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MoSell Surprises Its Competitors with Monthly Growth Reaching 100%

2007-08-14 13:47 1467


BEIJING, Aug. 14 /Xinhua-PRNewswire/ -- MoSell, the leading mobile marketing solution ASP in China, announces that its monthly revenues are growing at 100%, surprising competitors. The continued growth suggests that the Company would reach 300% revenue growth in the fourth quarter of 2007.

This year seems to be the first good year for the Chinese mobile commerce business. MoSell (“the Company”), who joined the mobile marketing practice as early as 2005, crosses both PC networks and mobile WAP2.0. As a result, the Company has become the leading mobile marketing ASP based WAP2.0, and has accumulated experience in 18 different industries in China.

The Company’s main competitors are UF-Mobile and Emay. UF Mobile is owned by UF-Soft and is listed in Shenzhen but headquartered in Beijing. Emay is engaged in SMS-CRM for industrial applications. Emay has a number of large brand name clients such as Coca-Cola and Toyota through a free charge service strategy. After four years of dealer network development, Emay has compiled about 120,000 enterprise clients and established an effective agent network. Now, Emay plans to list itself on the Nasdaq within 24 months because of the USD 20 million of investment support from IDG. Meanwhile, UF-Soft has partnered with NTT DoCoMo. Last spring, both companies announced that they would invest USD 12 million in a joint venture, named UF-Mobile. UF-Mobile plans to convert the existing e-ERP client resource and channel resource for M-ERP of its new mobile commerce business. In August of 2006, UF-Mobile selected Wuxi in Jiangsu Province, which is famous for its e-commerce business, to start recruiting merchants to sign up for its mobile commerce service called UF-Mobile Shopping Street.

In the last 12 months, the main three competitors, mentioned above, have taken a step to educate channel agents in more than 10 large cities across China and by doing so, have created public awareness of the relatively new mobile commerce business.

Under such fierce competition, Tara Liu, the president of MoSell coming from a military family, is always fighting in the front-line of sales. She has visits 20 potential clients and trains at least 20 sales managers from the Company’s dealer network every week so as to update them on MoSell’s product features in regards to mobile marketing and mobile commerce. Most of the Company’s dealers are traditional advertising agents that target print and TV media. With traditional agents only earning 1%-5% profit, those who become MoSell’s agents, tend to earn a much higher margin of around 33% due to the new mobile marketing and mobile commerce business.

Tara is very appreciative of MoSell’s agents. She thanks the agents for their help. Tara can accurately translate the Internet jargon into layman’s language for her clients, bridging the communications gap. For example, MoSell’s [M-Shop!Pro] service was described as a "Mobile Electronic Guide Book of House Sales" to a real estate developer which allowed him to comprehend the benefits that the [M-Shop!Pro] can deliver.

By July 31, three months after MoSell promoted its [M-Shop!Pro] and [Access Mail] services, MoSell had successfully gained over 20 contracts. Among its clients include 12 retail giants, such as New BeLLE, Zhongguancun Off-Price, and stated-owned Blue Island Department etc., which houses famous brands like JiaMei Dental, Schneider Electric (China) etc., and five large education & training organizations.

Thanks to web-enabled mobile interactivity and real time feedback, clients of MoSell can better identify the positive effects of its mobile marketing promotion; together with its sales agents, MoSell successfully brings back 80% of its clients through the repeat purchase of its services. Consequently, MoSell’s revenues are growing at a high rate of 100% per month. Tara Liu pointed out that, as estimated based on the current growth trend, MoSell would almost certainly be ahead of its previous scheduled break-even target of October this year, and moreover, if taking the channel sales into consideration, MoSell would easily beat a 300% revenue growth in the fourth quarter of 2007.

In terms of the Company’s money raising strategy, Tara tends to be relatively conservative and wishes to postpone the process of raising capital. She believes MoSell is very likely to break even in three months because MoSell holds strengths to keep its growth going through sales and its expanding sales channels. Tara’s management team is turning away from external financing, especially after two Beijing-based dealers, working together with MoSell, expressed intentions to purchase a stake in MoSell. Tara Liu herself does not contact and negotiate with venture partners. Rather, she introduces venture capitalists that would like to invest in MoSell to a designated intermediary. By using financial professionals to deal with VCs, Tara can save more time and concentrate on visiting clients and constructing the channel system. Ms. Liu also noted that in the second half of this year, MoSell would focus only on expanding its number of agents in five selected provinces of China, which presents itself as a challenging campaign.

About Beijing MoRank Tech Co., Ltd.

Beijing MoRank Tech Co., Ltd., the leading mobile marketing solution

ASP in China, was founded by Tara Liu, a female veteran of the Chinese Internet business that returned from Japan in 2004. As early as 2005, "MoSell Marketing Experts" team completed the Chinese localization of mature Japanese wireless applications. MoSell then became the first company in China to provide mobile marketing solutions based on WAP 2.0 in 2005.

MoSell strives to convince traditional dealers to get involved in mobile Internet applications at a low cost by providing powerful mobile marketing platforms and thoughtful M-CRM services, with a particular focus on acquiring new customers and retaining old customers.

For more information, please contact:

Beijing MoRank Tech Co., Ltd.

Xin Liu

PR Officer

Tel: +86-10-5900-3394

Fax: +86-10-5900-3324

Email: xin_liu@mosell.net

Source: Beijing MoRank Tech Co., Ltd.
Keywords: Advertising
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