He told Adom News in an exclusive interview that about 30% of Tigo?s over 3.75 million subscribers are currently registered on Tigo Cash, out of which 13% are actively doing between five and six transactions a month.
This means, an estimated 1.2 million Tigo subscribers are on Tigo Cash, out of which some 156,000 are actively doing up to 936,000 transactions every month.
Comparatively, Airtel Money has some 900,000 customers, recording about 540,000 transactions monthly, and circulating over GHC4million daily; while MTN Mobile Money is talking of over 3 million subscribers, and recording about 1.5 million transactions worth about GHC52million monthly.
Meanwhile, Tigo Cash is only offering the basic services such as airtime purchase, peer-to-peer money transfer and cash withdrawals from agents, but MTN Mobile Money and Airtel Money are each loaded with additional usage opportunities such payment of bills, shopping online and offline, payment for food at selected restaurants, and a full range of mobile banking services.
Adadevoh believes Tigo Cash is doing relatively well because it has been kept simple, reliable and less confusing as compared to the other Mobile Money services on the market..
?Mobile Money is a very young market [in Ghana] and to think that you can have a customer who has never used mobile money suddenly being exposed to a plethora of usage opportunities is very confusing.
?And therefore we strategically think it?s much better to focus on a very small base of products so that the customer gets used to it ? once they get comfortable ? once they build the trust that they need to build around the product you can sell them other things,? Adadevoh said.
In addition to the basic functions, Tigo Cash also allows bulk payment such as wages to several people, and for goods and services just with one click of a button. By law, payments can only be up to GHC1,000.
?We have created a product that enables our customers to go to our Tigo Cash agents spread across the country for transactions ? if you go to an agent and you cannot do a transaction there is no point paying bills ? there is no point doing any of the several things on the market,? Adadevoh explained.
Adadevoh said Tigo Cash was designed mainly for the unbanked, to make them have services which they have been denied of, because they do not have bank accounts, or because they do not earn enough to make a bank account relevant for them.
He said even though the service was primarily for the unbanked, a lot more people outside that segment are using the service now particularly for the bulk payments ? for small wages and for goods and services, and the transactions are more intra-city rather than intercity.
Adadevoh said top among the uses is airtime purchase, but in recent times peer-to-peer money transfer (where one person sends money to another or to others) has been growing at a very fast rate.
?Peer-to-peer money transfer is growing at three digit numbers every month, while airtime purchase is growing at small double digit numbers lately,? he said.
Adadevoh said Tigo Cash offers 15minutes bonus airtime to both the send and receiver of cash on it platform provided both of them are registered Tigo Cash subscribers.
He said currently the company is working on adding remittances and bill payment to the Tigo Cash portfolio beginning from next year, but both would be promoted in ways that would be less confusing for the user.
Adadevoh said the main challenge facing Tigo Cash and Mobile Money in general is the reluctance of Ghanaians to adapt to electronic money, and people often cite network unreliability as an excuse to shy away from Mobile Money.
?The difficulty has been with getting people to try the service but once they try it they stay with it because of the convenience it brings to their lives,? he said. ?Thankfully Tigo has the best network quality in Ghana and downtime on Tigo is extremely low so Tigo Cash has also proven very reliable.?
Indeed, Adadevoh did a practical money transfer on Tigo Cash during the interview and it was completed within a matter of 15 to 20 seconds.
He believes customers? testimonials about Tigo Cash is what is driving other customers to adopt it, saying that testimonial based on the individual?s own experience is more of an effective tool than any commercial in making people accept any mobile money service.
Adadevoh however thinks government endorsement of Mobile Money as a safe, secure, reliable and convenient means of financial transaction is also necessary to disabuse people?s minds about mobile money.
?Till date people think it is just the telcos doing their own thing ? they are not aware that Mobile Money is regulated by the state. I think it is about time the government institutions involved with mobile money came out to endorse it and tell other government institutions to use it so that it can grow and accelerate Ghana?s march towards a cashless economy,? he said.
Source: Joy online