A presentation at Mobile Money World conference in Johannesburg; looks at it from point of view of what the user is expected to sacrifice. Also examines success factors behind Mpesa in Kenya that do not apply elsewhere.
Data starting to cannabilise SMS 3% 2% 5% 8% 16% 12% Content/music 76% 77% Data / Internet access SMS/MMS Voice calls 2009 2010 Data as a percentage of total mobile spend has grown from 5%-8% in 2010. 16-18 yr almost doubled, but massive increases seen in 35+ age groups.
Current vs. future brand usage(NB: Intentions , not actions) n=1203 Current usage % Future usage % Brand Momentum (main phone) (future / current)Nokia 51 48 (U=45, R=52) 0.95Samsung 28 12 (U=10, R=14) 0.42LG 5 2 0.37Blackberry 4 24 (U=29, R=20) 6.10Motorola 4 1 0.37Sony-Ericsson 2 3 1.31HTC 1 2 1.96iPhone (Apple) 1 3 (U=5, R=1) 4.74Other 5 5 0.97 “Mobile Consumer in SA 2011”, World Wide Worx
How much thelow-income SAuser spends onphone per day:
The Golden Rule:Disposable incomeis not expandableTo increasedisposable income,you must increaseincome.
The Payments revolution It is not a global phenomenon. Local dynamics are critical.
The great Mpesa gap12 success factors in Kenya not present in SA
1. High unbanked population2. Regulatory openess3. Dominant telco at launch4. Population dispersal5. Culture of remittances6. Low cost of use7. Bank agnostic8. Swahili brand name9. No paperwork10. Quick, easy registration11. Extensive network of outlets12. Serving wananchi (ordinary folk)
And then came NFC …and the mobile industry is suddenly Captain Picard