What happens if you try to sell digital services in a country where very few people have a credit card while almost everybody has a smartphone?
Most digital merchants end up seeing users stay on freemium plans, resulting in low conversion rates. This in turn doesn’t justify investing into user acquisition in the country.
However, low conversion rates do not mean users are not willing to pay for premium access. It often means they simply don’t have access to the payment methods offered.
Indonesia’s leading VOD service Vidio was faced with this challenge: only 2% of people in the country have a credit card while 60% have a smartphone.
To overcome the challenge, Vidio added payment methods to their checkout that are more widespread than credit cards in Indonesia, including carrier billing through Fortumo.
The result? Carrier billing is chosen by 37.2% of all users to pay for Vidio Premier.
Want to learn more about how Vidio drives their subscription growth using carrier billing? To download the case study, enter your contact details below and hit “Submit”.