infoDev’s Mobile Use at the Base of the Pyramid (m@BoP) program seeks to contribute to this agenda through on-the-ground studies in developing markets. The first phase of this program supported both qualitative and quantitative research on mobile usage by low-income populations in Kenya and South Africa. These locations were chosen for a variety of reasons. Both economies display regional and continental clout. The growth of their ICT sectors has been marked by both successes and shortcomings in the past ten years. And both are home to emerging communities of software developers, many of whom are associated with the Mobile Innovation Labs (mLabs) that infoDev and partners have supported to help incubate an entrepreneurial ecosystem. While Kenya and South Africa are not representative of the continent as a whole, they are among the most exciting given the confluence of technical talent, financial resources, and generalized interest.
The Kenya as well as the South Africa case studies are part of a large, multi-country research commissioned by infoDev about the use of mobile phones at the Base of the Pyramid (BOP), the poorest people around the world. The research program is supported by UKaid, the Ministry for Foreign Affairs of the Government of Finland and SIDA (Sweden).
Mobile Usage at the Base of the Pyramid in Kenya
The Kenya study carried out by iHub Research and Research Solutions Africa among 800 mobile users in six locations across the country, found that at least 20 per cent of respondents felt it was necessary to make real sacrifices to recharge their mobile credit. What’s new about this research (based on detailed questionnaires, focus groups, and diaries) is that it puts an estimated figure on the value of the sacrifice that base of the pyramid users are willing to make in foregoing other activities, at an average of around 72 Kenyan shillings per week (around 84 US cents). In the majority of cases (>80 per cent), that meant buying less food, at least once a week. New clothes, bus fares, utility bills and even soap were sometimes sacrificed to sustain the all-powerful mobile phone.
The annex to the report, which contains details of the research methodology, survey questionnaire, field report, raw data and bibliography, is availabe here (pdf).
Please also read the blog by infoDev's Tim Kelly and lead researcher Angela Crandall (iHub Research): "Mobile phone credit instead of bread? For many Kenyans, a real dilemma," or reporting on the study by The Economist.
Mobile Usage at the Base of the Pyramid in South Africa
The South Africa study was carried out by Research ICT Africa and Intelecon and builds on a broader household survey of ICT usageacross 12 countries in Africa funded by IDRC (Canada). The report shows that, in South Africa, even among BOP populations, some three-quarters already have phones, but usage of data applications is fairly low. The one exception here is the MXit social networking platform and there is growing use of other social media, notably Facebook Zero. But other applications, such as mobile money, do not seem to be well targeted to the poor.