MVAS market in India to touch 33280 Crore Rupees by 2013

Mobile Value Added Services , MVAS  Market in India is growing at a fast rate of 28 percent and is expected to reach Rs.33,280 crore by 2013.

“The Indian MVAS market size is Rs.26,000 crore and is estimated to touch Rs.33,280 crore by 2013,” said the study by Internet and Mobile Association of India (IAMAI) and research firm IMRB.

“The market has seen a growth of 32 percent over 2011. It is estimated to see a growth of 28 percent in the next year,” it added.

According to the study, conventional MVAS services like astrology, Bollywood, cricket with caller ring back tones (CRBT) continued to dominate the market with 63 percent share.

While with more additional services like mHealth, mEducation, mFun the VAS industry is all set to make a stand for itself in the market.

The study divided the MVAS market into two segments — current MVAS — 63 percent and emerging MVAS — 37 percent.

While the former consists of 27 percent CRBT and 17 percent SMS based application, the later consists of 10 percent mobile applications and 8 percent games.

India currently has almost 920 million mobile subscribers. These consists of GSM and CDMA subscribers. The study suggested that MVAS consists of 27 percent of the average revenue per user (ARPU) of an operator.

“Even though the ARPU has declined over the years, the per user spent on MVAS has gone up by 28 percent in the last one year. It is now 27 percent of the ARPU,” the study said.

“The dependency on voice services is reducing and to increase the ARPU, the emphasis must be put on data services such as MVAS,” it added.