24 January 2005, Celtel launches Kshs 75 and Kshs 150 re-charge top-up Units

Celtel Kenya Limited today commercially launched a prepaid electronic system to sell low denomination top-up airtime. A pilot test for the virtual top-up system has been running for the past three months with top-up airtime retailing for Ksh 75 and Ksh 150.

Commissioning the system, Celtel Kenya, Chief Marketing Officer Gilles Atayi said the new facility would complement the existing physical recharge voucher system, of scratch cards. “The resounding success of the pilot test aptly demonstrates the effectiveness of electronic airtime distribution in this market.” Subscribers looking for top-up airtime only have to pay for the amount of airtime they want and this is electronically loaded to their account in real time. The airtime is available in denominations of Ksh 75, Kshs 150, Kshs 300, Kshs 600, Kshs 1200 and Kshs 3000.

Once a customer requests for the top-up airtime they want, the dealer/seller sends the airtime electronically to the customer’s number and an SMS is sent to the customer confirming the amount of credit. The customer can thereafter reconfirm the amount airtime loaded by dialing #133#. Over 11,000 dealers have already been recruited and are currently trading in the electronic top-up system through out the country. The number is expected to increase to 21,000 by the end of March 2005. “With mobile phone handsets transformed to point of airtime sale terminals, the mobile top-up distribution system effectively enhances accessibility and convenience by bringing services to our subscribers’ doorsteps”, said Atayi.

Through this extensive countrywide distribution network, Celtel will enlist vendors at grassroots level, further spurring employment creation prospects. “Apart from creating more job opportunities, the electronic voucher distribution system will enable Celtel to cost-effectively distribute airtime and ultimately facilitate better communication, making life better for more Kenyans”, said Atayi. Electronic top-up is cost effective from a business operations perspective, reduces fraud, risk and increases flexibility within sales and distribution channels. In certain markets and in line with e-commerce trends fast gaining ground in developed countries, this mode of top up far exceeds the traditional scratch card system.