Juniper Research says the revenues generated by the mobile content industry will increase from $2 billion in 2012 to $13 billion by 2017.

Operator storefronts and portals account for 6 per cent of content downloads worldwide, with Google Play and Apple’s App Store comprising nearly 70 per cent between them. Further, the increasing popularity of over the top (OTT) stores had led to many operators closing their own storefronts.

Further, Juniper Research suggests that by offering carrier billing to third-party storefronts, operators could more than offset the continued decline in portal revenues. Storefronts which have already integrated carrier billing solutions have witnessed a five to six fold increase in conversion rates, owing to credit card billing, coupled with an increase in average transaction values.

Furthermore, the implementation of carrier billing allowed storefronts and developers to monetise unbanked/underbanked regions and demographics for the first time. Carrier billing for higher value content would be less effective amongst prepaid users given the relatively low top-up levels in most markets.

According to Juniper Research, while Google has surpassed Apple in terms of application downloads, the monetisation levels of Android-based applications are markedly lower. Though in-application billing has become the prevalent business model, the “pay per download” model has not yet lost its relevance in the industry.

Follow us on feedburner, google+, facebook and twitter