Kenyan Mobile phone operators sell value added services

Some few weeks ago, Jinny Software, a new premium service rate provider started conducting interviews in Nairobi as it prepared to set up shop in Kenya.

Jinny, an European-based provider for personalised messaging, advertised two positions on its Website— operations and another for technical support engineers

As the raging telecoms competition continues, focus is turning to premium rate service providers who are giving value added services to mobile subscribers.

Several things are happening. For instance, Interactive Media Services (IMS), the pioneer PRSP in the country is set to announce a partnership deal with Moota, a Norwegian mobile data and content software solutions provider later in the week.

Several weeks ago, Google, the world’s most popular search engine , invested in Mobile Messaging Solutions, the parent company of Mobile Planet and another value added service provider in Kenya.

What is going on?

“The mobile operators are looking to differentiate and identify themselves. Networks have to develop certain services to grow their revenues since the saturated market is spending less on calls and they have to get the clients to spend more through other services. That is where we as PRSP come in,” says Mr Ken Njoroge, the chief executive officer of Cellulant.

Mobile operators are experiencing pressure on their traditional businesses of voice.

The Average Price Per User (ARPU) is headed south and is evident in Safaricom’s financial statement of the month ended March 31, 2008, which says that ARPU reduced in the year as more consumers with lower spending power got on board during the expansion, especially into the rural areas ,coupled with reduced tariffs during the year

Business Daily Africa