BASINGSTOKE, England--(BUSINESS WIRE)--A new study from Juniper Research, the foremost experts in the payments market, found that the total value of mobile money transactions in emerging markets will reach $2 trillion by 2027, an increase of over $500 billion from 2023.
Growing at 33%, the market is being driven by the transition to PaaP (Payments-as-a-Platform), a model which allows third parties to deliver products via mobile money apps. PaaP enables third parties to have more access to users, without mobile money operators having to develop additional services themselves. This also enables greater revenue for mobile money operators, whilst allowing them to meet increasingly sophisticated user demands.
To find out more, see the new report, Mobile Money in Emerging Markets: Trends, Strategies and Market Forecasts 2023-2027 or download a free sample.
Maturity of Mobile Money Markets Leading to Increased Sophisticated MFS Usage
The research predicted that by 2027, there will be 411 million users of sophisticated MFS (Mobile Financial Services) within emerging markets. This 40% increase is a result of providers offering a variety of services, such as microloans and microinsurance, to satisfy growing user demand. The rising maturity of several mobile money markets, growing customer awareness and affluence of users has increased the importance of mobile money vendors providing sophisticated MFS; investing in technologies that facilitate it.
Research co-author Cara Malone remarked: “Vendors must implement sophisticated MFS in an effective way, or they will lose ground to rising competition. This can be best achieved through new approaches, such as leveraging existing data that operators hold to enable alternative credit scoring, allowing much greater lending opportunities.”
Customer Support Is Crucial as Service Evolves to Sophisticated MFS
The report urged mobile money vendors to leverage data analytics to best retain customers and fight off rising competition. By gaining valuable insight into consumer behaviour and preferences, vendors can provide better-tailored services to end users. Combining this data with new third-party services via PaaP enables a more personalised service; increasing customer satisfaction and revenue.
Mobile Money in Emerging Markets research: https://www.juniperresearch.com/researchstore/fintech-payments/mobile-money-trends-report
Download the free sample: https://www.juniperresearch.com/whitepapers/why-mobile-money-is-revolutionising-payments
Juniper Research provides research and analytical services to the global hi-tech communications sector; providing consultancy, analyst reports, and industry commentary.