Professional Documents
Culture Documents
Bulk SMS and Betting
Bulk SMS and Betting
A 2017 PWC report put Kenya and Nigeria among the three largest gambling markets in Africa
behind South Africa. In addition, a 2017 GeoPoll study observed that gambling was becoming
popular particularly among males in SSA due to their high affinity towards sports and
technology, combined with the proliferation of local sports betting players and the
convenience of the mobile phone as a tool for gambling.
Betting is a very lucrative business in Kenya and bookmakers are cashing out big time in the
country. For example, Kenyans staked a record Sh88.5 billion through online bets in the full
year to June 2023, defying a heavy crackdown on the sector and punitive taxes introduced in
the period.
The bets handed the Kenya Revenue Authority (KRA) a major windfall after it collected Sh6.64
billion in excise taxes alone. The amount was paid by gaming firms from the new 7.5 percent
tax on waged amounts.
This means Kenyans placed Sh242 million daily on bets, Sh10.1 million hourly, Sh168,333 every
minute, or Sh2,806 every second — underscoring how gambling has transformed from a
pastime to a full-time economic activity.
Were Kenya’s gambling industry a marketplace, it would rival the Nairobi Securities Exchange
(NSE) whose equity turnover last year stood at Sh94.2 billion.
A Kenya FinAccess Household Survey of 2021 found the share of adults that gambled increased
from 1.9 percent in 2019 to 13.9 percent in 2021, with males in urban areas aged between 18
and 36 years being more likely to bet.
As per the Betting Control and Licensing Board (BCLB), there are over 70 licensed betting
companies. The success of this booming industry is also evidenced by the advertising spend of
top betting companies. According to the latest data, In 2019, Betting firms dislodged the
State and other traditional bigwhips to become the biggest spender in media advertising.
Research firms TIFA and Reelforge rank betting and gambling firms as the top companies
generating advertising revenue for radio, television, and print. The sector’s high spending is
also driven by increased competition, which is manifested by a proliferation of new players
into the local industry which is deemed to be very lucrative.
According to the study, betting firms, which had a share of 0.3 percent of the total
advertising spend of Sh84.5 billion in 2014, were at 22 percent of Sh91.5 billion by 2020.
Despite facing tight regulation by the government, the betting firms spent Sh108 billion on
advertising in 2017 up from Sh85.5 billion in 2016.
Low-income earners who, according to a 2017 KARF establishment survey constitute 54% of
Kenya’s population, offer a rich target market for the betting industry. The betting industry’s
rags-to-riches narrative of poor rural folk holding huge cheques outside their mud huts, and
stories of overnight millionaires has continued to resonate with the poor and low-income
earners. While this group bets with amounts as low as KSH 10 – 50, their huge numbers
multiply the tiny quantities into millions.
The gambling low-income consumers are spread out across various demographic breaks such
as age, gender, and location with higher skews on particular profiles such as those of males of
a certain age based in the urban areas. Both males and females participate in gambling,
though our data show that males participate more often.
Across the age groups, it is notable that about half of low-income gambling consumers are 18-
25 years. Likely, the youth are most involved given the high affinity to mobile phones, sports,
and unemployment rates.
According to the Kenya National Bureau of Statistics 2018 data, 7 million Kenyans are
unemployed, and out of this 1.4 million have been desperately looking for work. Our survey
found that the highest proportion (40%) of the low-income gambling consumer is unemployed,
and a third (29%) are students. This shows that a significant percentage of low-income
gambling consumers hope that gambling will turn into a source of income for them.
THE COMPANY’S PRODUCTS?
a. The Website – Driving traffic to the website translates into more ad traffic and better
pay by Google AdSense. Our private banners are also a source of income as we
negotiate directly with the advertisers for placement.
c. Daily Paid for Odds – Daily well-analyzed 2+ Odds are with a weekly subscription-based
plan on offer.
d. Dimbacrazy the Brand – Brand Awareness created by various marketing strategies will
go a long to ensure the Brand is always on people's minds in relation to football,
betting tips, predictions and most importantly, during decision making.
At the same time, the number of mobile devices stood at 62.96 million at the end of the
quarter. The penetration rate for feature phones and smartphones stood at 66.2 percent and
58.3 percent respectively.
It would therefore be amiss for any business that wants to excel in its field to not see the
opportunity of this increasingly and also the most popular business marketing strategy.
As one of the most direct, cheaper, and cost-effective communication channels in today’s
market, a bulk SMS system is the best way to engage consumers via mobile technology.
With Statistics showing that consumers are spending more than five hours a day on their
mobile devices, sending bulk SMS is therefore the fastest way to reach clients. Furthermore,
research shows that 9 out of 10 people open their texts within 3 minutes of receiving them,
making Bulk SMS the best and most reliable way to deliver time-sensitive messages.
OUR GOALS OF BULK SMS HOW BULK SMS WILL HELP REALIZE THE
MARKETING GOALS
Does Bulk SMS Marketing fit into our existing operations without stretching the company?
Bulk SMS messaging initiatives generally align with existing customer operations, often serving
as an alternative to the others.
1. It saves Money: Time is money, and SMS marketing saves huge amounts of time. By
scheduling SMS components, you can organize your SMS marketing campaigns for later
dates. This is a great way to manage your time efficiently.
2. Integration with marketing campaigns: One major benefit of Bulk text messaging is the
potential it has when it is integrated into marketing campaigns. Social and traditional
media are not always the most effective methods to reach your customers on time. Simply
incorporate SMS with other marketing methods and reach your target audience on time
ensuring that they know what you are offering.
4. You can send advertisements together with SMS: This promotes efficiency in offering
quality service to an organization.
5. Easy to navigate and user-friendly: It has an appealing interface that is very convenient
for users
6. Ease to operate and use: It doesn’t require any special skills and knowledge to use and
can be used at any time with no delays.
7. Cheaper, Faster & Instant Results: It saves on the cost of sending SMS to many people at a
go at very fast rates and a very high success rate.
8. Increase Your Sales: Due to the efficiency it brings, it promotes fast sales hence promoting
high sales for a business at very high success rates.
9. Highest level of security and confidentiality of client database. Due to the high level of
security applied in mobile technology, messages are secure during transmission, and
confidentiality is upheld.
SMS can improve your customer response rate and conversions, which is more important to
your bottom line than basic cost-per-message calculations. For example, “email messaging is
an overall lower cost method of communication for retailers, however, SMS provides a higher
return on investment.
However, there’s an emerging set of alternatives to consider as well. SMS customers will also
try WhatsApp or several of its emerging competitors such as Signal, which has strong
encryption, or Telegram, designed to thrive in the cloud.
SMS messaging is inexpensive but there are variables to consider. As Business News Daily
describes, “Pricing for text message marketing services varies depending on several factors:
the vendor, how many messages you need to send monthly, how many custom keywords you
need.
For example, if we send 500 SMS per day, that comes to around 15,000 SMS a month, which
@Kes 0.3 per SMS, comes to around Kes. 4,500/= a month.
As we calculate costs, we need to be careful to find out whether the solutions we are
considering include any exorbitant setup fees or hidden, ongoing charges. Is the technology
something your team can easily integrate with your measurement tools?
These answers may affect our cost savings calculations and, ultimately, our ROI .
A Sender ID is a service that enables your recipient to identify who sent them a message, by
allowing you to brand the message with a company name or preferred name for easier
recognition by a subscriber.
Required documents
An authorization letter;
The Airtel network accepts submissions on Wednesdays by midday, while registration takes
place every Friday.
The ID will be made available to your account once it is ready for use.
For example, if we decide to purchase the Sender ID for all networks, that is Kshs. 20,000/-
which if spread per month for the next year, is Kshs. 1,650/-.
The total costs per month for Bulk SMS Marketing will therefore be:
Kshs. 5,000/= monthly SMS bundle + Kshs. 1,650/- Principal repayment + Kshs. 500/- monthly
interest = Kshs. 7,150/- Monthly expense to the Company.
Potential ROI?
Data shows customers are far less likely to grow restless with SMS marketing as compared to
the other alternatives. The return on investment is also very high for SMS marketing.
For example, if we send 500 SMS per day, that comes to around 15,000 SMS a month, which
@Kes 0.3 per SMS, comes to around Kes. 4,500/= a month.
Now from the 15,000 SMS sent during the month, let’s say:
We are currently using Microsoft SQL Server, a popular relational database tool, that helps us
store and retrieve data. Microsoft SQL Server key features include:
Most importantly, the SQL Server is designed to be a secure database platform and has many
security features that ensure our subscriber’s data remains confidential.
Dully filled and signed Application and terms & conditions form;
Certificate of Incorporation;
Filled, signed, and sealed/stamped resolution letter by the directors;
Director’s KRA PIN Certificates;
Company’s KRA PIN Certificate;
Company CR12 (at most 90 days old);
Copies of I.D’s of the directors; and
Cancelled Cheque or letter from the bank stating the Company’s bank details;
Obtaining a CR12 – Kshs. 700/-
Opening a bank account: Kshs 2,000/-
TOTAL: Kshs. 2,700/-
OR
register a business name with the desired trading name e.g., DIMBACRAZY TIPS
CONSULTANTS, and after that open a bank account under the business name. We will
then apply for the Till Number to Safaricom. Costing for this process is as follows:
Registration of business name: Kshs. 1050/-
Opening bank account: Kshs. 2000/-
TOTAL: 3050/-