8 Explosive Markets for Mobile Payments

In 2012, more than half of the revenue from virtual goods sold globally came from developing markets. Looking at Fortumo numbers, six out of our top ten countries are located in Latin America, Africa, Asia and Central & Eastern Europe. These are the regions with the biggest growth in smartphone owners and potential new customers for app developers. We did some digging around in our payment data and found 8 countries which have had an impressive growth rate over the past year in user spending. This growth illustrates a broader trend for emerging markets where users are unable or unwilling to pay with a credit card (as most of them simply do not have one) but are willing to give money to app developers who have figured out why a one-size-fits-all approach does not work globally.

The four key factors that have ensured success for developers are:

  • Localization: According to the most optimistic estimates, English is only spoken by 20 percent of the global population. If your app does not have key languages covered (such as Portuguese for Brazil and Hindi for India) many people will not even understand your app.

  • Distribution: While Google Play is unquestionably the market leader, the situation is not the same everywhere. This is because of markets like China - the largest country for Android does not have Google Play available and is dominated by alternative marketplaces; in some regions such as Russia and Latin America regional app stores like Yandex.Store and SlideME are equal in popularity to Google Play.

  • Monetization and price parity: As you can see from the infographic, the average revenue per paying user varies greatly between different countries - from 3.2 USD in Argentina to 17.2 USD in Saudi Arabia. You should ask the user the amount they are willing to spend.

  • Payment methods: Mobile payments are not a guarantee that everyone will pay. People also use e-wallets, pre-paid game cards, e-kiosks and many other channels for paying - the key is to not provide just one payment solution, but offer those which are widespread in the local market. If you’re interested in expanding your payment coverage through carrier billing, please fill out the form below and we will get in touch with you:

Fortumo Mobile Payments Emerging Markets Infographic