BlogsThe future of SIM cards and SIM dispensing kiosks: A mini digital branch
With eSIM cards becoming more popular, the telecom industry is faced with a new quandary: Will the ordinary mobile SIM cards become obsolete anytime soon? While it’s true that mobile manufacturers started to support eSIMs in their phones a few years ago, mobile SIM cards are not redundant yet. In this article, we will be discussing why SIM cards continue to be in use, and how telecom operators can use SIM dispensing kiosks to leverage their usefulness and increase revenue.
SIM cards are not disappearing soon and here’s why
Currently, the number of active SIM cards is over 7.8 billion (that’s greater than the world's population!).
Research suggests that that mobile SIM cards are unlikely to go out of use anytime soon. As per experts, SIM card usage is based on an interdependent system that requires complete cooperation between phone manufacturers and network carriers. Given the different goals and objectives of these organizations, it will take years to come up with a new system that benefits everybody involved.
Moreover, mobile phones with standard SIM cards are still being produced and sold in large quantities worldwide. A complete switch to phones with eSIMs would cause both mobile manufacturers and telecom operators to endure huge losses. Telecom service providers also need to keep the ordinary mobile phones with SIM cards in order to avoid customer churn, as customers are accustomed to it and may prefer it to the new eSIM technology.
Companies such as Apple are introducing embedded SIMs or eSIMs into their devices. So far, only 3 network carriers in the US and 4 phone manufacturers support eSIMs, which makes wide-scale implementation a challenge.
The inconvenient part about eSIM is that it prevents users from switching devices as frequently, and it's less secure than physical SIM card, as eSIMs require an extra security step to prevent hacking by using a unique security key. These challenges work in favor of physical SIM cards to stick around for the next few years.
Naysayers will argue that using physical SIM cards can be a problem for frequent travelers who cannot switch networks while traveling and end up accumulating extra roaming charges. However, dual SIM technology and SIM dispensing kiosks can resolve this problem.
eSIMs can only be used in very recent devices, with cellular function enabled (such as 3G, 4G, and LTE), whereas physical SIM cards support all kinds of smart watches and tablets.
What are SIM dispensing kiosks?
As the name suggests, SIM dispensing kiosks are self-service machines that can make SIM renewal and purchase very easy. These kiosks can be installed in public areas, such as airports, providing travelers with an easy way to buy a local SIM card upon their arrival in a new country. This can allow travelers to take advantage of the dual SIM technology in their smartphones and use local networks to make phone calls and have internet access without worrying about roaming costs.
Ensuring easy availability of physical SIM cards can allow mobile carriers to counter the growing competition that threatens to wipe out the technology altogether. Besides working as a SIM card dispenser, these self-service machines can also be used to perform the following functions:
- Onboarding new customers
- Registering for an eSIM
- Paying bills
- Topping up the mobile balance
- Managing mobile account
- Enabling mobile money
- Capturing signatures and photos
- Scanning, printing, and depositing supporting documents
- Providing customers with remote assistance via video call
SIM dispensing kiosks by SEDCO: A way forward for telecom companies
SEDCO has been at the helm of providing companies with self-service machines and other technologies that can automate a variety of processes, enabling them to serve customers more effectively. SEDCO was the first to develop SIM dispensing kiosks that can assist telecom operators in acquiring new customers much more easily and take customer experience to the next level.
The mini digital branch can assist customers 24/7 with the convenience and accessibility they desire. The self-service kiosks also promote a safer customer journey by empowering customers to use these machines instead of visiting crowded branches for assistance. Additionally, the use of these kiosks enable telecom operators to extend their services to new locations much more easily without the need to set up physical branches and grow their presence in a cost-effective manner.
Get in touch with SEDCO experts today to learn about how these self-service kiosks enable value addition for customers and allow you to strengthen your position in the telecom industry. Contact us at marketing@sedco.co for further details.