DIMOCO reveals trends on the German Carrier Billing market:
With a reach of 112.6m subscribers, Carrier Billing is the #1 payment method to bill digital content.
ePublishing, eGames, home videos & digital music revenue will increase to 4,623 m EUR in 2018.
Brunn am Gebirge/Vienna (Austria), 7 May 2015 – European Carrier Billing provider DIMOCO http://www.dimoco.eu publishes a brand new Carrier Billing market special. In co-operation with leading market research partners Juniper Research and Price Waterhouse Coopers, the German Carrier Billing market has been analyzed and the success of billing digital content via the mobile network operators for now and the future revealed. With a potential reach of 112.6 million mobile subscribers in Germany, the payment method is stated to be number one to bill digital content. Conversion rates up to 70% for first time transactions and up to 80-88% for repeated digital content purchases were measured in Europe. The German ePublishing, eGames, home videos & digital music market will increase to 4,623 million euros revenue in 2018.
New DIMOCO Carrier Billing market special reveals trends in digital content billing in Germany
Together with leading market research partners, e.g. Juniper Research, Portio Research and Price Waterhouse Coopers, DIMOCO http://www.dimoco.eu frequently analyzes Carrier Billing as well as Mobile Messaging market trends. This time, the German Carrier Billing market was evaluated and trends in billing digital content via the mobile network operators’ bill highlighted.
Mobile market in Germany: Carrier Billing is the #1 digital content payment method in terms of reach
With 112.6 million mobile subscribers, Carrier Billing is the number one digital content payment method with the widest potential reach in Germany. While mobile handset penetration is 139.2 percent, with many people having two mobile devices, only 35 percent of the population owns a credit card.
Furthermore, the DIMOCO Carrier Billing market special reveals that smartphone penetration is already 50.1 percent in Germany. “Digital content is being increasingly consumed on mobile devices, as the number of smartphones in Germany has gone up by 20% in just the last 2 years”, says Gerald Tauchner, DIMOCO Co-Founder and CEO, comparing figures from DIMOCOs’ Germany Carrier Billing market specials 2014 and 2015. The German mobile network market is operated by Telekom Germany (35% market share), Vodafone (28% market share) and Telefónica Germany (37% market share including the brands O2 and e-plus).
German digital content market to reach EUR 4,623 million revenue in 2018
According to Price Waterhouse Coopers, the digital content market in Germany will increase to EUR 4,623 million revenue in 2018 and is divided into the segments e-publishing, e-games, home video and digital music. While e-games are the second most successful digital content industry (EUR 1,569 million revenue in 2018), surprisingly the e-book-, e-magazine and e-newspaper segments are leading the publishing area with an expected revenue of 1,684 million EUR in 2018. Home videos will increase to 761 million euros revenue and digital music will be sold for 609 million euros in Germany in 2018.
Carrier Billing opportunities to bill digital content on the German market
Integrating Carrier Billing into the checkout process lets digital content providers as well as consumers benefit from a number of aspects. While consumers prefer Carrier Billing if the payment method is available, and are more likely to purchase digital content due to its simplicity, convenience and security, companies profit from higher conversion rates and a billing method available on multiple screens: Conversion rates up to 70 percent for first time transactions (credit card billing: only 10 %) and up to 80-88% at repeat digital content purchases (credit card billing: only 20 %) were measured in Europe. On the German market, available via DIMOCO, services, transitional goods and digital content on all digital channels can be monetized as one-off or subscription service transactions within a price range of 0.19 and 30 EUR, depending on the mobile network operator. The entire digital content market in Europe is expected to be worth 37 billion EUR in 2018, approximately 7.2 billion EUR of that amount will be billed via Carrier Billing in Europe. (DIMOCO & Juniper Research Carrier Billing White Paper, 2015)
DIMOCO Germany Carrier Billing Market Special Sources
· DIMOCO and Juniper Research White Paper: “The Future of Carrier Billing in Europe” (February 2015)
· Juniper Research (April 2015)
· World Bank, http://data.worldbank.org/country/germany (April 2015)
· VAT Live, http://www.vatlive.com/vat-rates/european-vat-rates/eu-vat-rates/ (April 2015)
· Bundesnetzagentur, http://www.bundesnetzagentur.de (April 2015)
· PwC “Entertainment and Media Outlook 2014-2018”, http://www.pwc.com/outlook
· DIMOCO, Country Fact Sheet Germany
DIMOCO http://www.dimoco.eu is a leading carrier billing and mobile messaging company helping companies bill their digital content via the mobile network operators’ bill in Europe, as well as handling their SMS transactions worldwide. Currently, 1 billion consumers can be reached via DIMOCO Carrier Billing.
As an experienced carrier billing and mobile messaging provider, DIMOCO has a deep insight into the market. In co-operation with leading market research partners like Juniper Research, Portio Research & Price Waterhouse Coopers, DIMOCO regularly publishes new industry publications. Statistics and market data are prepared to provide deep insight into the carrier billing and mobile messaging market and highlight the latest trends within the industry. All DIMOCO publications are publically accessible and can be downloaded for free: http://www.dimoco.eu/publications.html