The Latest Research conducted by TeleResearch Labs (now part of group ResearchICA) elaborates how mobile money will evolve in forthcoming years through 2017 to 2022.
“It’s going to be hard for businesses to succeed in mobile money beyond 2022”. Just as plain and blunt —the full research is a compendium of such & many profound observations & forecasts already taking the industry by storm and setting benchmarks for top executives that go even beyond 2022.
“The size of the current market opportunity would squeeze to 60-70% compared to current market-size. Ornamental opportunity will be gone. Players will have to have concrete end to end solutions to keep in pace with the industry.”
Research provides insights into how operators, banks (including payment banks & challengers), tech giants/ over the top players, & FinTechs will evolve. Their (going to be) place, role, significance in the industry. Research criticises the current move of operators relying too much on “easy business” (read “transaction business”) and going against their core fabric of innovation and technological strengths. And that the Nexus, however critical for survival today will not pay long term dividends and may turn into a huge misadventure in future.
Taking bold stance on who’ll make the cut the most, research classifies future into 4 success groups. Group A of grandfather players (big banks & tier-1 operators). Group B of tier-2 operators & small banks. Group C of tech giants, fintechs (r. “clubbers”, tech-enablers, &c.). And Group D, mainly inclined to gov. subsidies, special payments, etc.
Not much is expected to happen in the “Low Margin High Volume” Group-A. Both the banks & larger mobile operators will prefer playing safe and continue doing so until their values start clashing, one day. Category B & C will administer most of the innovation and lots of other cool stuff happening. Every player however will evolve & improvise, eventually in quest of modernisation. “Modernity” both at front —&— back ends will alone attract near 85% of the total $1150 billion in revenues expected from across retail, commerce, banking, & payment channels by y2022.
Where Group A will get their much required “peripatetic pause” through this research (before getting on to starting anything new), Group B & C will finally have their moonshot at becoming big and indispensable. Group B/C will also be making their 1st billion much faster, 3x the speed of Group A players, according to the research.