M-PESA - Competitor Profile

M-PESA is a mobile-based fund transfer and micro-level banking service available to customers of Safaricom, Kenya's largest mobile network. Introduced in 2007, the service has become a primary channel for fund transfers in the country. Originally developed as a low-cost microfinance loan repayment system, it was extended as an open platform to remit funds and make consumer payments due to its rising popularity. This was largely a result of factors such as the high cost of remitting funds through banks, a lack of banking facilities, low card penetration, minimal card acceptance infrastructure, and the high cost of dealing with cash in Kenya. Users can register for the service at authorized M-PESA agents and transfer money from an M-PESA account to recipients via mobile phone.

M-PESA users can also carry out ATM cash withdrawals as well as online and in-store payments using mobile phones. Safaricom expanded its services to include NFC-based in-store payments in May 2017. In November 2018, Safaricom introduced M-PESA Global, enabling users to make mobile cross-border fund transfers through its partnership with PayPal and Western Union. To further increase its usage, it launched M-PESA Super App for individual users and M-PESA for Business App for business customers in June 2021. In June 2022, M-PESA partnered with Visa to launch the M-PESA GlobalPay virtual card, enabling M-PESA users to shop globally at partner online merchants.

In April 2020, Vodacom and Safaricom completed the acquisition of the M-PESA brand, product development, and support services from Vodafone through a newly created joint venture.

The report provides information and insights into M-PESA including:

• Detailed insight into its business
• Comprehensive coverage of its products and services
• Comparative assessment with key alternative payment solutions
• Information on its Revenue Model and Performance Highlights
• The company's important events and milestones

Scope

• In March 2007, M-PESA launched in Kenya
• In November 2014, M-PESA partnered with MoneyGram
• In January 2019, M-PESA launched the Fuliza overdraft facility in partnership with Commercial Bank of Africa and Kenya Commercial Bank, allowing users to complete transactions even when there are insufficient funds in their M-PESA account
• In January 2021, M-PESA launched M-PESA Bill Manager service for businesses, allowing them to collect and manage recurring payments such as fees, rent, and utilities
• In April 2023, Kenyan mobile network operators Telkom, Safaricom, and Airtel announced the interoperability of their mobile money platforms, thus enabling T-kash, M-PESA, and Airtel Money users to make direct mobile money payments to any merchant across networks

Reasons to Buy

• Gain insights into M-PESA business operations and key events
• Gain insights into its product portfolio, revenue model and performance highlights
• Assess the competitive dynamics in the alternative payments industry by comparing its performance against competitors.