broadband strategies handbook.pdf - Khazar University

Pakistan, the Philippines, and South Africa, various forms of m-banking servicesare expanding the financial services frontier. These services allowusers to make payments and remittances, access existing bank accounts,conduct financial transactions, engage in commerce, and transfer balances.Applications to Drive Broadband DemandAmong demand facilitation factors, applications (that is, function-specificsoftware using a broadband connection to deliver content to users) have atremendous impact on adoption. If there are no compelling applications touse on the platform, users will find no value in broadband and will not useit. Applications add value to broadband, as they provide tools and servicesthat are tangible and valuable for both consumers and businesses. Thisincreases the value proposition of broadband and the chances of attractingpotential users to try the service. Evidence suggests that once consumers trythe service, they are more willing to use it more frequently and subscribe toit. Additionally, the rise of social networking sites and the rapid increase inthe amount of user-generated content being produced indicate that suchapplications can be strong demand drivers. Whether a user is uploading videosfor friends and family or developing applications for use on a mobiledevice (available in various “app stores”), it is clear that individual userinnovation can provide a strong incentive for people to subscribe to broadbandservices—whether for personal or professional reasons.The development of local content is important, as people are more likelyto be attracted to content that is developed in their local language anddesigned for their local culture. With greater local content, local SMEs andconsumers can better understand the benefits of broadband. For example,locally developed video games played a key role in broadband diffusion inKorea, which suggests that applications that address local needs and cultureare critical for broadband diffusion. Reflecting this recognition, in 2010 theKenya ICT Board began a grant program with K Sh 320 million (US$3.7 million)to promote the development of relevant, local digital content and softwareby targeting developers in the film, education, entertainment, andadvertising industries (Obura 2010).The increased availability of broadband-enabled applications in governmentservices, health care, education, and finance is also expected to boostthe overall demand for broadband services. Similar to how a large merchantserves as an “anchor tenant” in a shopping center by drawing in customerswho also purchase from smaller shops in the same shopping center, developingand implementing specific broadband “anchor” applications willhelp to attract new broadband users, who will make use of other broadband278 Broadband Strategies Handbook