Mobile Financial Services in Africa -The Business Case for Operators and Banks

Table of Contents

Table of contents

Table of exhibits

Acronyms and abbreviations

Companies mentioned in this report

Executive summary

Section 1: African mobile payment landscape - definitions and context

• 1.1 Defining mobile payments
• 1.2 African context
• 1.3 Practical challenges
• 1.4 The technology: From WAP to USSD

Section 2: Ecosystems and business models

• 2.1 Overview
• 2.2 Hybrid, bank-driven models
• 2.3 MNO-driven models
• 2.4 Third-party models

Section 3: The African mobile payment business case for banks and MNOs

• 3.1 The mobile operator - pivotal
  • What the MNO brings to the table
  • What' s in it for the MNO?
• 3.2 The bank' s role: Fundamental, depending on regulatory requirements and the impetus to reach the unbanked
• 3.3 Other parts of the value chain

Section 4: Service roadmap and market forecasts

• 4.1 Service roadmap and challenges
  • Airtime payment services
  • The domestic money transfer model: Tight margins
  • International money transfers
  • Phase III services
• 4.2 Market projections
  • Methodology
  • Forecasts: 60m-plus mobile payment users by 2013

Section 5: Model and country case studies

• 5.1 M-PESA
  • What it is and how it works
  • M-PESA performance
  • Impact on Safaricom' s subscriber growth and churn
  • Impact on Safaricom' s ARPU
• 5.2 Country study: South Africa
  • Wizzit: What it is and how it works
  • Wizzit: Performance
  • MTN Mobile Banking
  • FNB Banking
• 5.3 Country study: Nigeria
• 5.4 Other platforms: From Celpay to Sokotele
  • Celpay
  • Sokotele

Related resources

Table of exhibits

• Exhibit 1: Overview of mobile financial services
• Exhibit 2: Matrix of mobile payment models in Africa
• Exhibit 3: Mobile penetration and bank account penetration in selected markets
• Exhibit 4: Bank break-even costs of transactions by channel - Kenya
• Exhibit 5: Technology deployment for sample service providers
• Exhibit 6: Mobile payment ecosystem
• Exhibit 7: Model matrix chart - service focus and customer ownership
• Exhibit 8: Banking sophistication and mobile penetration
• Exhibit 9: Sample mobile payment models in African markets
• Exhibit 10: The roles of the MNO and the bank in MTN Mobile Banking
• Exhibit 11: The roles of the MNO and the bank in M-PESA
• Exhibit 12: The roles of banks, MNOs and third parties in the third-party model
• Exhibit 13: Bank, ATM and MNO distribution footprints in Nigeria, Kenya and South Africa
• Exhibit 14: M-PESA' s impact on Safaricom churn
• Exhibit 15: Evolution of mobile payment service portfolio in the African context
• Exhibit 16: Sample mobile payment services in African markets
• Exhibit 17: Traditional domestic mobile money transfer value chain
• Exhibit 18: Traditional international money transfer value chain
• Exhibit 19: Africa money transfer and mobile banking active users*
• Exhibit 20: Mobile money transfer and mobile banking transaction volumes in Africa
• Exhibit 21: The M-PESA framework
• Exhibit 22: Access to financial services in Kenya and M-PESA' s target market
• Exhibit 23: Evolution of M-PESA registered users and transaction volumes
• Exhibit 24: Overview of Wizzit platform
• Exhibit 25: Wizzit banking charges