According to new analysis from Juniper Research, consumer demand for mobile money transfer services will see users exceed 500 million globally by 2014, principally in developing countries.
‘Mobile Money Transfer & Remittances: Markets, Forecasts & Strategies 2009-2014’ – also suggests, however, that the many new mobile money services being announced will face political, regulatory or commercial challenges as they bring their services to market.
Howard Wilcox, senior analyst at Juniper Research and lead author, explains: ‘Every country has different regulatory structures, and its own set of local market conditions that service operators need to plan around. Nonetheless, we see this as a growth market because of the ubiquity and convenience of mobiles which offer realistic prospects of financial service access for those without traditional banking services.’
In developing world economies often only a small percentage of the population has a bank account or a credit card. A larger percentage, however, has a mobile phone or access to one. The reality is that far more people in countries that are underbanked will have used a mobile phone than will have used an ATM or visited a bank branch.