Do you know that there are over 5 billion cell phone users today?
That’s 67.03% of the world’s population that has a mobile device of some kind. Compared to 2017, the number of cell phone users grew a whopping 10 percent, and it’s only expected to grow in the years to come.
The truth is, we got so used to our mobile phones, we perceive them as our extended hands. Our mobile phones allowed us to communicate with our friends and family regardless of our location, make purchases, and even work on the go. However, their usefulness doesn’t begin and end with the speed and convenience of communication.
They can be powerful billing tools that can help us streamline our purchases, allowing us to focus our time and energy on important things. This is where we get to Direct Carrier Billing, or shortly DCB.
We decided to explore what possibilities DCB offers to businesses and consumers and provide you with a clear insight on why and how you can use it to streamline your operations.
Table of Contents
What is Direct Carrier Billing?
Direct Carrier Billing is an online payment method that enables consumers to purchase the items they want via their mobile phone bill. By opting to use the DCB payment option, customers can make fast and secure transactions. What’s best – this payment method isn’t reserved for smartphone users only. It is available on all feature phones, smart TVs, and tablets.
DCB, how did it all begin?
DCB saw the light of the day back when consumers were choosing between ringtone and wallpaper services on their phones. However, now, DCB extended its usability as it allows consumers to purchase or subscribe to a wide array of digital products, including games, dating apps, entertainment, and e-learning apps.
This type of payment has always been helpful in the emerging markets with low financial inclusion and credit card ownership levels. In these markets, where consumers are hugely unavailable to pay the vendors, DCB plays a huge role. It provides a reliable way to purchase and charge the services.
The biggest advantage of DCB, compared to other mobile payment methods such as NFC and mobile wallets, is that it doesn’t rely on banking infrastructure. Instead, making a payment with it is as simple as entering a phone number.
The benefits of DCB for businesses.
Now that we explained what DCB is and saw how it developed over the years, let’s see its benefits for businesses.
Benefit #1: Ease of use.
One of the biggest benefits of DCB for your business is its ability to simplify the payment process. Since DCB is not dependent on banking infrastructure, customers don’t have to put in lengthy details and sensitive info, unlike when using the more common purchasing methods.
Since ease of use and convenience are among the top priorities of each customer, DCB proves to be a good customer acquisition tool.
Benefit #2: Accessibility.
As a payment method that doesn’t depend on banking infrastructure, consumers just need their phones (or other smart devices) to make their purchases.
It eliminates the need to sign in each time, and it’s generally more accessible than any other payment option, making it more attractive to consumers.
Benefit #3: Entrusted payment method.
Consumers are more likely to trust this payment method since all their transactions go via their mobile operators. In addition, DCB payments are secured with multiple security levels, bringing no risk purchasing environment to consumers.
Benefit #4: Increased conversions.
Due to its convenience and ease of use, DCB extends less purchase abandonment. Compared to other payment methods, and due to its user experience simplicity, carrier billing allows greater success rate of purchasing transactions, and a higher chance of impulse shopping.
Benefit #5: An opportunity to tap into underdeveloped markets.
Since there are more mobile phones than credit cards, Direct Carrier Billing poses an excellent opportunity for merchants to offer their goods and services. DCB is a direct monetization link, especially for underdeveloped markets with poor banking infrastructure.
Benefit #6: Data-Driven Business Models and Processes
Direct Carrier Billing is a sophisticated system based on big data and business intelligence. Among many things, it allows customer segmentation and billing rate optimization, which is a serious advantage to marketers and merchants trying to sell their services better.
Benefit #7: Lower marketing expenses
Businesses who chose to include DCB as their preferred billing channel could potentially expect lower marketing expenses. That’s especially true in cases where content is offered as a bundle and simultaneous go-to-market wherever the operator has coverage.
Wrapping it up.
DCB is not a new thing. However, the online content providers are yet to use their full potential. As a result, DCB has a chance to turn shopping into a seamless, fast, and convenient experience that respects the privacy of its users, compared to the services such as Apple Store or Google Play, which, although similar in its appearance, do require disclosure of sensitive and personal information.
Digital content providers and mobile operators could use its potential to increase their revenue, keep existing customers retained, but also attract new ones. Although the benefits we listed speak for themselves, the question remains: are you ready to embrace the future?
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- Top 7 Business Benefits of Direct Carrier Billing - June 27, 2021
