Invest to run and operate this system

JLA trading as Ersal will invest a total of 2.5 million American Dollars to install this system in all Telecom companies of Afghanistan. This investment represents the cost of the software, equipment, installation, training of key staff, and setting up a net of retailers all around Afghanistan to operate the recharge system.

MyPassion
MyPassion

What does ERSALE Offers?

Invest in setting up “One SIM All Recharge” system using its own resources.

Train users along all the commercialization chain (telecom companies, whole sellers, Distributors and retailers) in how to operate and benefit from the system

Train MICT staff in data collection of information generated by the system

JLA trading as Ersal will invest a total of 2.5 million American Dollars to install this system in all Telecom companies of Afghanistan. This investment represents the cost of the software, equipment, installation, training of key staff, and setting up a net of retailers all around Afghanistan to operate the recharge system. Basically the current existing retailers net will keep working; however, thousands of new retailers will be incorporated in the system due to the simplicity of its operation. All, old and new, whole sellers, distributors and retailers will be trained on how to operate the recharge system.

Market Analysis

Information about Target Market

Project Information:

Registered Sim Cards: 23 Million

Daily Transactions: 7-8 million dollars per day

Annual average revenue: $139.6 million

Paper/plastic cards: 95%

Ersale Coverage: 90% of Subscriber*

Company Investments: 2.5 Million USD

Information about Target Market

As per estimates currently there are about 23 million registered SIM cards in Afghanistan an which half of them may be not in use, it means about 12 million active SIM cards are divided by six (6) telecommunication companies, using about 7-8 million dollars per day, the market in which +98% off this market is dominated by paper/plastic cards, which need to be replaced by electronic (safe and speedy) system as soon as possible.

currently about 78% of the country currently enjoying the benefits of having access to the communication facilities and 98% of the users relying on prepaid or using paper/plastic cards, basically the market is too vast and it is all over Afghanistan.

Distinguishing characteristics

Our customers need to know the benefits of our world class new product to give them 24/7 service and support anywhere, anytime they need.
Our customers are high ranking officials, students, merchants, drivers, labourers, house wives, street vendors, farmers, horticulturists, miners etc. living around the country using communication equipment’s specially mobile phones every day and night anywhere, any time.



Size of the primary target market

Actual size of the market is all Afghanistan but our initial target is the main cities and for our marketing purpose only we divided the country into 6 zones to make it easy for us to have afull control of our implementation plane to register vendors and launch the services.

Currently we are targeting the capitals of each zone then provinces to establish market chains that eventually our sales activity moves from centres to districts and villages. We assume this centralized approach will enable us to reach our target in every corner of the country systematically and quickly. Unofficial statists shows a sale of 8-10 million US dollars per day in which the approximate annul sale will be $3000-3600 million US and it is growing fast, at the end of 2011 financial year ATRA had 16.5million registered SIM card and at the end of 2012 this figure raised to abot 23 million.

How much market share can we gain?

We are committed to move faster to reach our first year target of 10% of the total market and to achieve that we are planning and working hard to register around 6,000 vendors around the country.

To achieve this target we are planning to register 2,000 vendors in Kabul and 4,000 in 5 other zones. As per ATRA unofficial statistic based on company’s information currently about 60,000 people are working in this sales sector mainly street vendors.

Our own survey shows that an average each sales persons daily taking is afs 5,000 equivalent of $95 per day, therefore our end of the year daily sales should reach $500,000- $700,000 country wide.

This increase means that the market size is growing very fast and by 2020 the forecast is the number of subscribers may reach 30 million

Pricing and gross margin targets

communication companies are the one who are setting up and controlling the prices for each minute to bottom line users in which we are unable to influence them. As an agent we are in a position to encourage the vendors by paying them extra commission percentage to work hard to increase the size of their sale per day. In the main time we will negotiate with communication companies to provide promotion to bottom line users to encourage them to use our system.