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Hungary - Premium SMS, Short Code Regulations

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The regulations in Hungary caters and covers all of the Mobile Payment types, that include Premium SMS BillingStandard Rate Services and Short Codes.

 

Regulators 

  National Media and Infocommunications Authority Hungary 

 

In accordance with Act C of 2003 on Electronic Communications and Act I of 1996 on Television Broadcasting, as amended, the National Media and Infocommunications Authority follows the establishment of the Media Council forming a part thereof, to carry out the tasks and possess the uniform jurisdiction of its legal predecessor, the National Communications Authority, as well as of the legal predecessor of the Media Council, the National Radio and Television Commission.

As an autonomous administrative body governed by the Constitution and pertaining legislation in force, the Authority shall report to the Parliament on an annual basis.

Its task is to ensure the undisturbed operation, in compliance with pertaining legislation in force, of the media and the markets for electronic communications, postal and information technology services. It places a strong emphasis on the protection of the interests of customers and users. Furthermore, it is also entrusted with establishing and maintaining the fair conditions of an effective competitive environment, as well as with supervising the compliant behaviour of service providers.

The Authority has an active role in the work of international organisations in the fields of media regulation, electronic communications, postal and IT services, and establishes and maintains these relationships. 

[source]

 

Carriers

Pannon

T-Mobile

Vodafone

 

 

Market Statistics 

 

 

Market Summary 

Hungary___Premium_SMS_Regulations___Supporting_You_-_txtNation.png

 
 
 
 
In Hungary there are three MNOs - the mobile division of the main incumbent and two Hungarian subsidiaries of foreign MNOs. In October 2009, the three MNOs market shares did not show a significant departure from the 2008 figures. Mobile penetration rate was 106.2% with 10 654 339 subscribers in October 2009 showing a moderate increase compared to October 2008 (104.4%). The number of pre-paid subscriptions decreased during 2009 (58.1 % in October 2009), but remained slightly above EU average (55.3%).

[source]

 

 

Geography

Area: 93,030 sq. km. (35,910 sq. mi.); about the size of Indiana.
Cities: Capital--Budapest (est. pop. 2 million). Other cities--Debrecen (220,000); Miskolc (208,000); Szeged (189,000); Pecs (183,000).
Terrain: Mostly flat, with low mountains in the north and northeast and north of Lake Balaton.
Climate: Temperate.

 


People 

Nationality: Noun and adjective--Hungarian(s).
Population (December 2009 est.): 10,011,000.
Languages: Magyar 98.2%, other 1.8%.

Flag: 

 


Government 
Type: Republic.
Constitution: August 20, 1949. Substantially rewritten in 1989, amended in 1990.
Branches: Executive--president (head of state), prime minister (head of government), Council of Ministers. Legislative--National Assembly (386 members, 4-year term). Judicial--Supreme Court and Constitutional Court.
Administrative regions: 19 counties plus capital region of Budapest.
Principal political parties: Fidesz-Hungarian Civic Party--center-right; Christian Democratic People’s Party (KDNP)--center-right; Hungarian Socialist Party (MSZP)--center-left; Politics Can Be Different (LMP)--Green party; Movement for a Better Hungary (Jobbik)--far-right. 

 


Economy
GDP: HUF 26,095 billion (approx. $129 billion, at $1=HUF 202.26 - average exchange rate Jan.-Dec. 2009).
Annual growth rate (2009 est.): -6.3%.
Per capita GDP (2009 est.): $12,866.
Natural resources: bauxite, coal, natural gas, and arable land.
Agriculture/forestry (2008 est., 3.4% of GDP): Products--meat, corn, wheat, sunflower seeds, potatoes, sugar beets, and dairy products. 
Industry and construction (2008 est., 45.4% of GDP): Types--machinery, vehicles, chemicals, precision and measuring equipment, computer products, medical instruments, pharmaceuticals, and textiles.
Trade (2009): Exports ($83.0 billion)--machinery, vehicles, food, beverages, tobacco, crude materials, manufactured goods, fuels and electric energy. Imports($77.4 billion)--machinery, vehicles, manufactured goods, fuels and electric energy, food, beverages, and tobacco. Major markets--EU (Germany, Austria, Italy, France, U.K., Romania, Poland). Major suppliers--EU (Germany, Austria, Italy, France, Netherlands, Poland), Russia, and China.

[source]

 

 

Market Growth

 

General region↓ Total number of Internet users (thousands)↓ Internet Users per 100 inhab.↓ Total population (thousands)↓ GDP per capita↓ GDP total (thousands)↓ Mobile subscibers per 100 inhab.↓ Total number of mobile subscribers (thousands)↓ Market Size↓ Market Growth↓  

 

Europe 5500 55 10010 13774 137877740 122 12221 Medium Slow  

[source]

 

 

Currency

The Hungarian Forint, introduced on 1 August 1946, is the currency of Hungary. The currency code for Forint is HUF and the currency symbol is Ft.

ft100 in £GBP

ft100 in €EUR

ft100 in $USD

 

 

Further Information

For a detailed summary of the communications market in Hungary please see http://ec.europa.eu/information_society/policy/ecomm/library/communications_reports/annualreports/15th/index_en.htm for more information.

 

 

Approval Process 

As part of the application process for you will need to complete a txtNation Customer Care Form (CCF).

 

 

Promotional Guidelines

For advertisement purposes:

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Message Flow Requirements

  • Handshake is mandatory
  • Content provider has to inform subscriber about the service via SMS, especially how to stop it
  • Mandatory content of notification SMS after registration (one of these):

Mandatory Keywords:

  • Stop      Cancel all subscriptions
  • Stop + keyword      Cancel individual subscription

Migration of existing services (already subscribed users) from one short code to another is allowed simply by telling users in a free sms / receive the notification from the new short code about the change of short code and instruction of how to stop the service if they don't want to use it any longer.

 

When registration is successful you will receive xx SMS messages monthly, payment on reception of the SMS xx HUF/piece. 
Cancellation: By sending a STOP xxxxx response (basic charge). Once your registration has been received all further received SMS cost gross …. HUF/piece. You will receive monthly x SMS, …..HUF/month. TO cancel you send message with a STOP xxxxx response (basic charge).

 You have subscribed to our premium-rate service. We will send you monthly/daily x SMS, gross ….. HUF/piece. Cancellation of SMS reception: by sending a STOP password (basic charge).

  • 1st  billed MT SMS earliest 3 minutes after notification SMS
  • 2 minutes between each MT mandatory
  •  Notification SMS after any type of cancellation shall contain the fact that subscription has been cancelled and the reason why
  •  24h pause between STOP and a possible re-subscription by the end customer
  •  Notification SMS in above mentioned 24 hours, when subscriber sends an MO SMS (…registration is not possible now)
  •  Should the Subscriber send an SMS, whose content cannot be interpreted, to the service access number, the content provider shall request the subscriber to send a new message with an accurate content, indicating the information, customer service availability

 Additional rules from Pannon for SMS-MT service on subscription

  • Billing information via free MT at 10000.- HUF
  • Mandatory content of the bill warning:

              - fact that the limit of 10000 HUF has been reached

             - fact that a subscription is needed

             - period of the subscription

  • Retry policy:

- Retry possible when validity period of message is expired (12h premium MT, 4h notification MT)

- Max. 3 retries within 20 days when error code = 5 - “flow execution error”

- Max. 20 retries within 20 days (once a day) when error code = 2 - “subscriber has not enough money”

- After 3 respectively 20 unsuccessful retries subscription must be canceled

- Difference of (Number of unsuccessful delivered MTs) – (successful delivered MTs) will be charged to the content provider

  - Pannon is the only network that have an additional retry policy.

  - When customer doesn’t download any content during 2 months the content provider is allowed to send max. 3 times in the 3rd month a free notification SMS to the subscriber. If the subscriber doesn’t reply to these    messages the content provider has to unsubscribe to customer on the last day of the third month

   - No reactivation by content provider allowed 

 Additional rules from vodaphone for SMS-MT service on subscription

  • · Each MO must be answered with a free MT otherwise Vodafone will generate a message.

 

 There is a bill warning at 10000 HUF, but for Pannon network only.

 Post paid and Prepaid customers are available from all networks.

 

 

SMS-MT one time service (e.g. get content service)

 

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SMS MO Opt-in

Mail_Attachment_.gif

- Subscriber chooses product.

- Subscriber confirms T&C and subscription by checking 2 checkboxes

- Subscriber enters MSISDN

- SMS from XXX > Content > Subscriber confirms and enters MSISDN > PIN code (valid for 3 to 5 min.) > Subscriber enters PIN > Notification SMS > 3 Minutes > 1st Content delivery and charging > at least 2 minutes > 2nd - ----

- Content delivery and charging > Premium MT

 

 

SMS-MO Service (e.g. Chat Service) Excluding Vodafone

MO_2.gif

Correct MT-SMS reply within 2 or 10* minutes is necessary. If unsuccessful -> no payout for MO-SMS (*MNO has to approve each extension to 10 minutes).

For quota 1:1 no notification SMS is necessary, for quota 1:x a notification SMS has to be sent containing:
- The fact that it is possible that the customer will recieve more than one free MT-SMS.
- How to STOP the service.
- For the quota 1:x the MT-SMSs have to belong to the service. No promotion of other services!

 

 

Service Types 

  • Chat Service: Within the framework of an MO chat service it is possible to extend the max. duration between sent-MO and MT-reply up to 10 minutes. Approval from MNO needed. Chat is available on all networks.
  • Adult Service: Adult services (decisive content: sexuality and/or violence) are only allowed on certain numbers.
  • Prize Draws: The Content Provider shall comply with the provisions of Act No XXXIV of 1991 on the organization of games of chance.

 

All content types such as Ringtones & Games are more than welcome, also in Hungary iPhone, IQ etc. is not a problem at time of writing this. T-Mobile & Pannon operate in different way to Vodafone.

SMS-MT one time, SMS-MT on subscription and SMS-MO is available on all networks, however MMS-MO is available on Pannon and T-Mobile only.

 

 

Billing Types 

We operate Mobile Terminated (MT) and Mobile Originated (MO) billing on our shared lines in Hungary. See forum entry "What are the SMS billing types available?" for more information on these billing types.

 

 

Opt-in Process

With MT subscription services in Hungary, due to carriers' policies end users are not by default enabled to use MT billing services. If the user wants to use some MT subscription service, they needs to activate their MSISDN via the network operator (for two operators it is possible by sending an SMS to another short code and for the third one user must call operator's customer care).

In order to prevent unsuccessful charging and increase the number of subscribers, operators allow sending standard rate info msgs and providing information on the web / promotions to inform end users how to activate MT services on their MSISDNs.

 

- Standard rate subscription programs require a single opt-in (SMS-O or WO-RAR).

- Premium transactional services require a single SMS opt-in (SMS-O or WO-RAR). Web Opt-in via MT delivered PIN entered online (WO-PIN) is available from Pannon and T-Mobile only. 

- Premium rate subscriptions require a double opt-in (DO).

- Opt-in via MO SMS available from all networks (SMS-O).

- Vodafone users must opt-in with an MO (SMS-O). No WEB/WAP Opt-in possible for Vodafone.

 

- If Web Opt-in (WO) flow service (Example price points below, billing 1500 HUF) T-Mobile & Pannon à PIN subscription is mandatory

  • User enters MSISDN
  • User receives PIN (free MT SMS)
  • User enters PIN
  • User receives notification SMS (free MT SMS)
  • Content Provider can charge (first 500 HUF MT SMS)
  • Content Provider can charge (second 500 HUF MT SMS)
  • Content Provider can charge (third 500 HUF MT SMS)

- Vodafone a MO subscription is mandatory (SMS-O or WO-RAR)

  • User enters MSISDN
  • User will be redirected to an inside pop up saying “send Keyword to shortcode”
  • User receives notification SMS (free MT SMS)
  • Content Provider can charge (first 500 HUF MT SMS)
  • Content Provider can charge (second 500 HUF MT SMS)
  • Content Provider can charge (third 500 HUF MT SMS)

 

 

For information regarding chat services see SMS-MO Service (e.g. Chat Service) in Message Flow Requirements for more details.

 

Web/WAP Opt-in

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Available Tariffs

500 Ft MT billing tariff is possible (one tariff to one MT number) for Premium SMS in Hungary. The current available tariffs on our dedicated lines are between:

300.000 HUF, 1875.000 HUF

Please speak to your account manager for a list of up date tariffs available in Hungary.

 

 

Taxes
The current Hungarian rate of tax is available via Wikipedia. The out-payments on our rate cards are exclusive of VAT, so if you are VAT registered you can claim a higher outpayment than is shown.

 

 

Shortcodes and Keyword Structure

All shortcodes can be four or 10 numbers in length and can start with a 1 or a 0 e.g. 1xxx or 0xxxxxxxxx, full shortcode provided on application.

 

For subscription services REG should prefix your keyword, e.g.

Subscription keywords

REG<space>keyword and UNREG<space>keyword

 

 

Frequency and Amounts

There are no written regulations as to how much you can bill per user per month, however as per the Approval Process section of this forum entry, you will receive feedback for subscriptions service applications if the carriers deem that you are billing too much or not offering value for money.  

The message frequency is not specially regulated, it can be 6-times a week as long it's correctly advertised on the website and in welcome (opt-in) message.

 

 

Dedicated Codes

Dedicated codes are available with a 4 - 8 week lead time depending on carrier availability, the carriers approve based on their backlog, the time of year, price point and service type. You can read more about Short Code Coverage, SMS Billing Services and Mobile Payments in Hungary via the txtNation Gateway.

 

 

Hungary has the following Mobile Payment options available, all of which fall under these regulations.

  • Premium SMS (P-SMS) including Short Code services


Additional options for Mobile Payments and Messaging in Hungary include:

  • HLR Lookup
  • Bulk SMS
 
 
Note: This page is updated as frequently as possible when we are informed from the regulators or mobile operators in Hungary of a change or update in regulations. There may be a latest version of Premium SMS, Mobile Payments or Short Code Regulations in Hungary. Please contact your account manager for more information.
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