Airtel Money Solution

2013

Airtel Money

airtel iCreate 2013

Business Overview:

Mobile payment as a category is still in its nascent stage in India. While an estimated 240 million people across India hold bank accounts (less than 20% penetration), more than 90% of the country’s population uses cash to pay for its daily needs. On the other hand, the penetration of mobile telephony currently enriches the lives of over 900 million people (close to 75% of the population) in the country and can facilitate a paradigm shift in the way India transacts. Additionally, India has 100 million migrants spread across the country – 58% of these migrants remit money home, which is expected to touch $20 Billion annually by 2014. Lack of financial infrastructure, education and awareness has resulted in customers either not having access to a banking/payment service or else paying a premium for such basic service. Therefore, a majority of these customers continue to rely on traditional or time consuming methods like money orders and cheque remittances when it comes to transferring funds. There is a great potential to facilitate a paradigm shift in the way India transacts and provide customers with a swiss-knife-like value proposition. Some other opportunity areas are supporting this are given below:  More than 70% Indians do not have access to a safe and secure financial inclusion product that provides a swift & convenient way to pay. People in India pay money to keep money safe.  More than half of the 8 lakh railway tickets booked are done online through IRCTC; of which ~35% are paid through pre-paid instruments. IRCTC is also looking at mobile platforms to increase capacity as well as provide customers with an alternate and convenient mode of payment.  Utility payments on mobile also have a great potential with ~80% transactions happening in cash/cheque; of which almost all households have access to a mobile

Current Business Scenario:

Mobile as a payment tool is quite amenable to...