Third-party provider as the key to unlocking the potential of Mobile Money

Very interesting insight into the success drivers of the business case for mobile money in Papua New Ginea. Rugged geography and poor infrastructure are fertile ground for the development of a mobile payment business model. The key in this case is mathcing the agent for airtime with the cash out service. In such underserved economies, this seems to be the path, but we should strive to seek a model where conversion to real cash is avoided altogether by storing cash value in the mobile device, while having ubiquitous acceptance at retail points of sale. Otherwise, the model will always be constrained by the footprint of an agent network that stores significant amounts of physical cash, which carries a large administrative cost. We need to leap into this model in order to have emoney make a real dent into the cash economy which comprises the average 60-70% of all retail transactions.

via Is a third-party provider the key to unlocking the potential of Mobile Money in Papua New Guinea? | Mobile-Financial.com.

Advertisements
This entry was posted in Cash, emoney, Mobile payments, POS. Bookmark the permalink.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s