Vodacom Financial Services saw revenue reached R2.6 billion in the quarter to end-December 2022, up 30.6%. The Vodafone-owned company said in South Africa, growth was fuelled by its insurance business, which posted revenue growth of 13.5% and a pleasing recovery in Airtime Advance revenue growth.
What is Airtime Advance? When you’re out of airtime or data, you can get airtime or data in advance when you need it most and only pay the next time you recharge your account.
It is a self-service option that allows Vodacom prepaid customers to receive airtime or data in advance and pay for it later. This means that customers can get access to emergency airtime or data when they really need it most.
“Our Airtime Advance product remained a key contributor to financial services revenue, and posted a pleasing acceleration in the third quarter,” Vodacom said.
“We advanced R3.4 billion in airtime, amounting to 45.1% of total prepaid recharges.”
Vodacom added that its South Africa operation’s prepaid segment delivered a good result given the challenging macro backdrop associated with higher inflation and power availability challenges.
Vodacom South Africa’s mobile prepaid revenue growth accelerated to 3.7% from 2.7% in the second quarter and was underpinned by “best in class network availability and our summer campaign as we leveraged our advanced CVM capabilities to drive engagement and increase usage.”
Vodacom’s repaid ARPU of R61 was up 7%, while subscriber growth was impacted by a clean-up of 1.1 million nonrevenue generating content customers.
