breaking the mfs ceiling with an innovative implementation
TRANSCRIPT
This document is offered compliments of BSP Media Group. www.bspmediagroup.com
All rights reserved.
Confidential and proprietary information
This presentation constitutes proprietary and confidential information of C. Mer Industries Ltd. This presentation may not be disclosed, used or duplicated, in whole or in part, without the prior written consent of C. Mer Industries Ltd.
Breaking the MFS Ceiling with an Innovative Implementation
Confidential and proprietary information
Africa Leads the World in Mobile Money
2
By Q2 2013 there were over
mobile subscriptions in Africa
- Ericsson (total Pop 1.033B)
Kenya's mobile money
transactions topped
in H1, 2013 – Central Bank of Kenya
Total African mobile money
transfers are expected to exceed
By 2015 – World Bank
Confidential and proprietary information
Notable Stumbling Blocks
3
Consumers' needs for financial services are significantly more sophisticated than previously believed, stretching beyond the
established transaction set offered by mobile money services today.
According to recent research by , the barriers preventing the adoption
of mobile money services in Africa include:
Confidential and proprietary information 4
It’s a Matter
of Trust!
Confidential and proprietary information
Level of Trust in Africa
Transparency International's Corruption Perception Index 2012 (CPI) African countries made up 13 of the bottom 30 countries in the world.
5
In South Africa, Dept. of Home Affairs recorded R687 m in unauthorized overspending
The UK government freezes funding for free primary education in Kenya until investigation into fraud allegations carried out
100: Very Clean
0: Highly Corrupt Zimbabwe
20/100
Chad 19/100
Somalia 8/100
Sudan 13/100
Confidential and proprietary information 6
Recent Headlines
Corrupt procurement costs R25bn every year R25-billion and R30-billion of government’s annual procurement budget alone was lost to corruption, incompetence and negligence.
Public Works ‘misspent R3.65bn’ The troubled public works department has racked upR3.65 billion in irregular spending since 2009
September 2013
April 2013
South Africa’s Hidden Textbook crisis
August 2013
Government has allocated only 50% of the money needed to supply all pupils with books in all subjects.
Confidential and proprietary information 7
A Shining Example
Has one of the world’s highest rates of digital transactions
Mobile money has also drastically reduced the cost of crime and security for consumers, private companies and
government offices.
80% of sales to retail
distributors is through Zaad
Uses Telesom’s Zaad to pay 300
employees and half the suppliers
Confidential and proprietary information 8
Mobile Money
It’s a
Matter of Trust!
Lack of Interoperability
Confidential and proprietary information 9
Interoperability
Confidential and proprietary information 10
Mobile Money
It’s a
Matter of Trust!
Ease of Use
Confidential and proprietary information 11
said ease of use represents a primary barrier to adoption
Easy to Use
Communicate benefits clearly and provide the right training, service, support and end user education
Simple , easy and appealing interface is the key factor for the evolution of mobile payments
Confidential and proprietary information
Competitive Landscape
Confidential and proprietary information 13
Customers‘ (Enterprise, m-Gov, Consumer) needs are more sophisticated. Established transaction sets lack sophisticated services
Evolving Needs in a Competitive Market
Budget Management
Loyalty Programs
Instant International
Transfers
Dedicated Money
P2P Transfers
Bill Payment
Airtime top-up
Deposit & Withdrawal
Confidential and proprietary information 14
Confidential and proprietary information 15
The Gateway to Mobile Financial Services
• Simple, secure, end-to-end solution
• Secure budget management with full transparency
• Dedicated money ensures correct dispersal of funds
• Fraud prevention
Confidential and proprietary information
Mobile FinaGate Services
Money deposit and withdrawal
Mobile payments for goods and bills
Gift and coupon management
P2P money transfer +
Mobile prepaid top up
Account management
16
Confidential and proprietary information 17
Customer
Financial Institution Platform
Provider
Agents
Users Merchants
Customer Care
The eco-system
Confidential and proprietary information
Access Methods
18
Web USSD (Any phone)
STK (Any phone)
18
• Android • iOS • Blackberry • Windows
phone
Confidential and proprietary information
Ivory Coast
Confidential and proprietary information
La Poste Customer Case
20
Improve image by enabling social change through the delivery of mobile financial services to the people
1
2
3 Increase volume of activities and revenues
Implement transparency and improve fraud prevention in the mGov domain
Re-enter financial services market by offering mobile money services
4
Confidential and proprietary information 21
La Poste Customer Case Cont.
First Customer
La Poste Customer Ivory Coast’s Ministry of Education
Functions/ Services
Objectives • Digitize flow of funds to schools • Combat inefficiencies, misspending and budget leakage
Confidential and proprietary information
Managing Schools Budget
MER MFS Cloud
Min. of Education School
Unauthorized Supplier
Authorized Supplier
Budget Admin.
Budget Allocation
Authorized Suppliers
Buy Goods
Remittance Unauthorized
supplier=Purchase unauthorized
Alert
Authorized supplier=Purchase
Authorized
Transaction Approved
Transaction Approved
Budget Report
Budget Report
Budget Report
22
Confidential and proprietary information
It’s Time to Evolve
23
Confidential and proprietary information
Questions?
24
Confidential and proprietary information
This presentation constitutes proprietary and confidential information of C. Mer Industries Ltd. This presentation may not be disclosed, used or duplicated, in whole or in part, without the prior written consent of C. Mer Industries Ltd.
Thank You
Siyabonga