The document discusses different business models for digital financial services (DFS). It analyzes the bank model using Equity Bank as an example, the mobile network operator (MNO) model using Airtel Money, and the standalone model using bKash. For each model, it examines ownership and control over various parts of the DFS value chain including accounts, data, digital and physical channels. It finds that the bank model has the most control while the MNO model relies on partnerships. The standalone model falls between the two.
Bank Operations PowerPoint Presentation SlidesSlideTeam
This complete deck can be used to present to your team. It has PPT slides on various topics highlighting all the core areas of your business needs. This complete deck focuses on Bank Operations PowerPoint Presentation Slides and has professionally designed templates with suitable visuals and appropriate content. This deck consists of total of fourty nine slides. All the slides are completely customizable for your convenience. You can change the colour, text and font size of these templates. You can add or delete the content if needed. Get access to this professionally designed complete presentation by clicking the download button below. https://bit.ly/2WTGuIZ
This analysis provides an overview of the top trends in the commercial banking sector as they shift to technology high gear to boost client efficiency and battle a volatile, uncertain, competitive, and evolving landscape.
First, it was retail banking. Now, advanced technology is shifting to – and disrupting − the commercial banking space. Many commercial banks, known for paperwork, red tape, and branch dependency, were unprepared to support clients during their post-COVID-19 ramp-up. But now, the digital pivot to new mindsets, partnerships, and processes is in overdrive.
As commercial banks grapple with competition from FinTechs, BigTechs, and alternative lenders, their inability
to fulfill SME demands and pandemic after-shocks necessitates transformative process changes and a move
to experiential, sustainable, and inclusive banking models. We expect banks to strive to meet the demands
of corporate clients and SMEs by digitally transforming critical workflows and improving client experience.
Additionally, incremental process improvements in the middle and back-office that leverage intelligent
automation will keep the competition at bay because engaged clients are loyal.
Adopting newer methods to mine data and moving to as-a-Service models will prepare commercial banks
to flexibly respond to newcomers and find ways to co-exist through effective collaboration. The time has come for commercial banks to put transformation on the fast track as lending losses in wallet and market share could spill over to other functions!
How incumbents react and respond to 2022 trends could determine their relevancy and resiliency in the years ahead.
2 billion people globally have no bank account, but 1 billion of them have a mobile phone. Markets for digital financial services are expanding worldwide.
Aguai Solutions Perspective on New Age Digital Lending. Leverage the power of Digital Infrastructures to offer a Convenient of Lending to the right consumers through right Digital 30 degree of Credit Risk scores
Digital Banking Strategy Roadmap - 3.24.15Calvin Turner
The Digital delivery of banking products and services is already a reality.
Like it or not, your customers will compare their digital banking experience to shopping on Amazon, iTunes, eBay, Southwest Air, etc., and to their digital experiences with large banks that already have robust digital banking offerings.
Traditional banks can’t just push out mobile apps and capabilities to customers and call it a digital banking strategy. Customers expect a seamless integration of the entire online banking experience from initiation to fulfillment. If they are forced to drop off somewhere along the digital experience to print documents, call a representative, and/or visit a branch, you have lost the customer.
Bank Operations PowerPoint Presentation SlidesSlideTeam
This complete deck can be used to present to your team. It has PPT slides on various topics highlighting all the core areas of your business needs. This complete deck focuses on Bank Operations PowerPoint Presentation Slides and has professionally designed templates with suitable visuals and appropriate content. This deck consists of total of fourty nine slides. All the slides are completely customizable for your convenience. You can change the colour, text and font size of these templates. You can add or delete the content if needed. Get access to this professionally designed complete presentation by clicking the download button below. https://bit.ly/2WTGuIZ
This analysis provides an overview of the top trends in the commercial banking sector as they shift to technology high gear to boost client efficiency and battle a volatile, uncertain, competitive, and evolving landscape.
First, it was retail banking. Now, advanced technology is shifting to – and disrupting − the commercial banking space. Many commercial banks, known for paperwork, red tape, and branch dependency, were unprepared to support clients during their post-COVID-19 ramp-up. But now, the digital pivot to new mindsets, partnerships, and processes is in overdrive.
As commercial banks grapple with competition from FinTechs, BigTechs, and alternative lenders, their inability
to fulfill SME demands and pandemic after-shocks necessitates transformative process changes and a move
to experiential, sustainable, and inclusive banking models. We expect banks to strive to meet the demands
of corporate clients and SMEs by digitally transforming critical workflows and improving client experience.
Additionally, incremental process improvements in the middle and back-office that leverage intelligent
automation will keep the competition at bay because engaged clients are loyal.
Adopting newer methods to mine data and moving to as-a-Service models will prepare commercial banks
to flexibly respond to newcomers and find ways to co-exist through effective collaboration. The time has come for commercial banks to put transformation on the fast track as lending losses in wallet and market share could spill over to other functions!
How incumbents react and respond to 2022 trends could determine their relevancy and resiliency in the years ahead.
2 billion people globally have no bank account, but 1 billion of them have a mobile phone. Markets for digital financial services are expanding worldwide.
Aguai Solutions Perspective on New Age Digital Lending. Leverage the power of Digital Infrastructures to offer a Convenient of Lending to the right consumers through right Digital 30 degree of Credit Risk scores
Digital Banking Strategy Roadmap - 3.24.15Calvin Turner
The Digital delivery of banking products and services is already a reality.
Like it or not, your customers will compare their digital banking experience to shopping on Amazon, iTunes, eBay, Southwest Air, etc., and to their digital experiences with large banks that already have robust digital banking offerings.
Traditional banks can’t just push out mobile apps and capabilities to customers and call it a digital banking strategy. Customers expect a seamless integration of the entire online banking experience from initiation to fulfillment. If they are forced to drop off somewhere along the digital experience to print documents, call a representative, and/or visit a branch, you have lost the customer.
This analysis provides an overview of the top trends in the retail banking sector driven by the competition, digital transformation, and innovation led by retail banks exploring novel ways to create and retain value in evolving landscape.
COVID-19 caught banks off guard and shook legacy mindsets to the core. With 20/20 (2020) hindsight, firms are more aware, digitally resilient, and financially stable as they head into 2022. The trials of the past 18 months forced firms to shore up existing business and consider new models and revenue streams.
Customer-centricity remains at the top of most FS agendas and is a 2022 focal point. Banks will focus on achieving operational excellence as diligently as delivering superior CX. In 2022 and beyond, it will be paramount for FIs to explore and invest in new technologies to remain relevant and resilient.
Banking 4.X will arrive in full force in 2022 with platform-supported firms monetizing diverse ecosystem capabilities and aggressively harvesting data to create experiential customer journeys through intelligent and personalized engagements. The new era will compel future-focused banks to finally abandon legacy infrastructure and collaborate with third-party specialists to solidify their best-fit, long-term roles. Increasingly, open platforms will make banks invisible as banking becomes embedded into customer lifestyles. At the same time, banks will shed asset-heavy models and shift to the cloud for greater agility, speed to market, and faster innovation. The shift will act as a precursor to adopting new technologies on the horizon – 5G and Decentralized Finance.
The recent past was filled will extraordinary lessons for financial institutions. Now is the time to act on those learnings and move forward profitably.
Digital Banking - Industry Trends for Customer ServiceGianluca Ferranti
Consumers’ attitude and benefits of digital banking
Importance of real-time customer interaction in digital banking
Video Banking goes Prime Time
The opportunity for video-enabled interaction to transform retail banking
Digital lending is quickly growing among the 'thin file' borrowers i.e. the borrowers with no or negligible credit history. These borrowers can be both consumers or businesses.
But, in recent months the digital lenders are struggling with liquidity crises due to the pandemic. As RBI extended loan moratorium to borrowers, the Digital Lenders are in a catch-22 situation. While their borrowers expect them to extend the moratorium, financial institutions they borrow from (Banks and large NBFCs) are either refusing to or delaying to extend the moratorium to the digital lenders. digital lenders Association of India (DLAI) has already approached the RBI to get the moratorium benefits.
It is quite expected that many digital lenders (especially ones with weaker balance sheets) will not survive not only because of the liquidity crisis but also exposure to less creditworthy borrowers who are often small businesses and less creditworthy individuals. The economic repercussions of the lockdown may leave many of the borrowers unable to repay as small businesses shut down and people lose employment.
Although, the lockdowns have caused rapid digital adoption which is beneficial for the industry in the long-term. This indicates that the industry is expected to go through a lot of consolidation as cash strapped players look to be acquired to get some exit.
Let us understand this industry.
Management information system in banking sectorApoorv Bijekar
MIS in banking, database design, Role and need of MIS, Network technologies, Hardware and software used in MIS, Key features and core functions of MIS, Workflow of MIS in banks, Advantages from MIS
Digital financial services (DFS) are rapidly rewriting the landscape of financial access in developing markets. This deck is meant to serve as a primer to the DFS space by explaining the basic concepts and strengths of DFS models; showing how they are so successful because they correspond to the weaknesses of traditional delivery; and showcasing some of the next generation of DFS products in order to illustrate that this is just the beginning of a cross-sectoral revolution of access.
Instructions and examples of how a sales rep can create urgency in order to speed up a buying process and prevent the client to enter a procrastination mode.
This analysis provides an overview of the top trends in the retail banking sector driven by the competition, digital transformation, and innovation led by retail banks exploring novel ways to create and retain value in evolving landscape.
COVID-19 caught banks off guard and shook legacy mindsets to the core. With 20/20 (2020) hindsight, firms are more aware, digitally resilient, and financially stable as they head into 2022. The trials of the past 18 months forced firms to shore up existing business and consider new models and revenue streams.
Customer-centricity remains at the top of most FS agendas and is a 2022 focal point. Banks will focus on achieving operational excellence as diligently as delivering superior CX. In 2022 and beyond, it will be paramount for FIs to explore and invest in new technologies to remain relevant and resilient.
Banking 4.X will arrive in full force in 2022 with platform-supported firms monetizing diverse ecosystem capabilities and aggressively harvesting data to create experiential customer journeys through intelligent and personalized engagements. The new era will compel future-focused banks to finally abandon legacy infrastructure and collaborate with third-party specialists to solidify their best-fit, long-term roles. Increasingly, open platforms will make banks invisible as banking becomes embedded into customer lifestyles. At the same time, banks will shed asset-heavy models and shift to the cloud for greater agility, speed to market, and faster innovation. The shift will act as a precursor to adopting new technologies on the horizon – 5G and Decentralized Finance.
The recent past was filled will extraordinary lessons for financial institutions. Now is the time to act on those learnings and move forward profitably.
Digital Banking - Industry Trends for Customer ServiceGianluca Ferranti
Consumers’ attitude and benefits of digital banking
Importance of real-time customer interaction in digital banking
Video Banking goes Prime Time
The opportunity for video-enabled interaction to transform retail banking
Digital lending is quickly growing among the 'thin file' borrowers i.e. the borrowers with no or negligible credit history. These borrowers can be both consumers or businesses.
But, in recent months the digital lenders are struggling with liquidity crises due to the pandemic. As RBI extended loan moratorium to borrowers, the Digital Lenders are in a catch-22 situation. While their borrowers expect them to extend the moratorium, financial institutions they borrow from (Banks and large NBFCs) are either refusing to or delaying to extend the moratorium to the digital lenders. digital lenders Association of India (DLAI) has already approached the RBI to get the moratorium benefits.
It is quite expected that many digital lenders (especially ones with weaker balance sheets) will not survive not only because of the liquidity crisis but also exposure to less creditworthy borrowers who are often small businesses and less creditworthy individuals. The economic repercussions of the lockdown may leave many of the borrowers unable to repay as small businesses shut down and people lose employment.
Although, the lockdowns have caused rapid digital adoption which is beneficial for the industry in the long-term. This indicates that the industry is expected to go through a lot of consolidation as cash strapped players look to be acquired to get some exit.
Let us understand this industry.
Management information system in banking sectorApoorv Bijekar
MIS in banking, database design, Role and need of MIS, Network technologies, Hardware and software used in MIS, Key features and core functions of MIS, Workflow of MIS in banks, Advantages from MIS
Digital financial services (DFS) are rapidly rewriting the landscape of financial access in developing markets. This deck is meant to serve as a primer to the DFS space by explaining the basic concepts and strengths of DFS models; showing how they are so successful because they correspond to the weaknesses of traditional delivery; and showcasing some of the next generation of DFS products in order to illustrate that this is just the beginning of a cross-sectoral revolution of access.
Instructions and examples of how a sales rep can create urgency in order to speed up a buying process and prevent the client to enter a procrastination mode.
An Introduction in 10 slides to Digital Customer ExperienceCapgemini
Businesses need to be agile, innovative, social, mobile, totally customer focused and geared to provide a profitable customer promise
CMO’s, COO’s, CIO’s and CFO’s globally are struggling with how to make digital a core part of how they do business and serve their customers profitably
Digital is driving rapid transformations in how organizations interact with other organizations and end customers. It is driving change in how CX is delivered across B2C, B2B and B2B2C
Capgemini DCX enables organizations to deliver a “profitable promise to its customers” based on intelligent insights and optimised processes. By combining deep understanding of the customer context, with a single view of the enterprise, we enable organizations to take real-time decisions and maximize profitability
This is a summary from John Kotter\'s book. I love this book so much that I make this ppt.
I got the book from my CEO, first intention is to have my CEO reading kotter\'s idea without dedicating so much time to read. You know, he\'s a busy man
Putting the Experience in Digital Customer ExperienceCognizant
As the digital revolution has gained momentum, it has become widely understood that the “digital customer experience” is the key to engage with, delight and monetize customers in the modern world. However, only a miniscule number of companies believe their customers’ current digital experience qualifies as “excellent,” our primary research reveals.
On Friday 29th January, Jo gave a presentation on managing your Digital Transformation at Bryo, a network of young entrepreneurs.
Need help with your transformation? Contact us:
http://www.duvalunionconsulting.com/
This Altimeter Group webinar explores the findings of our latest research report on digital transformation. Attendees will learn what digital transformation is, how companies are embracing change, the challenges and opportunities that emerge throughout the process, and how to refocus and reorganize teams to modernize, optimize, and integrate digital touchpoints.
Watch the webinar: https://www.slideshare.net/Altimeter/webinar-digital-transformation-with-brian-solis
Download the related report: altimetergroup.com/digitaltransformation/
Top Digital Transformation Trends and Priorities for 2016Charlene Li
Given the importance of digital transformation and the never ending onslaught of new technologies, how should organization prioritize limited resources, time, and attention? This presentation to the San Francisco American Marketing Association is the 7th year in a row when Charlene has presented her take of top digital trends.
"Digital Banking" by Nikolay Spasov
The presentation was part of the 2016 Digital Marketing Masterclass organized by Interactive Advertising Bureau (IAB) Bulgaria and New Bulgarian University (NBU). The scope of the lecture is to present the current trends in banking and the available technologies that are supporting the industry.
Digital Transformation: What it is and how to get thereEconsultancy
Digital Transformation: What it is and how to get there.
Authored by Econsultancy CEO Ashley Friedlein, this presentation on the topic of 'Digital Transformation', is broken down into six sections covering:
1. Digital Transformation - what it is and recent data and research on the topic
2. Strategy - what a digital strategy should include
3. Technology - the challenges of technology and the skills gap
4. People - looking at organisational structure, culture, roles & responsibilities, environment recquired
5. Process - how to address the speed, innovation and agility required
6. Business Transformation - how digital transformation is actually business transformation
Building a Digital Enterprise: Learning from ExperienceAsanka Abeysinghe
Digital transformation, digital enterprise, and connected business – what does this all mean for each industry vertical? How does one innovate in critical strategies? What does the reference architecture look like for a small, medium, or larger enterprise? How does an organization implement such an architecture? As an avid technology partner, WSO2 has helped many organizations in their journey to build the right digital enterprise capabilities that create better customer and internal user experiences. This session will answer the above questions and share our own experiences from successful projects.
Many corporations recognize their future depends on digital transformation. Earley Information Science outlines the 4 step process for building a roadmap to transformation.
Developing a Roadmap for Digital TransformationJohn Sinke
Digitally mature companies out-perform their peers in innovation, agility and responsiveness to customers. “Digirati” also enjoy advantages in efficiency and effectiveness in product delivery, marketing, e-commerce, sales and customer service. More importantly, companies that achieve Digital Excellence are 26% more profitable (source: Capgemini Consulting and MIT Centre for Digital Business).
However, building a Roadmap for Digital Transformation requires not only successful collaboration between the CMO and the CIO, it also demands a strong customer-focused orientation and digital culture. During this presentation, John Sinke will share insights from leading marketers and his personal experience of turning Resorts World Sentosa into a “digital business”.
CPNI Mobey Forum Mobile Payment Trusted Service Provider Sept 23 2008The Stilwater Group
Mobey Forum quarterly meeting Sept 23, 2008. The opportunity for banks and the entire mobile payment ecosystem created by focusing on remote mobile payments.
EngageMint 2022: The Hard Thing about Doing it RightWebEngage
Created & Presented by Lizzie Chapman, CEO & Co-founder at ZestMoney, at EngageMint, Asia's largest Retention Marketing Conference. Lizzie takes us through her entrepreneurial journey, fintech landscape in India & how India is emerging as the largest FinTech market in the world
About the speaker:
Lizzie Chapman is the CEO & Co-Founder of ZestMoney, the largest and fastest-growing "Buy Now Pay Later" platform in India. Lizzie has been consistently driving the adoption of digital finance and championing the concept of digital finance. She envisions a future where India has a fully digital economy and every Indian has access to transparent financial services and affordable credit.
You can find her here: https://www.linkedin.com/in/lizzie-chapman-a49430/
About EngageMint:
Hosted with love by WebEngage, EngageMint is a platform that brings together marketers and product managers from across Asia, passionate about one thing - giving their customers the ‘aha’ experiences they deserve. At EngageMint, we strongly believe that by equipping professionals with the right strategies, we can initiate a massive shift in the way businesses think about growth, product experiences, customer retention, and everything else in between.
All our sessions are hand-curated and deep-dive into each aspect of user engagement and retention. So all you have to do is take notes and implement these learnings as soon as you get back to work! More details: https://webengage.com/engagemint/
WebEngage is a new age Retention Operating System, a single suite for marketers to store user data, provide actionable insights, orchestrate omnichannel campaigns by leveraging user insights to provide a hyper-personalized end-user experience.
The platform helps brands drive more revenue from existing customers and anonymous users across 10+ communication channels. WebEngage goes above and beyond a marketing automation platform and powers the user engagement for thousands of enterprise brands worldwide, working across several industries like E-Commerce, Edtech, Fintech, Foodtech, Media & Publications, Gaming, BFSI, Healthcare, Online Retail. The key clientele includes marquee brands like HUL, Bajaj Finserv, Unacademy, ALT Balaji, MakeMyTrip, Zivame, Firstcry, and many more.
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To know more about WebEngage, visit - https://webengage.com/
Book a demo with us: https://webengage.com/register-for-demo/?utm_source=youtube&utm_medium=social&utm_campaign=engagemint22&utm_term=lizzie
To know the latest insights on customer retention and marketing automation worldwide, follow us here:
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Overview of Digital Financial Services LandscapeJohn Owens
This presentation reviews the digital financial service landscape and is a primer for regulators and policy makers wishing to better understand current market developments.
Online Banking Management System – Its Scope and the Technology Used.Techugo
The banking system allows banks to keep track of a few records. Therefore, a bank management software program is needed to simplify the process. For example, maintaining currency and international values is part of the job. Online Bank management systems must also act as currency distributors and serve the nation’s welfare.
Similar to Business Models in Digital Financial Services (20)
Though digital credit has been in Tanzania for years, there have been few analyses of the country’s digital credit market. Existing studies raise important concerns about digital credit’s impact on customers. To help fill this knowledge gap in Tanzania, CGAP and the Busara Center for Behavioral Economics, at the request of the Bank of Tanzania, analyzed data from three digital credit providers and built a first-of-its-kind, data-driven picture of the digital credit market’s evolution and current state. In total, we looked at transactional and demographic data for more than 20 million loans disbursed over 23 months.
This playbook discusses the various value-added services (VAS) that could increase uptake of mobile retail payments in Tanzania and similar emerging markets.
Digitizing Merchant Payments: What Will It Take?CGAP
A staggering amount of cash is paid to retail merchants worldwide -- around $19 trillion out of a total of $34 trillion in payments. What will it take for digital payments to beat cash?
Wallet and Over-the-Counter Transactions: Understanding Financial IncentivesCGAP
How well do financial incentives encourage customers to opt for wallet transactions instead of over-the-counter transactions? To find out, CGAP looked at four diverse markets in Africa and Asia: Bangladesh, Ghana, Pakistan, and Tanzania.
Real-Time Customer Interactions via SMS (Juntos and Mynt)CGAP
Myntpartnered with Juntos to impact customers’ financial behavior. Phase I was focused on driving GCash transactions and the purpose of Phase II was to engage customers on topics of credit and the Instaloan product.
Alternative lending options have grown rapidly over the past 10 years. This deck offers an overview of digital credit and key takeaways from contexts around the world.
Global Landscape Study on P2G Payments: Summary of in-country consumer resear...CGAP
For this study on P2G (Person-to-government) payments, Rwanda was selected as a focus country given the potential reach and varied nature of two key initiatives: the IREMBO e-government platform and the Tap&Go smartcard for public bus transport. Digital payments for school fees and utility payments were also studied. Tap&Go is privately managed but offers P2G learnings for other countries where public transport is government-run.
The research sought to answer questions across three key areas:
1. How well did digital P2G payment solutions reach and address the needs of the financially excluded?
2. What were effective and sustainable business models between actors, and how were they set up?
3. How do current and planned solutions support and work with the evolving digital payments ecosystem in Rwanda?
Digital Rails: How Providers Can Unlock Innovation in DFS Ecosystems Through ...CGAP
This document explains the concept of “Open APIs” in digital finance services (DFS), how they enable increased innovation, and the role they can play in expanding DFS ecosystems.
Saldazo, a Visa debit card product co-branded with Banamex bank, has made Mexico’s largest corner store retail chain – OXXO – the country’s number one transactional account supplier. This presentation provides a Mexican market overview and shares key success factors, challenges and insights from this project.
Smartphones & Mobile Money: Principles for UI/UX Design (1.0)CGAP
CGAP holds that Smartphone interfaces are likely to become the main interface for mobile money use. A well-designed interface will drive growth, profitability, and a much improved user experience. This presentation outlines 21 principles for UI/UX design.
Customer Segmentation: Design and Delivery (Webinar)CGAP
This webinar, recorded in September with SPTF, covers the design and delivery of customer segmentation work. Included are example cases from CGAP's work, sharings by webinar participants, and a preview of CGAP's forthcoming Customer Segmentation Toolkit. The webinar recording is available at https://youtu.be/RJfthuKif80
Why Star Ratings Matter for Financial InclusionCGAP
Using the example of MercadoLibre, this presentation details the ways in which e-commerce sales data--not typically available for credit scoring--can enrich existing scoring models and improve their predictive power, with positive implications for the financially excluded.
Services Financiers Numériques pour les Producteurs de Cacao en Côte d’IvoireCGAP
Les petits exploitants agricoles, même ceux des chaines de valeur structurées comme celle du cacao en Côte d’Ivoire, n’ont généralement pas la possibilité d’accéder aux services des banques, institutions de microfinance et autres institutions financières formelles. Fournir à ces segments de clients des services financiers adaptés qui soient abordables et durables constitue un défi majeur.
L’un des nombreux défis en Côte d’Ivoire est de sortir du système de paiement en espèces pour qu’ainsi un lien soit établi entre ces exploitants agricoles et les institutions financières. Le canal mobile offre une opportunité unique pour effectuer cette transition du cash vers les paiements numériques mais la proposition de valeur pour les exploitants agricoles doit être attractive.
C’est ce défi qu’Advans Côte d'Ivoire s’est engagée à relever et les résultats du projet pilote – mis en œuvre au cours des derniers 22 mois par Advans avec l’appui du CGAP - sont prometteurs.
Digital Financial Services for Cocoa Farmers in Côte d'IvoireCGAP
Smallholder farmers, even those in structured value chains such as cocoa farmers in Côte d’Ivoire, are largely unable to access banks, microfinance institutions and other formal financial institutions. Providing meaningful financial services to these customers in an affordable and sustainable manner is a great challenge. In Côte d’Ivoire, transitioning from cash to digital payments may alleviate some of these challenges
This presentation details a digital financial services pilot project – implemented over 22 months by Advans Côte d'Ivoire with the support of CGAP – which has shown promising results.
Digital Finance and Innovations in Education: Workshop ReportCGAP
CGAP’s Digital Finance Plus initiative convened a workshop in Nairobi on 7 April 2016 aimed at bringing together stakeholders interested in the opportunities for digital finance to improve the affordability of education for low-income households. This document captures themes from the workshop presentations and design thinking session.
An Introduction to Digital Credit: Resources to Plan a DeploymentCGAP
This is a workshop/course offering guidance in developing new digital credit products. This content is designed for a broad audience of banks, mobile operators, lenders, and fintech firms. It may also be of interest to regulators, policy makers and investors/donors.
With any comments or to request more materials (including the financial model [Excel] or original PPT presentation with detailed presenter notes), please write to cgap [@] worldbank.org.
What website can I sell pi coins securely.DOT TECH
Currently there are no website or exchange that allow buying or selling of pi coins..
But you can still easily sell pi coins, by reselling it to exchanges/crypto whales interested in holding thousands of pi coins before the mainnet launch.
Who is a pi merchant?
A pi merchant is someone who buys pi coins from miners and resell to these crypto whales and holders of pi..
This is because pi network is not doing any pre-sale. The only way exchanges can get pi is by buying from miners and pi merchants stands in between the miners and the exchanges.
How can I sell my pi coins?
Selling pi coins is really easy, but first you need to migrate to mainnet wallet before you can do that. I will leave the telegram contact of my personal pi merchant to trade with.
Tele-gram.
@Pi_vendor_247
what is the future of Pi Network currency.DOT TECH
The future of the Pi cryptocurrency is uncertain, and its success will depend on several factors. Pi is a relatively new cryptocurrency that aims to be user-friendly and accessible to a wide audience. Here are a few key considerations for its future:
Message: @Pi_vendor_247 on telegram if u want to sell PI COINS.
1. Mainnet Launch: As of my last knowledge update in January 2022, Pi was still in the testnet phase. Its success will depend on a successful transition to a mainnet, where actual transactions can take place.
2. User Adoption: Pi's success will be closely tied to user adoption. The more users who join the network and actively participate, the stronger the ecosystem can become.
3. Utility and Use Cases: For a cryptocurrency to thrive, it must offer utility and practical use cases. The Pi team has talked about various applications, including peer-to-peer transactions, smart contracts, and more. The development and implementation of these features will be essential.
4. Regulatory Environment: The regulatory environment for cryptocurrencies is evolving globally. How Pi navigates and complies with regulations in various jurisdictions will significantly impact its future.
5. Technology Development: The Pi network must continue to develop and improve its technology, security, and scalability to compete with established cryptocurrencies.
6. Community Engagement: The Pi community plays a critical role in its future. Engaged users can help build trust and grow the network.
7. Monetization and Sustainability: The Pi team's monetization strategy, such as fees, partnerships, or other revenue sources, will affect its long-term sustainability.
It's essential to approach Pi or any new cryptocurrency with caution and conduct due diligence. Cryptocurrency investments involve risks, and potential rewards can be uncertain. The success and future of Pi will depend on the collective efforts of its team, community, and the broader cryptocurrency market dynamics. It's advisable to stay updated on Pi's development and follow any updates from the official Pi Network website or announcements from the team.
when will pi network coin be available on crypto exchange.DOT TECH
There is no set date for when Pi coins will enter the market.
However, the developers are working hard to get them released as soon as possible.
Once they are available, users will be able to exchange other cryptocurrencies for Pi coins on designated exchanges.
But for now the only way to sell your pi coins is through verified pi vendor.
Here is the telegram contact of my personal pi vendor
@Pi_vendor_247
How to get verified on Coinbase Account?_.docxBuy bitget
t's important to note that buying verified Coinbase accounts is not recommended and may violate Coinbase's terms of service. Instead of searching to "buy verified Coinbase accounts," follow the proper steps to verify your own account to ensure compliance and security.
how to sell pi coins at high rate quickly.DOT TECH
Where can I sell my pi coins at a high rate.
Pi is not launched yet on any exchange. But one can easily sell his or her pi coins to investors who want to hold pi till mainnet launch.
This means crypto whales want to hold pi. And you can get a good rate for selling pi to them. I will leave the telegram contact of my personal pi vendor below.
A vendor is someone who buys from a miner and resell it to a holder or crypto whale.
Here is the telegram contact of my vendor:
@Pi_vendor_247
Empowering the Unbanked: The Vital Role of NBFCs in Promoting Financial Inclu...Vighnesh Shashtri
In India, financial inclusion remains a critical challenge, with a significant portion of the population still unbanked. Non-Banking Financial Companies (NBFCs) have emerged as key players in bridging this gap by providing financial services to those often overlooked by traditional banking institutions. This article delves into how NBFCs are fostering financial inclusion and empowering the unbanked.
how can I sell pi coins after successfully completing KYCDOT TECH
Pi coins is not launched yet in any exchange 💱 this means it's not swappable, the current pi displaying on coin market cap is the iou version of pi. And you can learn all about that on my previous post.
RIGHT NOW THE ONLY WAY you can sell pi coins is through verified pi merchants. A pi merchant is someone who buys pi coins and resell them to exchanges and crypto whales. Looking forward to hold massive quantities of pi coins before the mainnet launch.
This is because pi network is not doing any pre-sale or ico offerings, the only way to get my coins is from buying from miners. So a merchant facilitates the transactions between the miners and these exchanges holding pi.
I and my friends has sold more than 6000 pi coins successfully with this method. I will be happy to share the contact of my personal pi merchant. The one i trade with, if you have your own merchant you can trade with them. For those who are new.
Message: @Pi_vendor_247 on telegram.
I wouldn't advise you selling all percentage of the pi coins. Leave at least a before so its a win win during open mainnet. Have a nice day pioneers ♥️
#kyc #mainnet #picoins #pi #sellpi #piwallet
#pinetwork
Financial Assets: Debit vs Equity Securities.pptxWrito-Finance
financial assets represent claim for future benefit or cash. Financial assets are formed by establishing contracts between participants. These financial assets are used for collection of huge amounts of money for business purposes.
Two major Types: Debt Securities and Equity Securities.
Debt Securities are Also known as fixed-income securities or instruments. The type of assets is formed by establishing contracts between investor and issuer of the asset.
• The first type of Debit securities is BONDS. Bonds are issued by corporations and government (both local and national government).
• The second important type of Debit security is NOTES. Apart from similarities associated with notes and bonds, notes have shorter term maturity.
• The 3rd important type of Debit security is TRESURY BILLS. These securities have short-term ranging from three months, six months, and one year. Issuer of such securities are governments.
• Above discussed debit securities are mostly issued by governments and corporations. CERTIFICATE OF DEPOSITS CDs are issued by Banks and Financial Institutions. Risk factor associated with CDs gets reduced when issued by reputable institutions or Banks.
Following are the risk attached with debt securities: Credit risk, interest rate risk and currency risk
There are no fixed maturity dates in such securities, and asset’s value is determined by company’s performance. There are two major types of equity securities: common stock and preferred stock.
Common Stock: These are simple equity securities and bear no complexities which the preferred stock bears. Holders of such securities or instrument have the voting rights when it comes to select the company’s board of director or the business decisions to be made.
Preferred Stock: Preferred stocks are sometime referred to as hybrid securities, because it contains elements of both debit security and equity security. Preferred stock confers ownership rights to security holder that is why it is equity instrument
<a href="https://www.writofinance.com/equity-securities-features-types-risk/" >Equity securities </a> as a whole is used for capital funding for companies. Companies have multiple expenses to cover. Potential growth of company is required in competitive market. So, these securities are used for capital generation, and then uses it for company’s growth.
Concluding remarks
Both are employed in business. Businesses are often established through debit securities, then what is the need for equity securities. Companies have to cover multiple expenses and expansion of business. They can also use equity instruments for repayment of debits. So, there are multiple uses for securities. As an investor, you need tools for analysis. Investment decisions are made by carefully analyzing the market. For better analysis of the stock market, investors often employ financial analysis of companies.
The European Unemployment Puzzle: implications from population agingGRAPE
We study the link between the evolving age structure of the working population and unemployment. We build a large new Keynesian OLG model with a realistic age structure, labor market frictions, sticky prices, and aggregate shocks. Once calibrated to the European economy, we quantify the extent to which demographic changes over the last three decades have contributed to the decline of the unemployment rate. Our findings yield important implications for the future evolution of unemployment given the anticipated further aging of the working population in Europe. We also quantify the implications for optimal monetary policy: lowering inflation volatility becomes less costly in terms of GDP and unemployment volatility, which hints that optimal monetary policy may be more hawkish in an aging society. Finally, our results also propose a partial reversal of the European-US unemployment puzzle due to the fact that the share of young workers is expected to remain robust in the US.
where can I find a legit pi merchant onlineDOT TECH
Yes. This is very easy what you need is a recommendation from someone who has successfully traded pi coins before with a merchant.
Who is a pi merchant?
A pi merchant is someone who buys pi network coins and resell them to Investors looking forward to hold thousands of pi coins before the open mainnet.
I will leave the telegram contact of my personal pi merchant to trade with
@Pi_vendor_247
If you are looking for a pi coin investor. Then look no further because I have the right one he is a pi vendor (he buy and resell to whales in China). I met him on a crypto conference and ever since I and my friends have sold more than 10k pi coins to him And he bought all and still want more. I will drop his telegram handle below just send him a message.
@Pi_vendor_247
1. Business Models in DFS
Claudia McKay, Greg Chen, and Peter Zetterli
9 March 2016
2. Agenda
1. Bank Business Model –
Equity Bank
2. MNO Business Model –
Airtel Money
3. Standalone Model – bKash
4. Diversity of Business Models
2
3. Links in the DFS value chain
Data / VAS Digital Channel
Physical
Channel
What sections of the value chain does the business own or control?
Who is legally
responsible for the
user accounts?
Whose brand(s)
do users see?
Who ’owns’ the
user relationship?
Accounts
Who sees and
controls user /
transaction data?
Are these data
being utilized to
offer Value-Added
Services?
Who controls the
key comms
channel (USSD,
SIM, data) used?
Who controls the
physical touch
points (e.g. agents
or ATMs), who
controls these?
3
4. Differing levels of controls
Data / VAS Digital Channel
Physical
Channel
What sections of the value chain does the business own vs outsource to partners?
Accounts
Shared control
Full control
No control
Completely controls the value chain item. Not dependent on any partner.
Partly controls the value chain item and/or shares it with partners
Controls no part of the value chain item. Value chain item may or may not
be important for the business model
4
6. In 2011, Equity Bank saw 6% of its cash transactions take place
in the agent channel. What is the share today?
A. 15%
B. 25%
C. 40%
D. 50%
A. B. C. D.
6%
39%
45%
10%
6
7. Majority of cash transactions have been shifted to the agent
channel
Source: Equity Bank Investor Briefing Q3 2015
0
10
20
30
40
3Q 2011 3Q 2012 3Q 2013 3Q 2014 3Q 2015
Number of transactions, in millions
ATM Branch Agency
Agenc
y
51%
ATM
27%
Branch
22%
Percentage of
transactions by channel,
as of Sept. 2015
7
8. Since 2004, Equity Bank has grown its deposit base by 40x and its total
loan portfolio by 60x. How much has its branch footprint grown in the
same period?
A. 0 – In fact, it’s
shrunk by 5%
B. 5x
C. 10x
D. 20x
A. B. C. D.
26%
10%
23%
42%
8
9. Target customer
Mass-market consumers
• Largest retail bank in Kenya
• 8.5m customers (2014)
• Half of all banked Kenyans are
Equity customers
• 94% of accounts have <$100
balance
Small & medium enterprises
• More recent focus of the bank
• Now over 70% of total loan book
• Over $1.8bn in SME lending
10
11. Equity 3.0: the next step in the evolution
• Licensed as Mobile Virtual Network Operator (MVNO)
• Rents space on the comms channel from Airtel
• Issues SIM cards and SIM overlay under Equitel brand
• Offers regular voice, SMS and data services alongside
an integrated financial services product
• Free P2P between Equity customers and
Orange Money wallets
• 30 day mobile loans up to $2,000 at 1.5% interest
• Free educational content
13
12. Client Accounts
Ownership of the value chain
Accounts Client Data / VAS Digital Channel Physical Channel
Customer accounts
are fully fledged
bank accounts
Equity Bank is the
only brand visible to
customers
Accounts
15
13. Ownership of the value chain
Accounts Data / VAS Digital Channel Physical Channel
Customer accounts
are fully fledged
bank accounts
Equity Bank is the
only brand visible to
customers
Equity Bank owns
the transactional
data
No other actor has
visibility on the data
Mobile loan is based
on data
16
14. Ownership of the value chain
Accounts Data / VAS Digital Channel Physical Channel
Customer accounts
are fully fledged
bank accounts
Equity Bank is the
only brand visible to
customers
Equity Bank owns
the transactional
data
No other actor has
visibility on the data
Mobile loan is based
on data
Equity Bank initially
relied on MNOs for
the channel
Paid Safaricom
$0.06/USSD session
In 2015 launched
Equitel MVNO
Digital Channel
17
15. Ownership of the value chain
Accounts Data / VAS Digital Channel Physical Channel
Customer accounts
are fully fledged
bank accounts
Equity Bank is the
only brand visible to
customers
Equity Bank owns
the transactional
data
No other actor has
visibility on the data
Mobile loan is based
on data
Equity Bank initially
relied on MNOs for
the channel
Paid Safaricom
$0.06/USSD session
plus SMS fees
In 2015 launched
Equitel MVNO
Owns a network of
22,000 agents
across Kenya
Compared to 166
branches and less
than 600 ATMs
Only network to rival
Safaricom’s 89,000
M-PESA agents
18
16. Profit model:
Digital lowers CAPEX and marginal costs to expand reach
Reduce infrastructure cost Lower transaction costs
• An agent transaction costs Equity
$0.88 less than a branch tx
• Moving away from Safaricom
USSD to Equitel MVNO saved
Equity $0.06 per mobile tx
• Rapid scale up of agent network
since 2010
150x
3000x
19
17. Profit model:
Digital channels drive deposit mobilization, revenue growth
Mass deposit mobilization New revenue sources
Transaction fees:
• Total transaction fee revenue grew by
29% in 2015 to $166m
• 8 million transactions per month on
Equitel channel (Aug 2015)
• USSD users average 2 txs / month while
Equitel users now average 21
Total deposits now $3.1bn
Agents collected $285m in
deposits in Aug 2015 alone
20
18. Equity has grown larger with ever lower reliance on expensive
branches and branch staff
0
5
10
15
20
2005 2007 2010 2014
Access points to 10k / 100k customers
Staff /10k Branches /100k (G) Agents /10k ATMs /100k
Source: Equity Bank annual reports
21
19. Key takeaways on the bank business model for DFS
1. DFS drives significant reduction in the cost of
physical infrastructure
2. DFS can generate significant cost of funds
reduction
3. These adjacencies enable banks to offer cheaper
transactions
4. Lack of control over the communications channel
can be a major challenge (and cost)
22
21. What is the average amount of time it takes for an MNO to break
even on a mobile money service?
A. Less than one year –
these guys are money
making machines!
B. Between one and three
years
C. Between three and five
years
D. More than five years –
it’s a tough business
A. B. C. D.
10%
7%
31%
52%
24
22. What share of total revenue are the top quarter of Mobile Money
deployments making for the network operator?
A. 2%
B. 10%
C. 25%
D. 50%
A. B. C. D.
0%
8%
50%
42%
25
23. 11%
EcoCash
Zimbabwe
26%
Mobile money is growing as share of total revenue for MNOs
MM share of total revenues for respondents to GSMA SOTIR 2015
Source: GSMA State of the Industry 2015
of MNO-led services
earn more than 10%
of total revenue from mobile money
22%
M-Pesa
Tanzania
20%
M-PESA
Kenya
26
24. Airtel Money in Africa
Established in August 2012
– Live in 16 countries
– 12m active customers
– 250,000 active agents
– 7m txns per day
– $70m in txns value per day
27
25. Target customer and value proposition
Mass-market voice customers
• DFS was devised primarily as a
loyalty play aimed at the existing
mobile telephony user base
• Increasing competition has led to
customer churn
• In addition, new voice customer
growth is set to fall from 8% to
4% as markets near saturation
• So customer retention will grow
further in importance
Target customer
0%
1%
2%
3%
4%
5%
Q1
2000
Q1
2002
Q1
2004
Q1
2006
Q1
2008
Q1
2010
Q1
2012
Q1
2014
Customer churn rates 2000-2015
World Developed
0%
2%
4%
6%
8%
Voice customer growth
2010-15 2016-20
Source: GSMA Intelligence 2016
29
26. Target customer and value proposition
Value proposition
Low-barrier formal account
• Lower KYC than bank account
• Remote signup via agents or
directly on the mobile phone
Convenient access to services
• Transact on phone 24/7
• Cash transactions at tens of
thousands of agent locations
Rapidly expanding offering
• Data driven credit and insurance
• Evolving ecosystem of services
30
27. How are customers using mobile money?
Customer Transactions on mobile money
Source: GSMA State of the Industry 2015
2%
43%
5%
5%
3%
1%
31%
20%
27%
15%
1%
1%
32%
15%
0% 25% 50% 75% 100%
Trx Value
Trx Count
Air Time Bill Pay Bulk Disbursement Cash In Cash Out Merchant Pay P2P Transfers
Active customers conduct an average of 11 transactions/month and maintain
median account balance of $4.70
28. Ownership of the value chain
Accounts Client Data / VAS Digital Channel Physical Channel
Hosts all customer
accounts on its own
e-money platform
Airtel Money is the
only brand visible to
customers
All customer funds
are held in pooled
accounts at a bank
Accounts
32
29. Ownership of the value chain
Accounts Data / VAS Digital Channel Physical Channel
Hosts all customer
accounts on its own
e-money platform
Airtel Money is the
only brand visible to
customers
All customer funds
are held in pooled
accounts at a bank
Airtel Money owns
the transactional
data
No other actor has
visibility on most of
the data
Airtel Timiza mobile
loan is based on
transactional data
33
30. Ownership of the value chain
Accounts Data / VAS Digital Channel Physical Channel
Hosts all customer
accounts on its own
e-money platform
Airtel Money is the
only brand visible to
customers
All customer funds
are held in pooled
accounts at a bank
Airtel Money owns
the transactional
data
No other actor has
visibility on most of
the data
Airtel Timiza mobile
loan is based on
transactional data
Airtel owns the
digital channel
Cross promotions
with voice business
are often used (e.g.
free talk time equal
to P2P amount sent)
Digital Channel
34
31. Ownership of the value chain
Accounts Data / VAS Digital Channel Physical Channel
Hosts all customer
accounts on its own
e-money platform
Airtel Money is the
only brand visible to
customers
All customer funds
are held in pooled
accounts at a bank
Airtel Money owns
the transactional
data
No other actor has
visibility on most of
the data
Airtel Timiza mobile
loan is based on
transactional data
Airtel owns the
digital channel
Cross promotions
with voice business
are often used (e.g.
free talk time equal
to P2P amount sent)
Owns a network of
22,000 agents in
Kenya and 20,000 in
Tanzania
35
32. • Most transactions (except
cash-in) come at a fee
• 77% of MNOs derive most
revenue from customer fees
• In LAC and South Asia, get more
fees from businesses
Profit model - Revenues
Indirect Benefits – Reducing customer
churn and cost of airtime distribution
Direct Benefits – Transaction Fees
• High customer churn contributes
to price wars and falling margins
on the voice business
• Selling airtime and data bundles
via MM can be at least 20%
cheaper than through physical
scratch cards
Transaction fee revenue
Source: GSMA (2014) and GSMA Intelligence (2016)
0%
1%
1%
2%
2%
3%
3%
4%
4%
5%
5%
Safaricom Telesom MTN Uganda
Churn before MM vs. today
Before After
36
33. Profit Model - Costs
• Relatively little capex needed to launch, but
significant opex to run
• Upon launch, MNOs invest 6-8 times the revenue
generated to drive scale of agents and users
1. Agent commissions
2. Marketing
3. Personnel
Need time and resources to deploy robust agent network and acquire customers
54%
of top 10 provider
revenue goes to
agent commissions
34. Early investment pushes breakeven out past 36 months
Mobile money profitability over time (months)
35. Key takeaways on the MNO business model for DFS
1. Mobile money can be profitable but getting
there can be painful
2. Heavy losses in early years to build agent
network and acquire customers
3. Indirect benefits can be significant but not
always directly reflected in P&L
4. Increasingly, significant revenue requires an
ecosystem-based approach
43
37. A. B. C.
27%
37%37%
What is the split between transaction fees and interest income for
bKash?
A. 15% transaction fees,
85% interest income
B. 50% transaction fees,
50% interest income
C. 85% transaction fees,
15% interest income
45
38. bKash: A brief history
2009 Two Partners Inspired by East Africa:
1. BRAC: world’s largest NGO – mass market social
service delivery with two large retail financial services
businesses
• BRAC Microfinance
• BRAC Bank
2. Money in Motion: Investment vehicle of Iqbal Qaudir
(MIT), Kamal Qaudir (Cell Bazaar), and Arun Gore (Grey
Ghost).
46
39. bKash: A brief history
BRAC
Enterprise
1
Enterprise
2
BRAC
Bank
bKashMinority Investors
(49%)
47
41. bKash: A brief history
Regulatory conditions
• 2011 launch – license for Mobile Financial Services held
by BRAC Bank
• bKash cannot lend: value of bKash mobile accounts
deposited in full with commercial banks
Initial Capital and Investors
• BRAC Bank 51%; Money in Motion 49%
• $10m from Gates + TA from ShoreBank/Enclude
• 2013 IFC and Gates Foundation invest
49
42. bKash: A brief history
A standalone independent operation
• Hires its own staff,CEO and CTO (recruited outside BRAC
and outside of Banking)
• BRAC assistance in year 1
Seconded 4 staff
First 5,000 agents from BRAC borrowers
• By year 2 few links to BRAC or BRAC Bank
"build it alone"
"if it relies on BRAC it will not succeed"
50
43. bKash: Scale
As of October 2015
Accounts 21 million
Active Accounts 9 million
Transactions Per Month 90 million
Value of Transactions Per Month $1.4 billion
Average Transaction Size $16
51
44. Ownership of the value chain
Accounts Client Data / VAS Digital Channel Physical Channel
“Mobile accounts“
issued by bKash;
redeemed by bKash.
Value of deposits sit
in pooled accounts
at commercial banks
bKash primary
visible brand; BRAC
Bank subordinate
Accounts
55
45. Ownership of the value chain
Accounts Data / VAS Digital Channel Physical Channel
bKash owns the
transactional data
bKash holds the
customer
identification
Data will be used to
develop new
services with bank,
insurance and MFI
partners
56
46. Ownership of the value chain
Accounts Data / VAS Digital Channel Physical Channel
MNOs provide
USSD access
bKash pays MNOs
7% of fee revenue
for access to their
USSD
bKash manages a
call center
bKash will launch a
smartphone
application
independent of
MNOs
57
47. Ownership of the value chain
Accounts Data / VAS Digital Channel Physical Channel
Commissions 100+
distributors that
oversee 100,000+
agents
bKash accounts can
be serviced at BRAC
Bank ATMs but not
at BRAC Bank
Branches or BRAC
Branches
58
48. bKash: Profit model
Fees
Interest
2014 Audit
Months
30-42
REVENUE
$84 Million
Agent
Comm-
issions
USSD
Corporate
COSTS
$79 Million
PROFIT
$5 Million
800 staff
110,000 agents
60
49. Key takeaways on the standalone business model for DFS
• Startup - neither MNO or Bank - can scale
• Challenging profit model:
• No existing business lines to cut cost
• No adjacencies or cross-sell
• Profitability relies on transaction fees
• Strategy and sequencing key:
• Early scale and profitability come from sharp
focus on basic payments
• Medium term pivot towards broader array of
services; connected services
61
51. • The digital channel is not in itself a business model
• It is a tool that enables innovation and diversity of models:
• New ways to deliver existing services
• New services that weren’t possible in the past
• New partnerships based on specialization and interconnection
• A successful DFS ecosystem allows and even requires a
diverse set of players and business models to succeed
• This session presents three quick cases just to give a flavor of
the range of DFS business models that are possible
There are myriad potential DFS models
64
52. Value chainCustomer value proposition
Profit model
Introducing our analytical framework
Capturing the key aspects of the business models
What cost or operational efficiency benefits does the
service bring to the business?
Who is the target
customer?
Who owns the
customer relationship
and brand?
Data / VAS
Digital
channel
Physical
channel
What is the value proposition for the target
customer?
What sections of the value chain does the business own vs
outsource to partners?
Accounts
What additional revenue or loyalty benefits does
the service bring to the business?
• s
Shared control
Full control
No control
Completely owns the value chain item. Not dependent
on any partner.
Partly owns the value chain item and/or shares it with
partners
Owns no part of the value chain item. Value chain item
may or may not be necessary to the business model
Color coding legend
65
53. Commercial Bank of Africa
Powering digital credit on the back-end
M-Shwari is a mobile-only deposit and credit account offered as a partnership between an
MNO mobile money provider (Safaricom in Kenya) and a bank (Commercial Bank of
Africa)
66
54. Value chainCustomer value proposition
Profit model
Value proposition:
Commercial Bank of Africa
Powering digital credit on the back-end
Target customer: Mass-
market consumers
Issues full bank
accounts
Holds regulatory
compliance
Only accessed
via M-PESA and
this is the brand
most customers
know
Customer ownership:
Safaricom M-PESA
• Brings mass market Kenyans (about 50% of which were
previously unbanked) the full benefits of a banking product
(interest, deposit insurance, access to credit) – using mobile
money as a gateway.
Credit scoring on
MNO data
Underwrites the
loans on own
books
Owns repayment
history data, but
MNO partner
also has visibility
Owns and runs
the credit scoring
algorithm in-
house
The M-Shwari
account is only
accessible via M-
PESA wallet
Available to
15.7m active
Safaricom users
Cash-in and
cash-out services
only accessible
via 91k M-PESA
agents (not via
CBA branches)
Increase revenue through profitable digital credit
Exact nature of Safaricom-CBA profit sharing is not public
• Total value of loans disbursed since launch (as of Feb 2016): $782 million
• Average loan size: $30
• Loan facilitation fee or 7.5%
• Deposit balance (Feb 2016): $73 million
• Average account balance (90 day active accounts): $5
• Interest rate on M-Shwari deposits 2 – 5%, above the 1.5% weighted
average reported by CBK
• CBA has minimal retail presence/infrastructure as its traditional
target market has been the corporate sector
• M-Shwari partnership allows access to a mass market retail
customer base by outsourcing channels
Reduce costs through low cost deposits
Accounts Data/VAS
Digital
channel
Physical
channel
Customer-facing digital and physical
channels are owned by Safaricom
67
55. Value chainCustomer value proposition
Profit model
Value proposition:
Instaloan
E-money wallets
belong to Globe
(GCash)
Lending license
also with Globe
(Fuse)
Credit scoring on
Globe (MNO and
Gcash) data
Completely owns
the repayment
history data
Disbursement
and repayment
via Globe
(GCash) wallets
Uses only Globe
communications
channels
Cash in/out takes
place via Globe
(GCash) agents
Accounts Data/VAS
Digital
channel
Physical
channel
Similar model, except:
• Controls entire value chain
• Subsidiaries playing all the key
roles required by the model
• MM (accounts + CICO)
• MNO (comms)
• Lender (scoring + credit)
68
56. Value chainCustomer value proposition
Profit model
Value proposition:
All accounts
belong to MNO
partner – just e-
wallets, not bank
accounts
Credit scoring on
MNO data
Owns and runs
the credit scoring
algorithm
Underwrites the
credit on own
books
Owns repayment
history data, but
MNO partner
also has visibility
Disbursement
and repayment
via MNO partner
wallets
Relies on MNO
partner comms
channel for
transactions
Reliant on MNO
partner agents
for cash in/out
Accounts Data/VAS
Digital
channel
Physical
channel
Similar model, except:
• Controls almost none of the
value chain
• Highly specialized on only
• Analytics
• Lending
• Reliant on MNO partner for
accounts, CICO, comms and
access to customer data
69
57. Oxxo
Leveraging retail infrastructure for financial services
Oxxo is Mexico’s largest retailer by number of outlets with high traffic, long opening hours,
and many unbanked customers. They are now leveraging their retail infrastructure to offer
Saldazo, a debit card linked to bank account, in partnership with Banamex bank.
1,506
1,623
1,801
12,597
7-Eleven
Banamex
Bancomer
Oxxo
# of retail outlets
Banking sector
total: 11,000
70
58. Value chainCustomer value proposition
Profit model
Value proposition:
Oxxo
Leveraging retail infrastructure for financial services
Target customer: Mass-
market retail consumers
Low KYC
account at
partner bank
Banamex
Cards & ads co-
branded Oxxo
and Banamex
Customers think
of it as an Oxxo
card product
Customer ownership:
Oxxo
• Low-barrier Saldazo “savings card” to store money safely
• Special discount offers and loyalty bonuses for Oxxo stores
• Better control of money with SMS alerts, digital statements
• Use at any VISA enabled merchant
Banamex owns
customer data,
shares reports
with Oxxo
Oxxo utilizes
user data for
loyalty rewards
and improved
marketing
Transactions
happen at regular
POS devices
Account may be
linked to Telcel
phone for mobile
P2P, airtime and
bill pay
CICO at 12,597
Oxxo stores
Oxxo has long
opening hours
(minimum 12h/7
days, some 24/7)
Retail payments
at any VISA POS
Direct revenue from transaction fees
• Agency banking: 3.8m txs/mth
• 41% of the national market share
• Remittances: 200,000 txs/mth after 6 months
• Expecting to reach at least 1.5m
• Projected to generate 17% of total operating profit in 2-3 years
• Convenience stores are fairly commoditized, so Oxxo uses this as a
competitive advantage
• Gives people a reason to choose Oxxo
• Oxxo previously didn’t have much data on cash customers, but can now
• Incentivize customers via loyalty rewards
• Use data analytics to design better promos and marketing campaigns
• Aimed at mass market retail consumer base
• Oxxo has 12m purchases daily (~1 per minute per store)
• Mostly FMCGs with average ticket size ~$3 USD
• Leverages existing business for cost efficiencies
• Large retail footprint already in place, staffed and equipped
• Extensive cash handling processes
Generate traffic and data for core business
Accounts Data/VAS
Digital
channel
Physical
channel
71
59. Zoona
Third party agent network with over-the-counter transfers
Zoona enables MSE businesses to offer over-the counter payments and remittance
services, access working capital and purchase inventory through digital channels.
72
60. Value chainCustomer value proposition
Profit model
Value proposition:
Zoona
Third party agent network with over-the-counter transfers
Target customer: Micro and
small enterprises
Hosts internal
agent wallets
Float is held by a
banking partner
Does NOT offer
consumer wallets
(yet)
Customer ownership:
Zoona
• Consumers:
• Instant money transfer, bill pay and MM deposit or withdrawal
over-the-counter (OTC) with no need to register an account
• Agents:
• New transaction revenue and increased footfall
• Access to working capital
• Digital payment of inventory
Agent credit
based on tx data
to accelerate the
growth of its
physical channel
Credit scoring on
basis of Zoona
transaction data
Kiva.org provides
lending capital
Relies on SMS
and data services
by MNOs for
transactions
End customers
do not interact
directly with any
digital channel,
since service is
over-the-counter
Zoona acquires,
manages and
owns all its
agents
650 agents and
1,100 outlets in
Zambia
Revenue is driven by transaction fees
• Consumer services
• $9m in transactions per month
• Domestic money transfer (5-10% of tx value, capped at $9)
• Bill payments, airtime sales
• Agent services
• Working capital loans to agents (21% APR)
• Supply chain distributor payments (e.g. SABMiller)
• Fixed costs:
• Agents finance the costs for rent and operating expenses
• Loan capital for agents is provided by Kiva.org and it’s crowdsourcing
network
• Zoona pays for staff, agent training, and marketing
• Marginal costs:
• Most costs are marginal, reducing risk for Zoona
• Agents receive between 20% - 60% of transaction fees
• As a startup with no existing infrastructure, Zoona has built its
agent network through entrepreneurs and existing retailers
• Pure agents (Zoona franchise)
• Retail outlets with agency as a side business
• Distributors who use Zoona for B2B (FCMG and airtime)
CAPEX is kept low by “outsourcing” to agents
Accounts Data/VAS
Digital
channel
Physical
channel
73
61. Value chainCustomer value proposition
Profit model
Value proposition:
Kopo Kopo
Value added services for retail SMEs
Target customer:
MSE retail merchants
Hosts internal
merchant
accounts
Float is held by a
bank partner
Controls
settlement of
merchant funds,
allowing for
automated
repayments of
cash advance
loans
Customer ownership:
Kopo Kopo
• Merchants:
• Reduce costs of cash handling (eg: leakage)
• Electronic record of all transactions
• Access to loans and other value added services
Partners (Mobile money providers)
• Increase transaction revenue while outsourcing investment in
merchant focused ops and tech
Utilizes tx data to
offer various VAS
directly to
merchants
Merchant credit
based on KK tx
data is a major
revenue source
Owns and runs
the credit scoring
algorithm in-
house
Kopo Kopo owns
the merchant
web platform for
completing
transactions,
managing
account, and
accessing VAS
Safaricom
controls the
customer
payments
instrument
(M-PESA)
Kopo Kopo
acquires, runs
and owns the
relationship with
all merchants on
their platform
Total 10,000+
merchants
Consumer transaction fees
• Merchants in Kenya charged 1% of transactions received via M-PESA
• Fee split evenly between Kopo Kopo and M-PESA
• Primary costs are:
• acquisition and servicing of merchants
• development and maintenance of technology platform
• Extends working capital loan to merchants based on transaction history
• Loan has no maturity, but it repaid as an additional merchant fee on
transaction volume
• This incentivizes merchants to push txs onto the channel so as to repay
quickly
• Direct revenue from credit product has already surpassed transaction fee
revenue
• Kopo Kopo offers digital payment acceptance to a wide variety of
merchants, from micro-enterprises up to large retailers
• Kopo Kopo aggregates merchants for mobile money systems like
M-PESA, but the consumer relationship and experience remains
with the MNO
Merchant credit product
Accounts Data/VAS
Digital
channel
Physical
channel
Similar model, except:
• Focused on merchants (not
agents) as immediate users
• Stronger focus on credit product
in the core profit model
74
62. Accounts Data/VAS Digital channel Physical channel
Legend
Shared control
Full control
No control
Completely controls the value chain item. Not dependent on any partner.
Partly controls the value chain item and/or shares it with partners
Owns no part of the value chain item. Value chain item may or may not be
necessary to the business model
Is moving partially into controlling the value chain item
Is moving significantly into controlling the value chain item
63. Accounts Data/VAS Digital channel Physical channel
Business models focused on company strengths and assets
Range of models that specialize in a narrow part of the DFS value chain
OXXO
Vast retailer offers agency
banking and transactional
account
M-Shwari (CBA)
MNO (Safaricom) brings
channel, retail presence,
and marketing expertise
Bank brings credit
license, expertise
and capital
Zoona
OTC agent aggregator that offers
agents credit based on tx data
Globe InstaloanComprehensive play by
MNO with subsidiaries
Digital channel from Globe,
agents from MM arm GCash
Jumo
Specialised lender that
brings credit license and
scoring model
Relies on MM/MNO partners for
everything else
Kopo Kopo
First outsourced, but now
controls its credit business
Merchant aggregator that offers
merchants credit b. on tx data
Equity Bank
Bank that established its own
agent network
64. Accounts Data/VAS Digital channel Physical channel
In a digital business, the physical channel is still important
OXXO
Vast retailer offers agency
banking and transactional
account
M-Shwari (CBA)
MNO (Safaricom) brings
channel, retail presence,
and marketing expertise
Bank brings credit
license, expertise
and capital
Zoona
OTC agent aggregator that offers
agents credit based on tx data
Globe InstaloanComprehensive play by
MNO with subsidiaries
Digital channel from Globe,
agents from MM arm GCash
Jumo
Specialised lender that
brings credit license and
scoring model
Relies on MM/MNO partners for
everything else
Kopo Kopo
First outsourced, but now
controls its credit business
Merchant aggregator that offers
merchants credit b. on tx data
Equity Bank
Bank that established its own
agent network
65. Accounts Data/VAS Digital channel Physical channel
DFS business models are not static but evolve (rapidly)
Time
Equity 2.0
OXXO 1.0
Equity 3.0
OXXO 2.0
Offered retail network as
agency provider for banks
Issuing card based accounts
under joint brand, mining tx
data for loyalty, analytics
Est. own agent network for
cash in/out to accounts
Secured own MVNO
license, mining transaction
data for advanced products