MobileYouthEurope

A recent article in Financial Times predicted that SMS volumes will drop by 20 percent in the next two years in countries where BBM is popular among youth. Main reason for that is that youth have discovered a way to by-pass mobile operators – and their charges –

Last month, KPN, a wireless carrier in the Netherlands, cut its profit forecast and reported a 10 percent decline in quarterly revenue from text messaging, which the company attributed to applications that give people free access to voice and text services if they have a data plan. We are sure to hear more of these stories as one-time-fee messaging apps or free message platforms are gaining more users.

Since mobile is the primary means for youth to keep in touch with friends, and on the average they send and receive close to 3000 messages each and every month, they seek ways of saving money while maintaining their connections. In some countries, mobile spend is as much as 24% of a young person’s disposable income. Globally, that averages to 15%. In the era of mindful spending, BBM has become very popular for youth as it doesn’t cost any extra operators charges.

Feverish chatting on their mobile phones is youth’s preferred means of keeping in touch with friends. ‘How’ they do is not important. Sending – receiving messages and saving money are. As more youth discover free ‘instant messaging’ with BBM or with smartphone apps such as WhatsApp or Beluga, they are leading their friends along in the conversion journey. In many countries, BBM usage has increased by 500 % in recent years and more than 39 million people around the world use it. Once again, young people have discovered an innovative solution and are making a difference.