis of types, solution, and regions. On the basis of types, the mobile value added services market can be classified as mobile Internet based and content based mobile value added services. Furthermore, on the basis of solution, mobile value added services market can be segmented as mobile music, astro and devotional, social networking, video search, utility VAS, infotainment, rural, m-Education and others.

Geographically MVAS market can be segmented into Europe, North America, Asia Pacific, Middle East & Africa and South America. North America and Europe are expected to lead due to growing Internet penetration across the regions. However, Asia Pacific regions are expected to grow significantly because of the increasing number of smartphones users across the region.

Some key players in the MVAS market are Apple Inc., Vodafone Group Plc, Airtel, Idea Cellular Ltd, AT&T, OnMobile, Spice Digital Limited, Comverse Technology Inc., One97 Communication, Google and more.

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