Mobile Money in Emerging Markets: 2010-15 Outlook
The success of Safaricom’s M-Pesa mobile money service in Kenya and the increasing mobile penetration among users with limited access to banking services makes mobile money a compelling prospect in emerging markets. With approximately 90 deployments and 30 million subscribers around the world, the success of mobile money services appears to be assured.
This report finds that while demand for mobile money services is strong, it is also uneven across markets. Service providers still need to refine their service design, pricing, and agent network strategy. Regulation of mobile money services is still evolving in many markets, and the critical issue of interoperability looks unlikely to be addressed in the medium term, which could affect growth across the entire market.
This report finds that while demand for mobile money services is strong, it is also uneven across markets. Service providers still need to refine their service design, pricing, and agent network strategy. Regulation of mobile money services is still evolving in many markets, and the critical issue of interoperability looks unlikely to be addressed in the medium term, which could affect growth across the entire market.
Executive summary
In a nutshell
Ovum view
Uncertainty is affecting growth prospects
Interoperability is critical to market development
Key messages for service providers
Focus on unbanked and under-banked users
Adapt service design to local markets
Optimize pricing to make it attractive to both users and agents
Have a clear agent network strategy
Respect the regulatory triangle
Future outlook: market development 2010–15
Strong growth in Africa and Asia
Current environment
Encouraging progress but much to do
A strengthening ecosystem
Massive availability: mixed success and growth curves
Market influencers
Demand driven by the unbanked
Service design
Pricing is a critical element of service design
The case for mobile money interoperability
Agent network strategies
Regulation
Appendix
Research methodology
In a nutshell
Ovum view
Uncertainty is affecting growth prospects
Interoperability is critical to market development
Key messages for service providers
Focus on unbanked and under-banked users
Adapt service design to local markets
Optimize pricing to make it attractive to both users and agents
Have a clear agent network strategy
Respect the regulatory triangle
Future outlook: market development 2010–15
Strong growth in Africa and Asia
Current environment
Encouraging progress but much to do
A strengthening ecosystem
Massive availability: mixed success and growth curves
Market influencers
Demand driven by the unbanked
Service design
Pricing is a critical element of service design
The case for mobile money interoperability
Agent network strategies
Regulation
Appendix
Research methodology
LIST OF TABLES
Table 1: Market drivers and inhibitors: 2010–15
Table 2: Regional adoption scenarios: 2010–15
Table 3: Top 10 mobile money services in emerging markets
Table 4: Banking and mobile penetration KPIs: selected emerging markets
Table 5: Price comparison of selected mobile money services
Table 6: Interoperability in mobile money networks
Table 7: Airtime resellers compared to mobile money agents
Table 1: Market drivers and inhibitors: 2010–15
Table 2: Regional adoption scenarios: 2010–15
Table 3: Top 10 mobile money services in emerging markets
Table 4: Banking and mobile penetration KPIs: selected emerging markets
Table 5: Price comparison of selected mobile money services
Table 6: Interoperability in mobile money networks
Table 7: Airtime resellers compared to mobile money agents
LIST OF FIGURES
Figure 1: Mobile money users in emerging markets: 2010–15
Figure 2: Stakeholders in the mobile money ecosystem in emerging markets
Figure 3: Mobile money service design
Figure 4: Agent network management issues and best practice
Figure 5: Regulatory objectives and issues in mobile money markets
Figure 1: Mobile money users in emerging markets: 2010–15
Figure 2: Stakeholders in the mobile money ecosystem in emerging markets
Figure 3: Mobile money service design
Figure 4: Agent network management issues and best practice
Figure 5: Regulatory objectives and issues in mobile money markets
