Mobile premium content applications and services are significantly contributing to the revenue growth of the European mobile industry. By the end of 2012, total revenues from mobile content will reach over £8.5 billion, from a mere £2.11 billion in 2007, according to research from Frost & Sullivan.
At a time when the mobile communication market in Europe has reached a saturated and mature phase with mobile penetration at more than 100% in many countries, mobile premium content services and applications represent a potential source of significant revenues for the mobile industry, the research claimed.
Frost & Sullivan’s new report, titled European Mobile Premium Content Markets, finds that the market, including revenues from mobile music, mobile games, mobile video and TV plus mobile graphics) will grow massively over coming years, switching mobile industry revenues from hardware to services.
Frost & Sullivan research analyst, Saverio Romeo, commented: “Content is the new horizon for the European mobile industry. During the last three years, mobile operators have been observing a slow, but continuous decline in APRU due to the decrease of voice and SMS ARPU. New sources of revenues are needed; content is an excellent candidate.”
New services and applications, such as mobile social networking, mobile searching and location based services are gaining momentum. These services allow users to personalise, search and share content with other users, increasing the use of ever more services.
Romeo adds: “Consumers will use content on mobile devices if the industry is able to offer high quality content with an excellent user experience at affordable prices.”