1.
DIGITAL FINANCE SERVICES
A CUSTOMER SURVEY ON VODAFONE M-PESA
Submitted By:
Vikas Kumar

2.
INTRODUCTION
M-Banking: Service provided by bank and other financial institution
Use: Financial transaction
Device: Mobile phone and tablet
Vodafone M-Pesa: Launched in India- Apr-13
Vodafone world’s most successful money transfer services
3

3.
Vodafone M-pesa has won various awards
Global Mobile Awards 2009, 2010, 2011
Winner, Best Mobile Money for the Unbanked Service
(Vodafone Group, Safaricom, Vodacom, Vodafone Essar
Litd and Roshan Ltd)
AfricaCom Awards 2010
Shortlisted for Telecom Innovation of the Year &
Changing Lives Award
Mobile Content Awards 2010
Winner, Best Mobile Money Transfer Service
World Communication Awards 2010
Finalist, Best Managed Service

4.
Market Growth of Vodafone
Customers FY15 FY14 YOY%
Mobile
Customers(million)
183.8 166.6 10.4%
Data users(million)
(>1MB usage)
40.0 29.5 35.7%
Data users(million)
(>0Kb usage)
63.8 52.0 22.6%
3G users (million) 19.4 7.0 175.9%

5.
Objectives
1
• To study the barriers in using Mobile
banking services.
2
• To study the perceived utility of
various Mobile banking services
3
• To study the influence of demographic
variables on Mobile banking usage

6.
Analysis of Indian market
India:
Overview
40% access to financial services
12 MNOs (10 private players representing 88% of
the sector)
75% mobile penetration
900 million mobile connections
200 banks with 65 banks licenced for mobile
banking and 59 banks live

7.
A fragmented Digital Financial Services market

8.
SWOT Analysis
STRENGHTS WEAKNESSES
 Government is largely proactive
 National payments corporation
provide a strong switch with
nationwide reach
 Large population can be brought
through right ecosystem
 It is secure, cost effective and
convenient
 Technology ( USSD, IVR, SMS, APPS)
 Customer is still low due to regulatory
constraints and weak business models
 Service provider is not investing more
time and money
 No marketing and awareness
campaigns
 Incompatibility issues bw handset and
required software
OPPORTUNITIES THREATS
 Initiative of Aadhaar ID
 Potential markets segments standing
to benefit from digital financial
services
 Risk exist around fraud
 The huge costs associated with
spectrum

9.
Security Threats
 Phishing : Phishing is a common form of cybercrime typically carried out through e-mail or
instant messaging, providers’ links or instructions that direct the recipient to a fraudulent web site
masquerading as a legitimate one.
 Password database theft: Hackers steal user data and passwords from one web
site operator to hack sites. Since many people use the same user ID and password combination for
multiple sites, the attacker can hack additional accounts that the user has.
 Man-in-the-Middle: Approach for MitM attacks involve the usages on malicious
network infrastructure, such as malicious wireless access points or compromised DNS server, to
redirect users from the legitimate site they are trying to access to a malicious fraudulent web site
that access the user credentials and acts on behalf of the user to perform malicious activities.
 Man-in-the-Browser: MitB is a Trojan horse program, a variant of a Mitm attack
that infects the user internet browser and inserts between the user and the web browser modifying
and intercepting the data sent by the user before it reaches the browser’s security mechanism.
 Identity theft : Identity theft refers to all types of crime in which someone illicitly obtains
and uses another person’s personal data through deception or fraud, typically for monetary gain

10.
Customer research
Key customer demographics

11.
Factors for adoption of mobile banking/payments
Perceived ease of use…

12.
Factors for adoption of mobile banking/payments
Perceived usefulness…

13.
Factors for adoption of mobile banking/payments
Trust…

14.
Factors for adoption of mobile banking/payments
Attitude …

15.
Data Analysis:
 I have conducted a survey over 31 customers in whom 44.8% is female and
55.2% is male customer with the age group of 21-25 and 26-30. In which 31%
student is belongs to BBA background and 24.1 % belongs to B.com. Out of 31,
24 customers are using mobile banking for Mobile Recharge, 23 of them are
using for fund transfer and buying ticket, and other are using for bill payment
and buying stuffs.
 74 % customer strongly believes that it is easy to adopt mobile banking to
accomplish my banking transaction. 33.3 % customer strongly believes that
mobile banking is very interactive and 44.4% are partially agreed. 46.4%
customer strongly believes that mobile banking is faster to transact while 10.7
is disagree with that. To know account information like balance account, etc. is
easy and it is strongly accepted by 42.9% of the customer while 7.1 % disagree
with that.
 39.3% customer is having full trust on their bank for transaction and other
stuffs, 17.9% are partially agreed. 51.9% customers are with their right attitude
that it is intelligent choice to adopt mobile banking.

16.
Conclusion and Recommendation

17.
Sources…
 http://www.vodafone.com/content/index/what/m-pesa.html#
 http://www.vodafone.in/documents/Pdfs/Pressreleases/pr_1282.pdf
 http://www.medianama.com/2015/02/223-vodafone-mpesa-transactions/
 http://www.medianama.com/2014/07/223-vodafone-india-m-pesa/
 https://en.wikipedia.org/wiki/M-Pesa
 https://www.mpesa.in/portal/pdf/customer_tnc.pdf
 http://www.afi-global.org/about-us/how-we-work/about-working-
groups/digital-financial-services-working-group-dfswg
 https://www.google.co.in/url?sa=t&rct=j&q=&esrc=s&source=web&cd=7&ved
=0ahUKEwjfk6rzwNnJAhVBkI4KHeoWBoYQFghGMAY&url=http%3A%2F%2Fww
w.mckinsey.com%2F~%2Fmedia%2Fmckinsey%2Fdotcom%2Fclient_service%2
Ffinancial%2520services%2Flatest%2520thinking%2Fconsumer%2520and%252
0small%2520business%2520banking%2Fdigital_models_for_a_digital_age_tra
nsition_and_opportunity_in_small_business_banking.ashx&usg=AFQjCNHpRY
wX205UHya0nvKpKChySi_C6w&bvm=bv.109910813,d.c2E&cad=rja

18.
THANK YOU