Cambodia’s Smart Launches WeChat Go SIM for Chinese Tourists

Cambodian mobile operator Smart Axiata has launched the Smart WeChat Go SIM, a prepaid product for Chinese visitors. The product is a result of Smart’s partnership with the Chinese messaging and mobile payment services provider WeChat. Smart WeChat Go SIM is available in three variants. Visitors receive unlimited access to WeChat and the Lingcod TV app; they also receive up to 8 GB of data for internet access, calls to China, and on-net calls and SMS in Cambodia.

The SIM cards will be available for purchase in designated distribution points in China as well as in Cambodia, at Siem Reap and Phnom Penh International Airports. In Cambodia, the three SIM types will be priced at US $3.00, US $5.00 and US $7.00, respectively. Smart WeChat Go SIM users can manage their usage through WeChat’s self-help mini-program in the Chinese language.

By 2020, nearly 2 million tourists from China are expected to visit Cambodia. An offer that is aimed at them is likely a very good idea for Smart, which can expect to sell a lot of SIMs to this fast-growing target market. And partnering with WeChat, which more than dominates the Chinese mobile market, is a natural way of doing it.

WeChat is the international brand name for the platform known in Chinese as Weixin (meaning “micro-message”). Developed by Chinese multinational Tencent, it combines a messaging service, its own social media and a mobile money functionality. It has more than 1 billion monthly active users, and more than 90 percent of its subscribers are based in China. WeChat also has very sophisticated business-oriented variations of its service. The influence and penetration of this so-called “super-app” outstrips anything the other OTT messaging apps, including WhatsApp, can do. That makes it in many ways a desirable partner for any operator outside China that is interested in developing a vigorous relationship with Chinese nationals.

The one potential problem for some operators in partnering with WeChat is that users in China have accused the app of participating with the Chinese government in censorship and surveillance efforts, and there are concerns globally about WeChat’s security or lack thereof. This cautionary note is being heard, but in markets such as Cambodia, these issues may be outweighed by the revenue opportunities and by the need to maintain a close relationship with China. In other markets, such as in the West, partnership with WeChat is likely to be less appealing and perhaps less necessary in any case.

Tarifica is the global leader in monitoring and analyzing telecom pricing. Covering hundreds of operators in every region of the globe, Tarifica’s databases of mobile and fixed line data and voice tariffs are among the largest and most in-depth in the world. Tarifica is also a leading publisher of benchmark and other pricing reports, and its analysts are recognized authorities in the telecom industry, relied upon by operators and businesses worldwide for pricing insight and guidance.  If you have any questions about this article, feel free to contact our Editor-in-chief John Dorfman at jdorfman@tarifica.com

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Orange Slovakia Gains 100,000 Customers Over Several Days

Within 10 days of introducing unlimited on-net calls within a group of five users, Orange Slovakia gained 100,000 customers for the service, which became the most successful new product ever launched in the history of Slovak mobile market. To be eligible for the service, customers must have a minimum monthly expenditure of €20.00 (US $TK). If they do, they will automatically be given the opportunity to make four of their contacts available for unlimited free calls within the group. A group can be designated via SMS, via the mobile app Orange Go, on the operator’s website, through the customer-service hotline, or at Orange sales points. We think this idea is an excellent one, and a reminder that even in today’s jaded, saturated marketplace, and even with a basic, supposedly unexciting service such as voice calling, a major impact can be made if an operator tailors an offering very directly to the tastes and usage patterns of its subscribers. It may seem elementary that consumers spend most of their voice minutes talking to the same few people, but apparently, until now, no other operators in this market have taken this behavior seriously as the basis for an offering. Sometimes, a simple idea can be the best one. It should be noted that since this is an unlimited calling plan without an additional subscription fee, it will not directly generate revenue for Orange. However, it provides the operator with three benefits: First, it tends to maximize the use of network capacity. Second, it stands to significantly increase the customer base over time, if some of the contacts that customers wish to add are not currently Orange subscribers. Third, given its huge popularity, we expect that the service will boost customer retention, if the operator keeps it in place over the long term. While we do not know for sure whether other markets would show as much enthusiasm for group calling as Slovakia has, we think it is likely that many would. And we think it is certain that knowing one’s subscribers well is still the key to success in the mobile marketplace. The above item appeared in a recent issue of Tarifica's "The Story of The Week", a weekly report that analyzes two noteworthy developments in the telecoms industry from around the world. For past issues or to learn more about The Story of The Week :  http://www.tarifica.com/storyoftheweek.aspx