Zong strikes 10 million unique users

Mobile payments system proves to be a growing market


Technology trends and news by Ronny Kerr
August 6, 2009 | Comments (0)
Short URL: http://vator.tv/n/9ca

16340

ZongIf this company gets its way, customers will never again have to type out another 16 digits, expiration date, or security code.

And, looking at these latest numbers, it looks like it is starting to have its way.

Zong, changing the way people pay for virtual goods with what it calls “frictionless mobile payments,” announced yesterday that, year to date, the company has handled mobile payments for 10 million unique users.

This latest milestone is quite the accomplishment, considering that many are still questioning the business models of many of Zong’s very clients, which right now include mostly a handful of game publishers trying to make money through the sale of virtual goods.

Nevertheless, there must be something to it, as Zong says it is already available in 19 countries across 100 carriers. Yesterday the company also announced it would be adding new partners in Eastern Europe, Russia, Southeast Asia, and South America.

Zong coverage

With its expansion into new carrier territory, the company is likewise expanding its business partnerships, which already include big name game publishers on leading social networks like Facebook and Myspace.

Just two weeks ago, for example, Zong secured a deal with teen virtual world Gaia Online so that users can purchase the world's virtual currency, called Gaia Gold, through the mobile payments system. Basically, whenever a user decides to cash in real money for some Gaia Gold, Zong sends a short number code to the user’s cell phone. The user then types in the code into the platform, and the transaction is complete. When the user’s phone bill arrives, the game charges are simply tacked on.

Zong prides itself on turning seemingly silly, impulse purchases into a full-fledged business model.

“If you want to buy a virtual penguin for two bucks, you’re not going to go to your wallet, take your credit card out and type in 16 numbers,” says Zong CEO David Marcus. “These transactions are impulse purchases.”

Even though a company surviving on the power of customer impulse purchases alone may seem like a virtual fantasy, Zong’s attainment of 10 million visitors sure is a good sign.


Related companies, investors and entrepreneurs

Plogo_zong-_zonglogo_050809
Zong
Startup/Business
(0 ratings)
4351 views
Description: Zong is the leading mobile payment service used for monetizing web audiences in social media, gaming and virtual worlds.  It enab...
16771
David Marcus
Founder and CEO,
Zong
Bio: David Marcus is the founder and CEO of Zong, a leading mobile payment service used for monetizing web audiences in social media, gami...

Related news


0 comments

Contribute to
If you are a thought leader, create your own channel and distribute your voice to our news partners.

Latest company updates on Vator.tv

DoTogether.com joined the competition "Vator Splash Competition (May)", vote for them! about 5 hours ago
QLess - Alex Backer (CEO)
QLess successfully launched at Missouri DMV last week.
See more about 5 hours ago, 1 thumbs up
WaTunes updated its business model and company description.
Finally finished my presentation - ironically lack of Internet access actually helped.
See more about 8 hours ago
PowerBeam updated its management bio's.
© 2010 Vator, Inc.