Africa Recharge has engineered an innovative solution for the distribution of prepaid airtime to the vast, remote population of South Africa and the rest of Africa. Its prepaid airtime distribution mechanism, based on a Wavecom wireless module from Trinity Telecomms, comprises a standalone handheld device that connects to a central server in order to download prepaid airtime tokens, using the GSM/GPRS network, and then prints an electronic prepaid airtime voucher with the access details on it.
Being totally wireless and powered by a standard 12 V battery, this solution is totally independent of traditional infrastructure, making it ideal for use in remote rural African areas.
The market
Dolf Bezuidenhout, the senior development engineer behind the prepaid airtime distribution device - called the ART point-of-sale terminal (POS terminal) - comments: "Using wireless communications to a remote server, this device can be used anywhere in Africa where a GPRS or cellular data signal is present. In this way, we are able to provide a distribution mechanism and the set up of airtime kiosks in remote areas where traders were previously unable to sell any prepaid cards required to access the cellular networks for prepaid access. These kiosks can offer airtime for any of the network operators within that region, be it in South Africa or in any other region within Africa. This device can, however, further connect to the server via analog dialup or via a GPRS enabled remote server for supermarket application."
"By partnering with local street vendors, formal and informal traders, and providing them with a low investment (under R4000) revenue stream, we are taking convenient prepaid communication to those who have long been without it. We are also assisting our partners with the start-up finance, which they are usually, with fiscal guidance, able to repay within a few months. We provide them with a full setup, installation and backup maintenance service. Our travelling technicians operate in each region in every country to service their requirements."
Africa Recharge further acts as an airtime wholesaler, purchasing bulk airtime from the network operators and then discounting it to the individual dealers and operators.
Development
The idea to develop a totally African product for airtime and other voucher distribution was born out of necessity. Problems associated with physical card-based and imported electronic solutions, included the logistics of distributing physical cards to remote areas, risk of card theft or the inability of other electronic systems to cope with the technical challenges presented by the unique African environment and cultures.
Bezuidenhout says: "We initially used a proven imported device, but we were presented with a high initial purchase cost as well as ongoing maintenance costs. This prompted us to develop our own local solution, imbedding the Wavecom wireless GPRS module as the primary communications engine. Initial challenges included anti-fraud capability, robustness, resistance to the unique African environment (including being splash proof, heat proof, easily cleanable, remote software maintainable, and low technical maintenance requirements), and the ability to operate in the informal sector without service interruption."
"With comprehensive planning, and continual research and development, we have achieved our goal of producing the perfect African-orientated point-of-sale device which has proven to be secure, robust and reliable under all extreme environmental, social and other conditions.
The Wavecom Q2406 module facilitates GSM/GPRS communications, using the available cellular network, and runs the locally-developed application software. The small size of the chip has enabled a product in a casing no larger than a standard credit card machine, and features a user-friendly keypad, display and voucher printer.
The solution is based on sophisticated server-side technology, keeping the POS terminal device as simple, reliable and robust as possible. The operations are run from a central control room, which operates 24 hours per day, and each transaction at each site can be monitored remotely. In order to test the concept and its operation in the field, Africa Recharge set up its own airtime distribution network in South Africa. Ongoing research and development concepts are still tested in their own network and kiosks before being distributed to all their customers and clients.
Operation
The airtime distribution device has a user-friendly, menu-driven interface. The operator can connect to the secure financial switch, check stock levels and debit balance, perform batch downloads, process transactions, cash up at the end of the day, and produce reports, as well as process direct sales. It features built-in security, which verifies with the server on startup via GPRS, as an anti-theft measure. It also offers server-side reconciliation in order to monitor sales on various sites countrywide.
When the device connects to the server, the communication flows to the nearest cellular tower, over the GSM/GPRS network, directly into the control room via an access point node (APN), which contains the operational control server. A backup bank of GSM/GPRS modems ensures redundancy in the form of modem-to-modem connections in the event of communications infrastructure breakdowns.
Field devices can either connect to the server on demand or batch download airtime 'stock' which can then be sold on to the end-user throughout the day. It can also maintain a permanent GPRS connection from the device into the backend server, so that no stock is held at the distribution point, and is downloaded realtime from the control room server each time an airtime sale is processed.
The Africa Recharge Token Management System (ARTMS) has a fully integrated accounting system, enabling accurate, realtime invoicing and debtor management.
Other applications
The electronic voucher device can be used to print any form of electronic voucher, including gift vouchers, loyalty points etc. With the addition of a handset, the device can also be used as a manned public pay phone. With the addition of a magnetic strip reader (existing modular addition), it can be used for a range of card-based applications.
Market acceptance and the future
The solution is working exceptionally well in the rural areas, where airtime sales are highest. Currently, Africa Recharge is experiencing a rapid take-up on the solution, and is supporting a growing number of supermarkets, fuel stations, kiosks, and informal vendors nationwide. The prepaid airtime distribution solution has been exhibited at the 2005 3G Africa exhibition in Cape Town, 2006 GSM East & Central Africa in Nairobi, Kenya as well as 2006 GSM West Africa in Dakar, Senegal, and has attracted serious interest from numerous African markets. The prepaid market is growing rapidly throughout Africa, and offers an excellent business opportunity.
Says Bezuidenhout: "We have plans to grow the number of airtime distribution points in the field quite significantly over the next few months, and possibly into other parts of Africa as well. We are also investigating the development of our own kiosk structure, which we can sell on to the street vendors in order to provide a secure environment for the distribution points. These Kiosks will include ART POS devices for sale of prepaid airtime, sale of prepaid starter packs, as well as Wavecom powered GPRS-based fax and copy machines."
"Innovative product development is an ongoing process, and we are introducing new and improved features all the time. We would like to see an ever increasing number of people benefiting from their own revenue streams, enabled by our technology, in turn providing the convenient communication capability to more and more Africans by means of the wireless GSM/GPRS network."
For more information contact Dolf Bezuidenhout, Africa Recharge, +27 (0)82 444 0363, [email protected] or Derick Roberts, Trinity Telecomms, +27 (0)11 465 7377, [email protected]
| Tel: | +27 11 465 7377 |
| Email: | [email protected] |
| www: | www.trinity.co.za |
| Articles: | More information and articles about Trinity IoT |
© Technews Publishing (Pty) Ltd | All Rights Reserved
printer friendly version