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April 08, 2010

mobilekom austria's Werner Reiter on the Benefits of Mobile Ticketing: Interview

By Maxfield Fulton, Analyst, Auster Capital Partners



(Editor's Note: What follows is an interview with Werner Reiter, a spokesman for mobilekom austria, part of the larger mobilekom austria group that provides services in central and eastern Europe. Mobile communications providers in the group include mobilkom austria (News - Alert), Mobiltel in Bulgaria, Velcom in Belarus, Vipnet in Croatia, Si.mobil in Slovenia, mobilkom liechtenstein, Vip mobile in Serbia and Vip operator in Macedonia. Interviewing Reiter is Auster Capital Partners Research Analyst and TMCnet Columnist Maxfield Fulton.)

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Maxfield Fulton: Austria is widely considered the most technologically advanced country in Europe when it comes to telecommunication and mobile technology. Why do you think this is the case?

Werner ReiterWerner Reiter(pictured left): There are several reasons. The first is that the Austrian regulation for the mobile segment has fostered very intense competition. This competition is not specific to prices but also reaches to innovation and quality. Secondly, Austria has a long tradition of university research in the telecommunications segment. Thirdly, the Austrian market is a rather small one and the topography of this mountainous country is pretty difficult for network planners. Suppliers have therefore had an interesting field for piloting new network technologies. All this has led to very good network coverage and a high rate of mobile penetration, which has proven a fruitful environment for new services.

MF: What role does mobilkom austria play in this?

WR: As mobilkom austria was the first mobile operator in Austria, we have had the chance to shape the market. When our first competitors entered the market it meant that we had to stay competitive, which we have done in part through continually innovating. Today, we are still a market leader with a stable market share and the frontrunner in pioneering new technologies, including HSPA+,NFC, and services like mobile commerce.

MF: As a key player in the mobile industry, may I ask you what handset you use?

WR: I use the BlackBerry 9700 for work and the HTC (News - Alert)Desire for my personal life.

MF: Do you have any favorite applications?

WR: The most interesting development for me is everything around augmented reality. Apps like the Wikitude World Browser really show how several handset features like camera, GPS, orientation-sensors and internet connectivity can be integrated into new services.

MF: Please describe your experience with mobile barcodes.

WR: With the fast growing acceptance and usage of mobile payment and services in Austria (already over 12 percent of Viennese citizens use their mobile phone for at least one payment transaction per year and over one million parking tickets are ordered via mobile channel per month), the demand for mobile tickets in sports, leisure activities, and general events is increasing steadily.

The SMS-based ticket is a simple ticketing solution: receiving an SMS with a ticket code, offering an uncomplicated way to access venues where an access crew validates tickets online (Web-based, via mobile device).

For all other venues with unmanned access, barcode tickets are a convenient solution. Not only because of the implementation of print@home solutions, but also because of general technical updates the infrastructure is increasingly able to read barcodes from mobile screens.

The customer simply receives the ticket as a short message with an integrated link or via an application if available and downloads the ticket at any time between purchase and entry.

MF: How successful was the campaign/trial?

WR: A pilot in summer 2009 was followed by the commercial launch of 2D barcode ticketing at the end of July 2009 in the Vienna Zoo. 92 percent users deemed the solution as 'very good' and 71 percent claimed they would recommend the service to family and friends. These figures were higher than we expected.

Since the commercial launch, hundreds of customers have appreciated the same advantages as the pilot users: 

  • It offers the opportunity to order ticket anywhere, anytime

  • The user saves time by avoiding queuing

  • There is no extra registration for service or mobile payment required

MF: How do you see the world of mobile barcodes evolving?

WR: Barcode-based mobile ticketing for events, concerts and sporting events, such as the launch of the Red Bull Salzburg premier league soccer arena in November 2009, shows very high potential. But online validation and the right infrastructure at the venue are basic requirements for its success.

From our experience, it seems like customers and devices are ready for the service. 


Maxfield Fulton is a research analyst at Auster Capital Partners. To read more of his articles, please visit please visit his columnist page.

Edited by Erik Linask



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