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With the backdrop of CES this week, it's time to take a look at emerging trends for 2016. And those of us not in Vegas can skip out on the horrendous crowds, long airport taxi line and sore feet.
While digital payments aren't exactly cutting edge, there's still plenty of revenue headroom, according to a blog post by Fortumo CEO Martin Koppel. Customers have become accustomed to paying their utility bills online or going paperless with their bank accounts, but those digital wallets have been largely closed when it comes to service providers.
The biggest revenue growth opportunities for carriers this year will be from payment services. By partnering with the likes of Visa, PayPal and PayTM, mobile operator subscribers will be able to purchase products and services and charge them directly to their service provider bills, Koppel writes.
Google, Apple and Microsoft have carrier-billing options in place, as do most gaming publishers. On Tuesday, Bango, which is a mobile payment company, announced it was enabling carrier-billed payments on Windows 10 devices. (See Bango, Microsoft Enable Carrier Billing via Windows 10.)
In order to cash in on digital wallets, Koppel says that carriers need to have direct carrier billing available in tandem with dynamic pricing and refund options. Another key element is supporting payment service providers' business models by having payouts that are competitive with credit card processing companies.
By working with financial service providers, especially in emerging markets, carriers can become “pioneer merchants” in 2016, according to Koppel.
— Mike Robuck, editor, Telco Transformation
