Touch market, mainly Telco products but also a range of other products though electronic vouchers in the shop. Recently, they have gained some new products, including Transurban and Citylink which they are excited about. As such they are doing a promotion to our users in an attempt to win more over. In this market, they are probably the biggest player and have the greatest range.
Range is everything here. If people want an ABC voucher, and you do not have it, then they most likely going elsewhere, that is why people tend to have touch, they may not have anything else but they will have touch.
I decided to do an analysis of what a typical client of ours that uses touch product's part of the problem, here is always the same when you deal with an average, some people do very well out of it but many only use touch to buy discounts for what they and probably their family personally use and do not bother to market it. This of course mucks up the figures.
Still we have what we have and looking at it for 24 months from 1/July/2013 to 30/June/2015
What I can see that the growth in Touch in our client base is about 5 a month and on the whole people are spending more on these goods about 10% more. No surprises there are more people now prefer prepaid plus there are tourist who need to buy in a shop where someone can explain the situation to them.
The margins have dropped slightly over the period, mainly due to Optus.
Still the profit per sale over the period remains respectable.It is now about $1.40 profit per sale, which is not bad for just doing a quick transaction in the cash register.
The sales per shop have dropped a little over the period,
I think it's because more stores are selling it. Still it does bring into the shop over a 100 people a month and there seems to be a big increase during the summer as a punt. I would say the tourist who needs local telco products.
Overall though I think you can say this, it does pay its own way and there is nothing wrong with an extra 100 people in the shop every month, but it's not a game changer. It certainly worth getting before summer hits.
