As technology has advanced, the traditional model of selling prepaid recharge has also advanced. Nowadays prepaid sales favor electronic recharge over scratch cards for several reasons. Perhaps the most important reason for decision makers in telecom operators and airtime distributors is the reduction of costs.
For both operators and airtime distributors, electronic recharge provides dramatic reductions in operational costs. This is due largely to the huge savings involved in digitizing your inventory, but where exactly are all the savings coming from?
Manufacturing and Storage Savings
Operators and airtime distributors who switched to an electronic recharge system no longer need to create and store physical inventory. This saves a tremendous amount of time and money involved in creating and storing scratch cards, essentially allowing them to recapture those funds while still providing prepaid airtime to subscribers.
Management and Distribution Savings
When physical scratch cards are manufactured, they must be taken to the distributor locations in order to be sold. This means several expenses, taxes and fees for transportation, fees at the shipping points, and the salaries of the people responsible for managing the delivery of inventory. All of these costs are eliminated through electronic recharge, since inventory is completely digital and can be replenished electronically.
Damaged, Lost or Stolen Inventory Savings
Operators and airtime distributors can also find savings with electronic recharge thanks to completely eliminating the losses of damaged, lost or stolen scratch cards. Considering the large amount of distributors many operators have, and the difficulties of delivering inventory to remote regions, savings in this regard can quickly add up to a significant amount.
Where you can get started
If you are an operator or an airtime distributor in search of reducing operational costs for your mobile business, the very first place you should consider starting is by adopting a state-of-the-art electronic recharge system to eliminate scratch cards. The amount of money you will be able to save is absolutely worth the price of a high-end system and over time will likely pay itself off and increase your profit margins dramatically.
Emida is a technology service provider for Mobile Operators and Distributors worldwide. We are experts with 20+ years of experience in the industry. We offer our very own Electronic Recharge and Distribution Channel Management System for mobile operators and distributors of airtime.
To learn more about how Emida’s Electronic Recharge and Distribution Channel Management System can help to reduce operational costs for your mobile business, please contact us at marketing_team@emida.net. We offer free live demonstrations with real-time reporting and detailed information useful to any mobile Operator!
