ZipTel Limited (ASX:ZIP) should trade higher again today after it entered into a landmark agreement for its ZipT VOIP app with Airloyal, a leading digital marketing company operating in significant growth economies across India and South East Asia.
The deal with Airloyal will see the ZipT application promoted across India and South East Asia through Airloyal’s flagship product Ladooo, a mobile advertising and brand engagement platform.
The Indian telecommunications market is estimated to have over 220 million data Internet subscribers. Nearly 70% of data internet users still operate on the 2G and narrow bandwidth networks.
This represents a key target market for the ZipT mobile application and technology which allows consumers in areas where speed requirements are as low as 8Kbs to receive superior voice quality.
The partnership with Airloyal opens up considerable opportunities in India and across South East Asia, and provides ZipTel with access to a growing telecom market.
It is estimated that there are 180 million smartphones in India, which represents the largest growing market in the Asia Pacific for smartphone shipments.
The ZipT app provides superior voice quality on low bandwidth and uses up to 80% less data usage than other providers such as Skype and WhatsApp, creating savings on internet and data usage and pricing.
Under the agreement, Airloyal will scale the campaign across its growing user base to millions of mobile users in India and work with the company to establish the ZipT app as a key offering in the Indian and South East Asian market.
Through the customer engagement campaigns on the Ladooo platform, Airloyal will drive engagement and customer acquisition and deliver user analysis to ensure maximized retention and subscription conversions.
While there have been a number of mobile calling applications before, ZipT offers a unique proposition in India and the rest of the world through its ability to deliver superior voice quality even at the lowest data usage.
Testing has delivered favourable results in comparison to current providers with substantial market share.
Offering a genuine competitor to Skype, Viber and WhatsApp, and capitalised at just $20 million, the potential upside is large.
Proactive Investors Australia is the market leader in producing news, articles and research reports on ASX “Small and Mid-cap” stocks with distribution in Australia, UK, North America and Hong Kong / China.