So is Direct Carrier Billing, the future of mobile payments?

For me the answer is simple, yes. The reasons for this are many and I have compilied a list at the bottom of this post. txtNation are currently reviewing Direct Operator Billing in several markets, including Ireland, UK, Denmark, Finland, Norway and Sweden. With further countries on the horizon. At this time txtNation have the other options available from PSMS, WAP Billing (PayForIt), Credit Card and IVR.

Is this going to replace Premium SMS?

No! Well that’s my opinion atlaest for the short to mid term. As with all new technolgies, Direct Operator Billing will take time to buld up i) momentum and ii) acceptance. New regulations will also have to be put into place governing how and where this can be used.

The actual technique of the billing using the ‘Operator Gateway’ is a perfect fit for some of the new applications and services built to use single ‘one click’ purchases.

Premium SMS will always have its place for more traditional type of services. That is for sure.

Right now, txtNation are gearing up for this and have already started integrations and review of the business model. Expect an API in the not to distant future!

My 5 Reasons why Direct Operator Payments will be big!

  • Increased Conversion rate with DOB!
  • Dynamic price points!
  • Less leakage! more users billed!
  • Better and more fluid user experience
  • Transparency of out payments.

Direct-to-Operator billing has many technical and commercial advantages, it will only replace Premium Rate SMS in the long term, if it can be demonstrated to be commercially attractive for all involved - the networks, clients and customers!

By 2020, Direct-to-Operator Bill payments will have expanded content service owners revenues from US$5 Billion to nearly US$40 Billion.

In summary,  is this really the  next big thing – yes!

In addition, the Direct Carrier Payment model extends the reach of networks to administrative systems outside of the traditional mobile market – this is a potentially massive opportunity for providing consumers with all in one and standardised billing option for content delivered to PCs, Pads, Internet TV’s, not just mobile phones!

Read more on our support forums:

http://clients.txtnation.com/entries/20022811-direct-operator-billing

Author: Michael Whelan

2 Comments

  1. Thanks for the great info dog I owe you bgiigty.

    Reply

  2. I like Your Article about Direct Operator Billing – The Future of Mobile Payments? | Telemedia Perfect just what I was looking for! .

    Reply

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