MTS blog


SALES THROUGH PAYMENT TERMINALS

Monday, June 15, 2009
This summer we are launching contract sales through payment terminals. Our first partner is OSMP, the leading payment terminal company in Russia. Their consumer brand, QIWI, is the largest network of terminals accepting payments for a wide range of services, including mobile telephony, Internet services, subscription TV and utilities. The network has around 87,000 terminals in Russia, of which over 20,000 are in Moscow.

Customers topping up their accounts through QIWI terminals will be offered our Super Nol’ tariff plan and a new mobile number. The new MTS subscriber will receive the SIM card and the contract by a courier.
 
We are launching the test project this summer and expect to sell over 87,000 contracts over the first month. Depending on the interest of QIWI customers and the pattern of sales, we will review our relationship with the terminal providers.

It should be noted that while many Western European mobile operators have a high share of sales through the Internet, the low penetration of broadband in Russia limits the effectiveness of that channel. At the same time, over the last few years, payment terminals have expanded throughout Russia and are currently present in the majority of locations with high pedestrian traffic, including grocery stores, Metro stations and other popular public areas.

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COVERAGE IN TOTAL TELECOM

Thursday, June 11, 2009


Mikhail Gerchuk, Chief Commercial Officer of MTS, was interviewed in the June issue of Total Telecom, one of the most respected telecommunications magazines. Mikhail met with the Total Telecom editor to discuss the BrandZ 2009 ranking, where MTS became the 71st most valuable brand globally and one of the 10 most valuable telecom brands, worth $9.2 billion (see press release, BrandZ website and the report in the Financial Times).

Building the leading communications brand in the CIS has been one of the key objectives of MTS corporate strategy following the launch of the current brand over 3 years ago. This year, we are actively developing our retail presence, by building our own MTS stores and acquiring retailers, such as Telefon.Ru and Eldorado. By moving into retail, the MTS brand will increase visibility and allow consumers a greater degree of interaction with the Company.

The efforts to create the most powerful and recognized brand in our markets of operations reflect the goal of MTS to maintain its position as the leading mobile operator in Eastern Europe and Central Asia. Strong brand is fundamental to a solid business with long-term goals and our brand valuation reflects its importance in stimulating future growth of the Company.

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