The uptake of GPRS (General Packet Radio Services) technology for business-to-business and machine-to-machine applications is rapidly increasing as its application in a range of industries expands.
ConnectNet, a provider of customised value-added GPRS services, has taken advantage of this trend, boosting its local market share to more than 50% in its specific target market.
Says Andre Lessing, MD of ConnectNet: "Uptake of GPRS is being driven by the need to upgrade connectivity methods from legacy solutions, such as dialup, and consolidate disparate systems and approaches to gain efficiencies. GPRS is simply cheaper, faster and more effective. Barely 21 months since entering the market, we have reached a milestone, having deployed more than 10 000 units of our flagship product, the G-Pad, a locally developed GPRS modem. This puts our local market share for tailored GPRS solutions and products at more than 50%."
GPRS connectivity is in particular demand in the retail arena to link point-of-sale (POS) terminals to the banks for credit and debit card authorisations, but it is also used by pharmacies and the healthcare industry for online prescription and medical aid verification; as a communications link for ATMs; for remote monitoring and metering applications; by micro-lenders to link to banks and other databases; and by security companies to provide bi-directional communications for security alarms.
The G-Pad's popularity is a result of a number of converging benefits. While the reliability, enhanced functionality and ease of use built into the device, as well as nationwide support and excellent after sales service are primary requirements, ConnectNet is making it easier for its customers to score BEE points when procuring its GPRS solutions. "Our BEE ownership has grown to 31% (11% of which is female) and we have just been awarded a level four BEE contributor rating. This means that our customers score 100% procurement recognition when they invest in our products and services," says Lessing.
ConnectNet is 60% owned by Fast Communication Systems (Pty) Ltd, a provider of integrated wireless solutions.
Technology, service and coverage
In terms of technology, what differentiates the G-Pad is that it is able to switch automatically and transparently between the Vodacom and MTN networks, ensuring ConnectNet clients have constant connectivity. Another advantage it has over similar solutions is the G-Pad's LCD display which assists with installation, troubleshooting and monitoring.
Service excellence is a prime consideration for ConnectNet. Its call centre does real-time remote monitoring, administration and maintenance, diagnostics, tests G-Pads and offers telephonic support. Installation, maintenance and on-site support are handled by a nationwide network of service providers.
While South Africa will remain ConnectNet's primary focus, the SADEC countries are ready for this technology, says Lessing. ConnectNet is represented in Namibia and Botswana and with the increased awareness of the value of GPRS solutions in Africa, opportunities are being explored further afield.
"In Africa, retailers are expected to form a considerable part of ConnectNet's business but there is also opportunity to provide services to solution providers for one-man operations offering cellphone airtime recharge vouchers in remote areas," he adds.
"We will continue with our strategy to aggressively increase our market share in 2007," notes Lessing. "We hope to double the number of units out in the field and expand our services by developing new markets.
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