Published Date : Aug 22, 2016
The growth of the use of mobile money services has enabled millions of patrons to perform routine banking and financial transactions, relatively securely, cheaply, and more importantly, efficiently. Companies offering mobile money services are taking efforts to improve their services, rather offer customized services. Mobile money services are being increasingly used by people residing in Asia Pacific, North America, and Europe.
What Factors boosted the use of Mobile Money?
Mobile money services have gained global acceptance and importance considering their convenience and their ability to reach people of all ages, races, and gender. The ability of mobile money to serve the unbanked adults including the youth, women, and the poor can be credited as the most important factor boosting the global mobile money market.
Mobile money is set to become the way of life in many ways. The advancements in smartphones and the introduction of advanced technologies have helped a lot in the growth of the global mobile money market in the recent past. Studies show that the applications molded in the smartphones are frequently used by patrons. The rising usage of mobile applications motivated mobile application developers to introduce mobile money applications.
Mobile money has simplified daily banking and financial transactions. The easy access to bank accounts through smartphones is another factor driving the global mobile money market. People can easily manage bank accounts, savings, credits, and insurance policies through the application in smartphones. Considering the growing demand for mobile applications, banking transactions have been channelized in the smartphones, thus giving a rise to mobile money services.
Banks Continue to take lead with Mobile Money Services
In the competitive environment, banks are facing many challenges in offering banking services to remote areas. To tackle this problem, banks are currently focusing on using mobile money services to offer financial services to remote areas.
Among all mobile money products available in the global market, airtime transfers and top-ups, money transfers and payments, travel and ticketing, and merchandise and coupons are some of the most used ones. Mobile money is increasingly being used by industries such as banking, financial services and insurance (BFSI), the retail sector, the energy, and utilities sector, hospitality and tourism, supply chain management, telecommunication and IT, and the health care sector.