OFW Business: Starting a Cellphone Loading Station Business
Approximately 1 billion SMS are generated by Filipinos every day.
One of the underrated businesses that an OFW can enter into is a cellphone loading station business. Surprisingly, the number of people who considered this low-capital business venture for the past years has soared high in number. The rise of the e-loading stations and retail loaders can be attributed to the increase in cellphone usage. Nearly all people have been considering cellular use as an essential tool in communication in every aspect – recreation, business, paying bills, transfer funds, personal use, entertainment, information dissemination, etc.
The value of the Philippine mobile market is no less than 55 million, with a market penetration rate of 63%. With these numbers in mind, it is safe to say that the country’s telecommunication industry still has a big potential for growth. Cellphone loading stations that are used to be only found in the metro are now widespread in provinces. The reason why many OFWs are considering a cellphone loading station business is they are very feasible and convenient. It neither demands educational requirements nor high capital investment.
Who are the target customers?
The cell phone loading station is a one-size-fits-all business. Anyone who wishes to gain an extra income can purchase a retailer sim and start making money. A cellphone loading business can be done by (from) everyday homemakers to students to ones with the existing business like the sari-sari store.
Which types of items to sell?
There are many products to cell with cellphone loading station business. There are more than 70 popular prepaid products and hundreds of SMS and internet packages that can be sold both for personal or commercial use.
How to start the loading station business?
So, what exactly is needed to kick off a cellphone loading station business? It is fundamental, and indeed, anyone already has it — a cellphone! It does not need to be high end, what is more important is it has a working sim, and it is in good condition. Nokia 3210 is a perfect device for a business like this. In addition to that, one should buy a retailer SIM which costs around Php 300 to 600. A cell phone with double sim can be a better choice but entails more cost since it can cater to many providers — Globe and Smart, to name a few.
How much capital is required?
The following are the capital and overhead expenses of cellphone loading station business:
- Retailer sim Php 400 tp Php 600 for single sim; Php 1, 500 for dual and triple sim.
- If joining in a direct networking group, an estimated investment is Php 1, 500
- For the initial load wallet, Php 700.
A retailer sim that is not used for three months will expire and becomes a regular sim. When this happens, the person will not be able to use it for business purposes.
Why go for a cellphone loading station business?
There are quite obvious reasons for this:
- It is feasible.
- It is convenient, e.g. personal use.
- It involves low capital — the creation of stalls is not required.
- It does not only offer services for calling and messaging but also for internet surfing.
- It is a lucrative business.
- It offers freebies. Retailers are gifted with 300 texts for free.
- It has a ‘points system’ that are convertible to cash.
The cellphone loading station is a profitable business. For every promo that a consumer buys, the retailer gains a percentage of the total profit. Thus, monitoring of sales is essential. Target income should be no less than 10% of the load amount. It should be mentioned though that getting back the money you have invested will take time and does not happen overnight.